On October 6, 2021, California Governor Gavin Newsom (D) signed a bill that legalizes the sale and manufacture of hemp-derived products and CBD-infused consumable items. Assembly Bill 45 (“AB 45”) establishes a regulatory and consumer protection framework for selling and producing CBD-infused products, such as food, beverages, cosmetics, dietary supplements, over-the-counter items, pet products, and more. California’s expansion on allowed sales of cannabidiol (“CBD”) products could potentially make California one of the largest cannabis markets in the world. Read below to learn more about the implications of California’s AB 45 and the history of concern over consumables infused with CBD.
The Differences Between CBD and Delta-8 THC
As the cannabis industry grows in the United States, and due to several recent statewide legalizations, more people have become familiar with the cannabis market, and consumers are increasingly interested in certain benefits of cannabis-derived products. From cannabidiol (“CBD”) to tetrahydrocannabinol (“THC”), there are several products containing cannabinoids with different effects and purposes. As new types of cannabinoids become mainstream, the market faces unforeseen growth.
FDA Rejects Charlotte’s Web’s Application for CBD as a Dietary Supplement
The U.S. Food and Drug Administration (FDA) rejected an application from Charlotte’s Web Holdings, Inc. for their full spectrum hemp extract. In a press release on August 11, 2021, Charlotte’s Web, a hemp health supplement company, announced that the FDA published an objection to their New Dietary Ingredient (NDI) application the company submitted on March 31, 2021.
Sit. Shake. Sorry, Pup: CBD-Infused Pet Products
Many pet-lovers out there would do just about anything for their dogs, cats, or animals they care about. As a pet owner myself, I have been closely monitoring the legality of hemp-derived cannabidiol (“CBD”) products for animals. Unfortunately, pet foods and treats containing CBD are currently illegal according to the United States Food and Drug Administration (“FDA”); however, certain compliant CBD topical animal products are not subject to FDA control, and thus, are legal to sell in interstate commerce.
The Introduction of the Hemp and Hemp Derived-CBD Consumer Protection and Market Stabilization Act of 2021 and What It Means for the CBD Industry
On February 4, 2021, the Hemp and Hemp Derived-CBD Consumer Protection and Market Stabilization Act of 2021 was re-introduced to the United States House of Representatives, sponsored by Reps. Kurt Schrader (D-OR) and Morgan Griffith (R-VA), as well as 17 additional co-sponsors. This is an exciting development for the hemp and cannabidiol (“CBD”) industries, as widespread support has already been shown for this bill. As the bill continues to make headway, it’s important that the hemp and CBD communities help get this legislation passed. Julia Gustafson, the VP of government relations for the Council of Responsible Nutrition (“CRN”), referred to the bill as “critical” toward the development of safe and stronger dietary supplements on the market.
CBD-Infused Alcohol: Still Awaiting a Toast
Breweries, distilleries, and wineries with ambitions of infusing or selling their beverages with cannabidiol (“CBD”) and/or tetrahydrocannabinol (“THC”) derived from hemp will have to wait for a change in law by the U.S. Alcohol and Tobacco Tax and Trade Bureau (“TTB”), or a divergent conclusion by the United States Food and Drug Administration (“FDA”) finding that these beverages fall into a legal exemption. On April 25, 2019, the TTB, which regulates the alcohol and tobacco industries in the United States, issued an industry circular as a response to numerous inquiries from the alcohol and hemp/CBD industries about whether CBD or THC can legally be introduced into alcoholic beverages: the TTB made it clear that, at this time, it will not approve formula or label applications for alcoholic beverages containing CBD or THC.
Predictions For the CBD Market in 2021
After an unprecedented year politically, socially, and economically, cannabidiol (“CBD”) continues to significantly impact the United States’ retail markets and even the health sector. This highly sought after cannabinoid is becoming increasingly common in various forms, including tinctures, topical applications, oils, capsules, and more. But what is next for CBD in 2021? Below we explain our predictions regarding CBD’s influence in the coming year.
Will CBD Be Classified as a Dietary Supplement?
The U.S. Food and Drug Administration (“FDA”) currently prohibits cannabidiol (“CBD”) from being added to food, beverages, or cosmetics and from being sold as a dietary supplement. While we await further guidelines from the FDA, Congressmen Kurt Schrader of Oregon and Morgan Griffith of Virginia introduced on September 4, 2020, H.R. 8179, the “Hemp and Hemp-Derived CBD Consumer Protection and Market Stabilization Act of 2020”, which would allow hemp, CBD, and any other hemp-derived ingredient to be sold as dietary ingredients in dietary supplements under the Federal Food, Drug, and Cosmetic Act (the “FD&C Act”).
CBD in Food and Dietary Supplements: What is the FDA’s Stance?
Cannabidiol (“CBD”), a cannabinoid found in hemp plants, continues to grow in popularity as a market commodity. As a nonpsychoactive cannabinoid, CBD is enjoyed by a wide variety of consumers. It has become quite common to see CBD added to food or sold as dietary supplements for both people and pets, despite the fact that the U.S. Food and Drug Administration (“FDA”) maintains that both CBD and THC are illegal additives to food and beverages and that the products containing the substances cannot be sold as dietary supplements. Below, we explore the FDA’s current position on CBD in food and dietary supplements.
Advertising CBD Online
As cannabidiol (CBD) continues to grow in popularity, the industry is becoming increasingly competitive. CBD business owners have been forced to resort to creative measures in their marketing efforts. Many CBD companies often ignore the various rules and regulations associated with CBD advertising online. However, it is important for CBD businesses and entrepreneurs to pursue compliant marketing strategies for their products to avoid account suspensions, government enforcement actions, or other business interruptions.