Regulation for the CBD-enriched food and beverage industry – an up-to-date snapshot for the new Senate bill – 2021 – in preparation for the start of a solution to the legal “flounder” and the laying of federal regulatory rules.
YES, THERE IS ALWAYS A SENSE OF CONCERN AND UNCERTAINTY IN THE CANNABIS AND CBD INDUSTRY AS CANNABIS IS STILL ILLEGAL AT THE FEDERAL LEVEL. THE NEW SENATE BILL SEEKING TO LEGALIZE CBD FOODS AND OTHER PRODUCTS IS AN EXAMPLE OF A BIPARTISAN EFFORT AUTHORIZING THE U.S. FOOD AND DRUG ADMINISTRATION (FDA) TO TREAT CANNABINOID-CONTAINING PRODUCTS AND MOVE THE BURGEONING INDUSTRY TO SAFETY.
WILL (AGAIN) THIS YEAR BE THE CBD’S “BREAKOUT YEAR”?
A TRIO OF U.S. SENATORS (FROM BOTH PARTIES) INTRODUCED A BILL THAT WOULD ALLOW THE USE OF CANNABIDIOL MOLECULE (CBD) IN FOODS AND BEVERAGES. IN A JOINT STATEMENT WITH THE FILING OF A BILL ON THE ISSUE, THE SENATORS SAID THEY WERE FED UP WITH THE FDA’S FOOT DRAGGING ON THE REGULATION OF HEMP AND CBD PRODUCTS.
The Hemp Access and Consumer Safety Act is set to be voted on soon by Oregon’s two Democratic senators, Ron Wyden and Jeff Merkley, and Senator Rand Paul, Republican of Kentucky. The bill aims to remove the legal/legal limbo for products derived from the hemp plant (cannabis), particularly the cannabidiol molecule (CBD), from the problematic intermediate state in which they have existed since the 2018 Farm Bill that legalized hemp cultivation in the United States.
“Every day that the FDA drags its feet in updating the CBD regulatory regulations, farmers grow that are left to guess how their products will be regulated, and real economic gains for workers and business owners in Oregon and across the country remain on the table.” Senator Jeff Merkley said in a statement. “HEMP-derived CBD products are already widely available, and we all need the FDA to issue clear regulations for them just like in food products, beverages and other dietary supplements.”
CBD-ENRICHED FOODS AND DRINKS
In a statement, Wyden argues that this bill came just in time because the FDA failed to update up-to-date regulatory rules regarding hemp plant-based products (HEMP). The senator said he worked with other senators so Congress could legalize other hemp-based products.
This time they should ensure that the FDA takes the program seriously – for the sake of the whole of America. In 2018, Congress dealt with approving the Agriculture Improvement Act, which, in addition to being the last Agriculture Act, was also a step toward removing the Category 1 Hemp on the List of Dangerous Drugs.
The emergence of the Category 1 hemp plant on the list makes it difficult to regulate and legalize, and this act (if successful) eliminates such restrictions. CBD products are used all over America in states that have decided to make them legal so one has to wonder why the Senate has done nothing to ensure that the federal government receives its CBD revenue.
American consumers and farmers will have more freedom to produce and consume CBD products with a bill approved by Congress. However, Congress still does not have the last word because the FDA must confirm that the CBD is safe for consumption. So is the FDA joining this program?
a plant that is both a medicine and a dietary supplement?
According to FDA rules, it does not allow the receipt of a new nutritional food definition (Novel Food), an ingredient or beverage for trading between countries if it has already been approved as a medicine. Currently CBD is already used in the pharmaceutical industry. The FDA approved the drug “Epidiolex”, which is used to treat epileptic seizures, made from pure CBD.
The FDA also has the authority to remove substances from the prohibited list but its “eternal” claim for 4 years or more is that it has “limited” knowledge of CBD safety and other substances based on cannabis and/or hemp. Although the FDA has made some effort by seeking CBD safety information from stakeholders, their progress has not yielded results.
Their progress has been slow perhaps partly due to the negative impact of the COVID-19 pandemic and therefore, the FDA has only turned to sending warnings to companies that make a number of medical claims regarding their CBD. For example, CBD products have been marketed as options for treating arthritis, relieving cancer pain and even Alzheimer’s. However, the FDA is the only entity that interferes with Congress from taking a bold approach with CBD.
Senator Merkley said: “Every day that the FDA continues to waste time updating CBD regulations, hemp farmers will continue to miss out on profits. Farmers will remain in the dark about which products will be regulated, and business owners will not know how to enter the market.”
like in the good old days when the legislation broke through and didn’t block loopholes.
The bill’s sponsors make it clear that the law has a priority for customer safety in overseeing CBD products manufacturers to meet all federal requirements. The bill will also ensure that all new products in the CBD are well marked. What’s more, the bill insists that the Secretary of Health and Human Services determine the requirements for food and food additives containing hemp.
Senior Vice President of Government Affairs, with the Consumer Brands Association, Jeff Dolby, claims the CBA praised Senators Merkley, Wyden and Paul for showing support for the CBD. The Consumer Brands Association is one of the first to support a federal regulatory framework for CBD that will help the FDA establish smart and consistent laws.
WILL THE FDA UNDERSTAND THE MESSAGE?
Congress also hopes that by empowering the FDA to take a stand and remove cbd from the list of dangerous drugs, they will provide the rules so long-awaited for American CBD entrepreneurs who are just waiting to show their abilities in the nascent market. More from the senators’ statement: “… Every nation needs to figure out how to get internal revenue, and when the rest of the world embraces cannabis, it’s time for America to do the same.
The amount of revenue lost comes mainly from a back-and-forth between the FDA and the Senate. If only both parties can agree to the process and remain committed to ensuring the American consumer has access to cannabis at will. There will still be obstacles to pass in the future, but one thing is certain: cannabis will continue to grow in countries that have decided that cannabis is legal on their territory.
Yes, the future of cannabis is right ahead of us, the FDA should embrace the truth about CBD-enriched products as valuable parts of society and act to ensure their safety and quality.”
foreseeable future – summary
Efforts by the US Senate to ensure that CBD is regulated as food products and other products are a step in the right direction. In the past, the Senate has made similar efforts to regulate and legislate for cannabis reforms at the federal level without success.
Experts are actually optimistic about this bill: the future will tell whether they are right or not. Until then, continue to use your voice to enhance the importance of CBD!
SOME DATA AND STATISTICS ON THE CBD MARKET IN THE UNITED STATES
HOW COMMON IS CBD USE IN THE UNITED STATES?
33% of American adults used CBD once or more. (SingleCare, 2020) 64% of Americans are familiar with CBD and/or CBD products (Gallup, 2019) An estimated 64 million Americans have tried CBD over the past 24 months. (Consumer Reports, 2019) Of those using CBD, 22 per cent said it helped them supplement or replace prescription or over-the-counter medications. (Consumer Reports, 2019)
CBD STATISTICS IN AMERICA:
- CBD products derived from hemp plant (HEMP) are legal in all 50 countries, as long as they contain no more than 0.3% THC (FOOD and Drug Administration, 2020)
- In total cannabis sales, Colorado tops the list, having sold more than $1 billion since 2014 (CNN, 2019)
- The top states in CBD sales in 2019 are California ($730 million), Florida ($291 million) and New York ($215 million). (Statista, 2019)
- Of Americans who use CBD the most common uses are pain relief (64%), anxiety (49%) and insomnia (42%) (SingleCare, 2020)
- CBD network searches increased by 125.9% between 2016 and 2017 and by 160.4% from 2017 to 2018. (JAMA Network, 2019)
- Hemp Farming Areas of the United States increased from 25,713 acres in 2017 to 78,176 acres in 2018. (Food Business News, 2019)
CBD STATISTICS BY AGE:
DEMOGRAPHICS OF CBD USERS LEAN TOWARDS THE YOUNG. Of all age groups, Americans aged 18-29 are most likely to use CBD consistently. (Gallup, 2019) 20% of people aged 18-29 use CBD 16% of people aged 30-49 use CBD 11% of people aged 50-64 use CBD 8% of people aged 65 and over use CBD. and the numbers are almost double for adults who have tried it once or more.
According to the CBD Survey of Consumer Reports for 2019: 40% of people aged 18-29 tried CBD 32% of people aged 30-44 tried CBD 23% of people aged 45-59 tried CBD 15% of those aged 60 and over tried CBD.
CBD AND NUMBERS (SILVER):
AMERICA’S CBD MARKET HAS AN ALMOST VERTICAL TRAJECTORY. WITH THE LEGALIZATION OF RECREATIONAL AND MEDICAL MARIJUANA IN SEVERAL STATES, A GROWING NUMBER OF TARGET AUDIENCES ARE EXPLORING THE BENEFITS OF CANNABIS, AND CBD SALES REFLECT THIS.
1. The market capitalization of the UNITED CBD was just over $4 billion in 2019 and may reach $25 billion by 2025. (Brightfield Group, 2019)
2. The CBD market derived from cannabis and hemp may see a complex annual growth rate (CAGR) of 49% by 2024. (BDSA, 2019)
3. 44% of regular CBD users spend $20-80 per month on CBD products. Thirth is spending more than $160 a month. (Brightfield Group, 2019)
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