Out of Stock, Supply Chain Issues in Cannabis Packaging

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The breadth and persistence of supply chain troubles in part result from how the coronavirus pandemic has accelerated trends that have been unfolding for decades, especially the growth of e-commerce.

The coronavirus pandemic has brought to light supply chain issues that have been building for decades, and it has vastly accelerated certain trends, the largest being the growth of online shopping and e-commerce.

Brands and retailers have had to figure out how to deal with consumers ordering straight from manufacturers to their homes or even consumers ordering these products from retailers and those brick and mortar stores creating the infrastructure to deliver these products to the consumer as well.

The cannabis industry also comes with its own specific set of problems it must overcome in today’s supply chain. With the increased cost of shipping from overseas and nationwide, it’s become more difficult for all sectors of the industry to get their supplies and materials. Pricing has increased across the board for packaging suppliers and lead times have increased.

The demand for packaging manufactured within the United States seems to have gone up with more brands and retailers looking for reliable, cheap packaging that complies with local state laws as well as those in Canada.

However, many US-based online wholesalers seem to have run low on American manufactured packaging and supplies. With the small amount of American cannabis packaging manufacturers in the first place, it makes sense that their supply runs thin, especially with large inventory levels of overseas products on the market. However, with the way overseas supplies become more costly, there is speculation that this bubble could burst.

With cannabis legalization forever looming around the corner for each state and of course federally, cannabis packaging standards are likely to heighten and the somewhat lax regulation in some areas of the country could possibly become a thing of the past.

If you’re looking for an American manufacturer of cannabis packaging for your brand or if you’re a packaging wholesaler looking for an American supplier, visit CoolJarz.com.

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