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California Launches New Online System to License Cannabis Industry

California on Friday began accepting applications from businesses that want to operate in the state's legal marijuana industry next year, a milestone for the emerging market.

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After months in development, an online system launched and will allow retailers, distributors and testing labs to seek state licenses, which are required to conduct business.

Recreational cannabis sales start in California on Jan. 1, joining the long-running medical cannabis industry.

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RELATED: Advocates Raise Alarms About San Luis Obispo County, Calif., Cannabis Policy

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"Now that applications are coming in, we can officially move one step closer to issuing California's first state licenses for commercial cannabis activity," Lori Ajax, who heads the state Bureau of Cannabis Control, said in a statement.

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By late afternoon, state officials said the online site was functioning well and visitors appeared to be mostly familiarizing themselves with it, rather than submitting full applications.

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