• Jeffrey Friedland

States Tire of Waiting for the FDA and Establish Their Own Rules for CBD

While the FDA has repeatedly stated that CBD can’t be used as a food, beverage, or nutritional supplement, states are now taking action

September 16, 2019 - Many hemp and CBD entrepreneurs, who were ecstatic when the Farm Bill was signed into law in December, the legal and regulatory hurdles are becoming more complex almost daily.

Tired of waiting for the Food and Drug Administration (FDA) to resolve the legal status of CBD as a food, beverage, or nutritional supplement, states are now taking action. While it would be optimal for the legal status of CBD to be positively resolved federally, state action at least is a positive direction for hemp and CBD entrepreneurs.

While on the surface, state action on CBD is viewed as a plus, it provides its own legal and regulatory headaches for hemp and CBD businesses.

With states as well as local governments now implementing their own regulations, it is creating complexity for hemp and CBD businesses who are desirous of selling their hemp or CBD products across state lines, or even within a state.

Pharmacies in Alabama can now sell CBD dietary supplements, something other retailers in the state, including gas stations have been able to do. National drug chains including CVS, Rite Aid, and Walgreens started selling some CBD products earlier this year.

Colorado, the first state to legalize the sale of recreational cannabis in January 2014 has one of the least restrictive CBD laws. Hemp-derived CBD products licensed by both local health agencies and the Colorado Department of Agriculture can be legally sold by any retailer, including gas stations, convenience stores, grocery stores, and of course smoke shops.

In late March, Maine’s governor signed into a law a bill that allowed the sale of CBD products in the state, regardless of the federal status.

The sale of CBD oil has been legal in Indiana since March. In addition to CBD oil, topical CBD products are now legal in the state. In June, America’s largest grocery chain, Kroger announced that CBD products would be available for sale in 89 stores in the Hoosier State.

In June, Texas Governor Robert Abbott signed into law a bill allowing the production of hemp and hemp-derived products. The bill set into motion a process for state regulations to be implemented. The law requires retailers of hemp-derived CBD to register with the state.

About Phyto Intel

Phyto Intel provides strategic assistance to enable businesses and entrepreneurs to enter and succeed in the fast-growing and fast-evolving legal cannabis, hemp, and CBD markets in the United States and globally.

Phyto Intel also provides market intelligence, product formulation services, and “go to market” strategies for Consumer Packaged Goods (CPG) companies and CBD producers interested in developing, formulating, manufacturing and marketing food, beverage, and cosmetic products containing hemp seed oil and/or CBD.

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