Metrc guide for staying Compliant using an automated Seed-to-Sale Tracking System

As more states legalize cannabis, the need for proper regulation and compliance becomes increasingly important. This is where Metrc comes in as a critical seed-to-sale tracking system designed to track every aspect of cannabis production, processing, and distribution.

Metrc is a cloud-based system designed to assist state regulators in monitoring the entire cannabis supply chain, from seed to sale. For dispensary owners and staff, understanding how Metrc works and staying compliant with Metrc regulations is crucial to maintain a successful cannabis business.

This comprehensive Metrc guide is designed to help dispensary owners and staff understand the essential aspects of Metrc compliance, including how Metrc works, why compliance matters, explaining Metrc package tags, getting started with Metrc, and how to track events in Metrc.

Whether you’re a seasoned cannabis business owner or a newcomer to the industry, this guide will provide you with the necessary tools to stay compliant with Metrc regulations and ensure the success of your cannabis business. However, it’s essential to note that this guide is not official Metrc training, and you should always refer to for state-specific training requirements and user guides.

Kanha RFID tracking for Metrc

What is Metrc?

Metrc, which stands for Marijuana Enforcement Tracking Reporting Compliance, is a state-mandated software platform developed by Franwell that offers an end-to-end tracking system for the cannabis supply chain. It tracks everything from the production and manufacturing of cannabis products to their testing, distribution, and sale. This platform ensures that cannabis products are monitored from seed to sale and that regulatory bodies have full visibility over the industry.

Since its inception, Metrc has been widely adopted by cannabis businesses across the United States. In fact, the platform has been used to log over 5 billion events related to the cannabis supply chain. This includes information on the cultivation, harvesting, processing, and sale of cannabis products.

As a seed-to-sale traceability and compliance management solution, Metrc is used by regulatory bodies to oversee the cannabis industry. The cloud-hosted software reporting system is designed to enable licensed cannabis businesses to manage and report their supply chain activities in line with state rules. By doing so, they can stay compliant with regulations and avoid penalties or license revocation.

In summary, Metrc is a powerful tool that enables cannabis businesses to maintain compliance and ensures that regulatory bodies have full visibility over the industry. With its end-to-end tracking system and comprehensive reporting features, it has become an essential platform for cannabis businesses and regulatory bodies alike.

Which states use METRC?

As more states legalize cannabis for medicinal or adult-use/recreational purposes, regulatory compliance becomes a top priority. To meet these regulatory requirements, many states have adopted Metrc as their track-and-trace solution. However, it’s worth noting that each state has its own unique regulations for the cannabis industry, and it’s essential to understand these requirements to stay compliant.

The primary goals of state track-and-trace programs typically include preventing the diversion of cannabis products to the unregulated/illegal market and ensuring financial compliance, including the proper reporting and payment of state cannabis and tax revenue. To learn more about how Metrc is being used in specific states and their regulatory requirements, click through the links below.

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The Importance of Metrc Compliance for Cannabis Businesses

Metrc compliance is crucial for licensed cannabis businesses operating in states that have adopted the platform. This is because regulatory agencies rely on the data provided by Metrc to detect any inconsistencies in the cannabis supply chain. Failure to comply with Metrc requirements can result in serious consequences for cannabis businesses, including fines and even closure.

Enforcement agencies use data inconsistencies in Metrc to detect issues such as diversion, purchase limit violations, unaccounted products, and compliance violations. These red flags may trigger an investigation that could lead to the suspension or revocation of a business’s license, along with hefty fines. For instance, in California, fines may be as high as 50% of the average daily sales amount multiplied by the number of days of suspension, which can add up to significant financial losses.

To avoid such penalties, licensed cannabis businesses must adhere to their state’s regulatory requirements for reporting inventory and sales with 100% accuracy. Metrc is a useful tool that can help businesses maintain compliance with these requirements. With its proven track record of success, Metrc enables cannabis businesses to stay on top of their compliance obligations and avoid costly penalties and closures.

In summary, Metrc compliance is of utmost importance for cannabis businesses operating in states that have adopted the platform. Failing to comply with Metrc requirements can result in severe consequences, including fines and closure. By diligently adhering to regulatory requirements with the help of Metrc, cannabis businesses can maintain compliance, avoid penalties, and safeguard their operations in the cannabis industry.

Cannabis plants that are just starting out with RFID tags on them

What are Metrc Tags?

Radio Frequency Identification (RFID) tags are electronic tags that are attached to a plant or product, and they use radio waves to transmit data to a reader. The data contained in the tag can include information about the product, such as its origin, date of production, and other relevant details. RFID tags are designed to be durable, tamper-resistant, and able to withstand harsh environmental conditions, making them ideal for tracking plants and products in the supply chain.

METRC is a tracking system that is used by the cannabis industry to monitor and regulate the cultivation, processing, and distribution of cannabis products. The system is designed to ensure that all cannabis products are tracked from seed to sale, and that they are safe, compliant, and of high quality. RFID tags are an integral part of the METRC system, and they provide regulators with an accurate and real-time view of the cannabis supply chain. By using RFID tags, regulators can easily identify any potential problems or issues with the supply chain, and take appropriate action to mitigate them.

3 Need to know facts about Metrc tags


Using RFID tags for safe and compliant cannabis product monitoring

METRC uses RFID tags to enable regulators to scan and trace the origin and movement of plants or products within the supply chain. This allows regulators to monitor the supply chain and ensure that all products are safe, compliant, and of high quality. The use of RFID tags provides regulators with real-time visibility into the supply chain, enabling them to quickly identify any potential issues or problems and take appropriate action to mitigate them.


Tracking cannabis products with UID or package tag number for compliance

Each physical RFID tag used in the METRC system has a unique 24-character alphanumeric identifier, which is known as the UID or package tag number. This identifier is crucial in ensuring the accuracy and accountability of the supply chain, as it allows regulators to track the movement of each plant or product from seed to sale. The UID or package tag number also enables producers to maintain accurate records of their products, ensuring compliance with regulations and providing transparency for consumers.


UID or package tag number for traceability, compliance, and transparency of cannabis products

The UID or package tag number assigned to each RFID tag is critical in ensuring the traceability and accountability of products or plants within the supply chain. By using the UID or package tag number, regulators can track the movement of each product throughout the supply chain, from the point of cultivation to the point of sale. This ensures that all products are safe, compliant, and of high quality, and that any issues or problems can be quickly identified and addressed. The use of the UID or package tag number also provides transparency for consumers, who can verify the origin and quality of the products they purchase.

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The 6 stages of the Metrc Plant Tag and what is tracked

METRC is a comprehensive cannabis tracking system that monitors the entire supply chain from cultivation to sale. To ensure accountability, licensed cannabis businesses must assign and place an RFID tag on every plant and inventory item, tracking the product’s progress through various stages of production and distribution. This includes activities such as planting, cultivating, harvesting, testing, transferring, processing, and selling of cannabis. The unique identifiers on RFID tags help regulators trace the origin and movement of plants or products within the supply chain, ensuring the safety, compliance, and quality of all products.

In compliance with state regulations, all activities related to the cannabis business must be reported through the Metrc system. This includes everything from the cultivation of immature plants to the transfer of harvested products to dispensaries. Businesses are required to keep detailed records of their operations, and any changes made to Metrc tags must be reflected in the system to ensure accuracy and transparency. To find out more about tracking requirements in your state, you can refer to your state’s regulatory body website for specific guidelines and regulations.

Stage 1

Cultivators group and label cuttings, seedlings, or clones as an immature batch and assign a Metrc plant tag to them

Stage 2

An immature plant becomes a vegging plant once it reaches the size limit set by state regulations, which varies from state to state.

Stage 3

The same Metrc plant tag follows the specific plant throughout the flowering process.

Stage 4

Once the plant is mature enough, it is grouped into a harvest batch.

Stage 5

After harvesting, the cannabis product is packaged and assigned a Metrc package tag.

Stage 6

The Metrc tag assigned to a product may be changed multiple times before it reaches a dispensary, but all changes must be accurately recorded in Metrc and reported to state regulators.

Automate Cannabis Operations and Compliance with Kanha Software and Metrc Integration

With the growing legalization of cannabis in several states, dispensaries are looking for ways to streamline their operations and maintain compliance with regulations. Kanha software offers a comprehensive solution for managing inventory, sales, and compliance. One essential aspect of compliance is integration with Metrc, a track and trace system used by many states to monitor cannabis products from seed to sale.

Integrating Kanha software with Metrc can be a complex process, but following the necessary steps can make it a seamless transition. From registering employees with Metrc to ensuring the software is synced with the appropriate API key and license, dispensaries can effectively manage their inventory and sales while maintaining compliance with regulations.

Here are the initial steps for integrating Kanha software with Metrc if you are in a newly legalized state or opening a new dispensary in a Metrc state:

  • Firstly, all employees must complete the required training and register with Metrc.
  • Secondly, ensure that your Kanha software is synced with your Metrc API key and license. The API key can be found in the top right corner under “API keys” after logging into Metrc.
  • Next, purchase the required plant and/or package tags from Metrc.
  • Then, use Kanha’s software to log into Metrc and begin setting up products while verifying tag assignments.
  • Finally, use Kanha’s software to log into your point of sale system and start receiving inventory with the newly tagged products.
  • Remember to maintain ongoing compliance between your physical, point of sale, and Metrc inventories after completing these initial steps.

Most common Questions and answers for Metrc

What does Metrc stand for?

Metrc stands for Marijuana Enforcement Tracking Reporting Compliance.

Who uses Metrc?

Metrc is used by state governments and businesses in the legal cannabis industry to track the cultivation, production, and distribution of cannabis products.

How does Metrc system work?

The Metrc system is a seed-to-sale tracking system that uses unique identification numbers and tags to track the movement of cannabis plants and products through the supply chain. Licensed businesses are required to use the system to report inventory, transfers, and sales to state regulatory agencies.

Why is Metrc important?

Metrc is important because it helps ensure compliance with state regulations and helps prevent diversion of cannabis products to the black market. It also provides transparency and accountability throughout the supply chain, which is important for public health and safety.

What items are in Metrc?

The Metrc system tracks a wide range of cannabis-related items, including plants, seeds, clones, trim, flower, edibles, concentrates, and more.

Who are Metrc competitors?

Some of Metrc’s competitors in the cannabis tracking software market include BioTrackTHC, MJ Freeway, and Leaf Data Systems.

How do I create a Metrc package?

To create a Metrc package, you need to log in to the Metrc system and follow the steps to create a new package, including entering the product type, quantity, and package tag number.

How long do you have to keep Metrc tags?

The length of time you need to keep Metrc tags depends on state regulations, but it is typically several years. For example, in California, businesses must keep Metrc tags for at least four years.

How do I create a trade sample in Metrc?

To create a trade sample in Metrc, you need to log in to the system and create a new package with the product type “trade sample.” You also need to enter the package weight, quantity, and unique package tag number.

How do you tag plants in Metrc?

To tag plants in Metrc, you need to attach a unique identification tag to each plant that includes a barcode and tracking number. You then need to enter the tag number into the Metrc system and associate it with the appropriate plant and location.

Who created Metrc?

The Metrc system was created by Franwell, Inc., a software company based in Florida that specializes in supply chain management and traceability systems.