Most cannabis operators are required to use a state-mandated cannabis track-and-trace system to remain in compliance.
This is how cannabis retailers report all product inventory and activities from seed to sale to their state licensing authority.
In the U.S., state regulators generally work with one of two primary cannabis tracking systems: Metrc or BioTrack.
But what’s the difference between these two systems, and how do they impact your operations?
Let's start with the definition of a cannabis track-and-trace system, also sometimes referred to as cannabis traceability or cannabis tracking software.
What is a cannabis track-and-trace system?
Cannabis track-and-trace systems track activity for every cannabis product that moves through the licensed cannabis ecosystem—literally from seed to sale.
The cannabis product typically starts with the growers, then moves to the testing lab or manufacturer, and eventually to the dispensary where the final transaction happens. Cannabis track-and-trace systems monitor each phase of the cannabis supply chain and automatically reports data to state regulators.
It’s important to note that cannabis track-and-trace systems alone aren’t necessarily keeping you in compliance. These software systems fulfill a need to monitor, track, and report data to the state. It is up to operators to comply with state regulatory requirements, like purchase limits.
Also note, track-and-trace systems are different than point-of-sale (POS) systems. Track-and-trace systems are required by state law, while POS systems like Flowhub help you conduct sales transactions. Your POS system should integrate seamlessly with your track-and-trace system, help you operate efficiently, and drive business growth.
Now let's explore the difference between the two most common cannabis track-and-trace systems: BioTrack and Metrc.
What is BioTrack?
BioTrack offers a free web-based state traceability system and a commercial seed-to-sale product that includes paid solutions for cultivation, processing / manufacturing, and dispensary point of sale.
BioTrack’s traceability system is required by law in several states, and operators in those states must use BioTrack to report to state regulators.
However, BioTrack’s POS platform is not state-regulated, so dispensaries can choose any POS provider that meets their needs.
Here’s a step-by-step overview of how a cannabis product tagged in BioTrack moves through the software’s tracking system:
Cultivation: The 16-digit barcode is assigned to each cannabis plant when they are seedlings. Plant phases, additives, and employee interactions are logged at this stage.
Harvest: After harvest, batched material receives a new 16-digit barcode ID number as a unit. The individual IDs remain the same. Batched material might include concentrate or oils if the plant material has been manufactured.
QA Testing: After harvest, the batches are then tested for pesticides, heavy metals, and any other contaminants that might be present. Test results are automatically printed on the product’s labels.
Transportation: A detailed manifest must be completed before a cannabis product can be transported. A manifest includes where the shipment is coming from, a detailed look of what’s inside, where it’s going, who is driving the vehicle holding the product, and more.
Dispensary: BioTrack’s tracking system creates a unique ID number for each consumer (separate from the barcode ID on the cannabis products) to validate medical patient information and purchase limits. Dispensaries are required to report all sales to BioTrack.
What is Metrc?
Developed by Franwell, Metrc stands for Marijuana Enforcement Tracking Reporting Compliance. Metrc is the cannabis industry standard traceability solution for seed-to-sale supply chain visibility used by state regulators and cannabis businesses in the majority of legal cannabis markets.
Unlike BioTrack, Metrc does not have a POS platform, and any retailer in a Metrc state must choose a POS provider if they want seamless transactions and consumer experiences.
(Fun fact! Flowhub was the 1st Metrc integration partner and built the API so that other software providers could send information directly to the database instead of manual data entry.)
Metrc tracks cannabis plants and product with radio-frequency identification (RFID) tags from growth, harvest, and processing to testing, transport, and sale.
The tags are not reusable, so every package and plant has its own unique identifier. Designed “to create safety and transparency for consumers," cannabis businesses have tracked over 5 billion events in Metrc to date.
Read next:
Metrc 101: How to Keep Your Dispensary Compliant
Metrc’s rules and requirements differ depending on which part of the cannabis supply chain your business operates in, whether you’re a cultivator, transportation service, manufacturer, or retail cannabis store.
Cultivators must report to Metrc if they move a plant from room to room or how much they harvest and what they harvest.
Retailers must log each product in their store, the strain name, potency, harvest, and packing dates. All cannabis operators must track if cannabis products leave or enter their custody.
BioTrack and Metrc: Understanding the difference
There are a few critical differences between BioTrack and Metrc, but they both serve to inform state regulators about how much cannabis is moving through the state, what kind of product it is, where it’s going, and who is handling it.
For example, the individual identifier for each inventory item in BioTrack is called “Barcode ID”, while it’s called "Package ID" or "Package Tag" in Metrc. Both of these do virtually the same thing, but the name and some details about each are different.
Another major difference between BioTrack and Metrc is how they manage post-harvest materials. All post-harvest materials in Metrc facilities must have an identifier or package ID, but BioTrack just requires their facilities to do this when creating cannabis products for retail sale.
Which states use BioTrack?
Arkansas
Connecticut
Delaware
Florida
Hawaii
Illinois
New Hampshire
New Mexico
New York
North Dakota
Virginia
Which states use Metrc?
Alabama
Alaska
California
Colorado
Kentucky
Louisiana
Maine
Maryland
Michigan
Minnesota
Mississippi
Missouri
Montana
Nevada
New Jersey
Ohio
Oklahoma
Oregon
Rhode Island
South Dakota
Washington D.C.
West Virginia
Should I choose BioTrack or Metrc?
Unless you’re considering BioTrack’s paid products, there is no ability to choose BioTrack or Metrc. The state where your business is located chooses the traceability system all cannabis businesses will be required to use.
Most states use Metrc or BioTrack, but a handful have implemented alternative traceability systems or in cases like Arizona, no traceability systems at all! Ultimately, state regulators make this decision.
It can be frustrating to have no choice about using one of these systems, but consider the costs if you don’t adhere to cannabis regulations.
In California, for example, fines may equal up to 50% of your average daily sale amount multiplied by the number of days of suspension. The average suspension time for a Tier 1 offense is 7 days. If your store transacts an average of $5,000 in revenue per day, you’re looking at a $17,500 fine, not to mention lost revenue from being closed.
POS software that works with BioTrack and Metrc
Flowhub works seamlessly with both BioTrack and Metrc, so dispensary owners don’t miss a beat when it comes to compliance, sales data, inventory management, and more.
You may not have a choice when it comes to your seed-to-sale system, but you have all the power when it comes to selecting a dispensary growth platform.
Reduce inventory costs, boost sales, and empower your retail staff with Flowhub. Book a demo today.