Las Vegas, NV, September 21, 2022 — PRESS RELEASE — Eteros Technologies USA, Inc., a provider of post-harvest cannabis automation equipment, announced the success of its court case regarding the authorization exemption of 21 U.S.C. Section 863(f)(1) of the Controlled Substances Act (CSA). This was a case of first impression never before decided by a Federal or State court. It sets an important precedent for international trade in cannabis paraphernalia, recognizing that States’ authorization of persons to manufacture, distribute or possess cannabis paraphernalia triggers the “authorization exemption” which allows the importation of such products into the United States. The decision effectively instructs U.S. Customs and Border Protection (CBP) to permit the importation of cannabis paraphernalia into states that have legalized the manufacture, distribution, and possession of such items. With the cannabis market estimated at $38.8B in 2023 and multi-state operators’ capital expenditures representing up to 30% of revenue, this decision could impact billions of dollars of cannabis equipment imports annually.
Eteros traces its roots back to Surrey, British Columbia when in 2016, founder Aaron McKellar and a core group of engineers from diverse backgrounds and a passion for innovation and “divergent thinking” began manufacturing equipment for Canada’s newly legalized cannabis industry. In 2019, Eteros, the parent company of the Mobius and Triminator brands, expanded sales from Canada into the US to help support farmers growing now federal-legal hemp and the growing market of state-legal cannabis.