What’s white labeling for the hashish business?


Obtaining a cannabis license and building a brand in the industry can be incredibly complex and daunting – many manufacturers employ a practice known as white labeling.

White labeling or white label branding is a common practice in mainstream industries, where one company removes its own brand and logo from the final product and uses another company’s brand, usually a more established one with a wider customer base. This is common with many well-known brands such as the 365 brand from Whole Foods Market, the Kirkland brand from Costco, and Great Value products from Walmart, all of which are manufactured by numerous other smaller companies.

Many agree that there are some promising opportunities for white labeling in the cannabis industry, as not many companies are doing it yet.

Daniel Yi, managing partner and chief strategy officer of Bellflower, California-based product maker Inanna Manufacturing, said the opportunities for white labeling in the cannabis space are great because few companies are doing it.

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“Many entrepreneurs have ideas for brands and want to get into the cannabis industry, but can’t because they can’t get a license,” said Daniel Yi, managing partner and chief strategy officer of Bellflower, California product manufacturer Inanna Manufacturing.

Yi himself entered the cannabis industry four years ago by labeling its products in white under the MedMen Enterprises brand, a company that was (at the time) a hugely successful multistate operator.

“There are a lot of people who are super good at growing cannabis efficiently,” said Yi. “Why spend a lot on it when you have a great retail concept? It’s more about segmenting into subject areas. Coca-Cola does not bottle its own soda. The same will happen with cannabis. “

Inanna holds one of California’s Type 6 cannabis manufacturing licenses, which allows his company to create infused products such as topical products, gums, and other baked goods. They do not grow cannabis or offer extraction services.

In California, Old Pal is a popular brand in pharmacies. Most consumers believe that Old Pal is the actual company that grows the flower. However, Old Pal is a popular white label brand for many growers in the area.

Old Pal works with around 100 legal farmers, which has helped them avoid licensing issues that the growers themselves face. Old Pal products are available in around 350 cannabis stores, but they only run one office with 29 employees.

This unique business model is perfect for anyone who is good at marketing and interested in working in the cannabis industry (and closely with products and retail stores) without the hassle of adhering to strict licensing practices.


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Beth Edmonds