Inventory

3 Months Ended

Mar. 31, 2021

Inventory Disclosure [Abstract]

Inventory

5. INVENTORY

Raw material consists of unharvested cannabis plants, and materials used to manufacture CBD and cannabis products. Work in process is harvested cannabis, processed cannabis oil, and manufactured products that are not complete. Finished goods are cultivation supplies to be sold to cultivators, and purchased or manufactured packaged flower, pre-rolls, vape cartridges, edibles, CBD products, and paraphernalia.

	March 31, 2021		December 31, 2020
Raw materials – unharvested cannabis	$	6,852	$	4,693
Raw materials – CBD and ingredients		615		214
Work in process – flower and extract		8,973		9,454
Finished goods – cultivation supplies		179		886
Finished goods – packaged products		2,352		2,790
Total	$	18,971	$	18,037

Inventories of purchased finished goods and packing materials are initially valued at cost and subsequently at the lower of cost or net realizable value. Costs incurred during the growing and production process are capitalized as incurred to the extent that cost is less than net realizable value. These costs include materials, labor and manufacturing overhead used in the growing and production processes. During 2021 and 2020, no inventory was pledged as collateral.