U.S. trade group cries foul over proposed strict limits on THC in extracts

Source: HempToday.net | Author: HempToday | Aug 16, 2022

A proposed provision in landmark U.S. cannabis legislation under consideration would set an unnecessarily low level for trace amounts of THC in hemp flower-based food products, leading to “the elimination of the substantial majority of the hemp extract and CBD industry,” a trade group has warned.

In a letter sent to main sponsors of the Cannabis Administration and Opportunity Act (CAOA), filed in the Senate last month, the U.S. Hemp Roundtable (USHR), a Kentucky-based trade association, criticized the THC provision in the bill, which sets a limit of 1 milligram of total THC per 100 grams on a dry weight basis, translating into a 0.001% total THC standard.

The CAOA, considered to be the most comprehensive among several cannabis bills currently floating around in the U.S. Congress, is not expected to become law any time soon, but serves as a center of gravity for the discussion of marijuana and hemp policy.

Scope of the CAOA

The bill would recognize the legalization of cannabis by the states and decriminalize, regulate, and tax businesses, offering provisions related to justice, immigration, and enforcement; small business administration; public health; education infrastructure; labor; veterans; banking, housing; and community development.

The U.S. Food & Drug Administration (FDA) would regulate cannabis products through a new Center for Cannabis Products, under provisions in the proposed law. 

“This is an arbitrary and unrealistic standard,” USHR said of the THC limit proposed for hemp-based products. “No full spectrum or broad-spectrum hemp extract would qualify, and likely most CBD isolates would be challenged to comply, given the limitations of current testing technology.

“Indeed, this limit would delegate most, if not all, popular, non-intoxicating CBD and hemp extract products to the adult-use cannabis market,” the group said, urging the bill’s sponsors to reconsider what it called “a misguided standard for intoxication” that is “uniquely onerous and unprecedented.”

Delta-8 should be regulated

In the letter, sent to Sen. Ron Wyden of Oregon, Sen. Cory Booker of New Jersey and Sen. Chuck Schumer of New York, the lead sponsors of the CAOA, USHR called for expanded protections for all non-intoxicating hemp derivatives including CBD and other cannabinoids, legalizing the sale of CBD and other hemp extracts as food and beverage ingredients, and loosening up on who may conduct safety evaluations.

Despite its vigorous defense of CBD, USHR said it supports the CAOA’s effort to regulate psychoactive cannabis products, like delta-8 THC, which is derived from hemp-based CBD. Separate regulatory pathways for non-intoxicating hemp and intoxicating cannabis products should be established, USHR recommended.

The CAOA should be changed to establish a more comprehensive rulemaking process for determining daily serving limits for CBD that invites stakeholder input, USHR also urged.

Task force proposed

In addition to the allowable THC levels for consumer products, USHR said other provisions in current CAOA language could undermine the industry, and urged creation of a task force to also set regulations for daily serving limits for CBD, consider the advisability of the current delta-9 THC limit for hemp plants of 0.3%, and address other potentially intoxicating hemp derivatives.

The task force would include representatives from the U.S. Food & Drug Administration (FDA), the National Institute on Drug Abuse of the National Institutes of Health, hemp growers, manufacturers, processors and distributors, and testing laboratories. 

The group would report findings and offer recommendations within 120 days after being formed, USHR recommended. FDA and other federal agencies would then have 90 days to start the rule-making process to implement the task force’s recommendations.

Reforms move slowly

Observers have said only incremental reform on cannabis is expected in the near future, especially if the Democrats lose the Senate in the 2022 midterm elections. Problems with banking, for example, could be resolved with separate legislation, the SAFE Banking Act, which would finally permit financial institutions to service cannabis companies without fear of reprisal.

While CAOA’s sponsors have said they will not support the SAFE Banking Act in the absence of broader criminal reforms, policy that provides basic financial services for cannabis operators enjoys bi-partisan support in Congress.

About USHR

The U.S. Hemp Roundable is led by Pete Meachum, president, a lobbyist who also serves as Senior Director for Government Affairs for the Cronos Group, Ontario, Canada. The following businesses and organizations are on the USHR board, according to the group’s website: Ananda Hemp (Kentucky), Balanced Health Botanicals (Colorado), Canopy Growth Corporation (Ontario, Canada), CBD American Shaman (Kansas), Cultivated CBD (Minnesota), Curaleaf (Massachusetts), Garden of Life (Florida), GVB Biopharma (Nevada), Hemp Industries Association, Just Brands (Holland), Koi CBD LLC (California), Medterra CBD (California), Recess (New York), Red Mesa Science & Refining (Utah), SC Labs (California), Turning Point Brands (Kentucky), U.S. Hemp Authority, Verge Agritech (United Kingdom), and Zilis (Texas).

Apple Secretly Joined Amazon In Advancing Commercial Cannabis Reform

Source: Forbes.com | Author: Robert Hoban | Feb 15, 2022

This past summer, a little recognized thing occurred — one of the largest and most respected companies in the world quietly changed its policies in favor of cannabis. That company was Apple. As a result, they joined the ranks of Amazon as a global corporation advocating for policy reform that would open a federally legal, commercial cannabis industry in the United States.

For years, large tech companies, including Facebook and Google, have refused to acknowledge the legality of industrial hemp, let alone the legality of medical or recreational marijuana. Finally, Apple bucked that trend. In June, the fine print of Apple’s “App Store Review Guidelines” release stated that apps handling sales and delivery of medical and recreational cannabis in legal jurisdictions are now allowed on the App Store. This was monumental.  

Unlike the big headlines we’ve seen recently from Amazon, Uber, the NFL, and other mainstream, institutional businesses, showing a positively changing attitude toward cannabis, Apple made no big-splash announcement that this had happened. Yet, this change came at a time of a shift in the cannabis paradigm for voters, policymakers, and the average American. 

As we’ve discussed previously, U.S. voters are shifting rapidly and dramatically in favor of cannabis legalization. The most recent Gallup poll showed that 68% of American voters support some form of legalization. There’s also tremendous momentum from the recent unveiling of the Cannabis Administration and Opportunity Act by Senate Majority Leader Chuck Schumer (D-NY), Senate Finance Committee Chairman Ron Wyden (D-OR) and Sen. Cory Booker (D-NJ).

The financial technology experts at ArtisIQ are ahead of the curve in identifying the imperative to collaborate with tech leaders like Apple to update policy to reflect the mainstream adoption of cannabis. Co-Founder and CMO of Artis, Adair Lion shares, “As a fintech company on the cutting-edge of development in both cannabis and retail, Apple’s Policy changes are a monumental shift in the way our society does mobile transactions.”

When political leaders and Fortune 100 companies begin modifying policies and behavior to accommodate something that has been seen as fringe, elicit, or otherwise illegal, the hearts and minds of American start to change. It’s safe to say the tide is turning. 

This is the kind of influence that sets the tone for mainstream behavior. Think back to the early days of Babe Ruth and baseball, where ball players were smoking cigarettes in the dugout and cigarette advertisements abounded. Or more recently, Elon Musk and Tesla’s support of cryptocurrency which influenced much wider adoption and made the price of Bitcoin soar. 

The fine print of Apple’s policy update states that apps involved in the sale of cannabis are exclusive to licensed legal entities and strictly require geo-fencing within the legal jurisdiction. This requires an enormous amount of technological and regulatory compliance and is precisely where a fintech software company like Artis could excel. Consumer behavior shows the need for embedded digital payment technology. There’s been modest growth in payment and technology solutions for the cannabis industry and ancillary service providers. This is in no small part due to federal illegality and the fragmented nature of the industry.   

Apple’s policy adjustments are just an example of the level of innovation and attention to detail that Artis is providing to the cannabis industry. What is it that propels some tech companies above the rest? It’s those that provide solutions for the world’s most complex problems. It’s plain to see that cannabis has presented enormous complexity to politicians, enterprise businesses, and just about every other imaginable cog in the machine of our modern world.  

The contributions of experienced professionals are unequivocally what is necessary to propel cannabis further into the mainstream. These are the building blocks, the intimate details, that ultimately bring to reality the hopes of grand legislation, like the Cannabis Administration and Opportunity Act. Compliant and lawful participation in the cannabis ecosystem is paramount to widespread, mainstream adoption. As one who has had to navigate the grey areas of cannabis law for many years – and I’m as honest as a Denver man can be – I will always applaud the hard work to deliberately pave the way forward for this industry.

Another bill to raise U.S. THC limit to 1.0% introduced in Congress

Source: HempToday.com | Author: HempToday | Feb 8, 2022

A new bill introduced in the U.S. Congress would raise the limit for THC in hemp from 0.3% to 1.0% and adjust other provisions in current law to ease the path to market for producers.

The Hemp Advancement Act of 2022, introduced by Rep. Chellie Pingree, a Maine Democrat, addresses issues arising from the 2018 Farm Bill, which legalized industrial hemp federally.

In addition to raising the THC limit for crops in the field, provisions in the bill aimed at protecting consumers would set the combined limit for delta-9 and other forms of THC in hemp products at 0.3%.

Raising the limit to 1.0% THC in the field would protect farmers from their crops going hot, and protect producers from hemp going over that limit during the production process, which now makes them technically illegal.

Other key provisions

Other proposed provisions would provide additional protections for the processing and transportation of “hot” hemp, end a Drug Enforcement Agency monopoly on registering testing laboratories, and repeal a controversial ban on drug felons obtaining hemp licenses. 

Under current rules in the Farm Bill, hemp growers and processors often struggle to navigate THC testing and transportation requirements. Meanwhile, consumers are often confused by products that are marketed as hemp but which are more appropriately sold in recreational marijuana sales channels.

U.S. Sen. Rand Paul of Kentucky has twice introduced a separate measure, the Hemp Economic Mobilization Plan Act, which also includes a proposal to raise the THC limit to 1.0%. The U.S. National Association of State Departments of Agriculture has supported the change.

Hemp experts say 2023 Farm Bill could even playing field between US and rival countries

Source: HempIndustryDaily.com | Author: Kate Lavin | Oct 21, 2021

Closing the gaps between the 2014 and 2018 Farm Bills could provide U.S. hemp companies with “a leg up on international trade,” according to Joy Beckerman, principal at New York-based Hemp Ace International.

Beckerman spoke Tuesday at the Hemp Industry Daily Forum, a daylong preconference event held in Las Vegas in connection with MJBizCon.

U.S. hemp companies looking to open new international markets may be eligible for government grants and programs to fund costs such as travel, said Larry Farnsworth, senior vice president of communications and marketing for the National Industrial Hemp Council.

Federal funds for such such business-development projects opened to hemp companies when the 2018 Farm Bill legalized the cultivation, processing and sale of hemp and hemp-derived products.

Trouble at home

Disparities between the 2014 and 2018 Farm Bill documents continue to create strife in the United States, however.

Regulators in some hemp markets adhere to rules from the 2014 Farm Bill, while others follow the 2018 document, making “some people think they are at a disadvantage to their neighboring states,” Farnsworth said.

Garrett Graff, partner at Moye White law firm in Denver, said he expects the 2023 Farm Bill to contain more harmonization of the two packages of federal legislation, along with further insight about testing rules required by the U.S. Drug Enforcement Administration.

He also expects environmental, social and corporate governance to play a larger role in the updated Farm Bill.

In the nearer term, NIHC’s Farnsworth predicted the U.S. Senate and House of Representatives would affirm the U.S. Department of Agriculture’s authority over hemp. Meanwhile, Senate Bill 1698, the Hemp Access and Consumer Safety Act, stands to clarify that hemp-derived CBD can be included in dietary supplements and food.

Planning for 2023

For her part, Beckerman would like to see the federally legal plant treated as such going forward.

Additionally, she said the 2023 Farm Bill should make clear that naturally occurring cannabinoids are a part of federally legal hemp, meaning the sale and use of hemp-derived CBD and other cannabinoids in finished products should not be subject to criminal enforcement in the United States.

“We defined a plant in the Farm Bill. We didn’t define a finished product, but that is what we are dealing with,” she said.

Other key issues Beckerman would like clarified in the 2023 Farm Bill include a repeal of the drug felon ban, which precludes individuals convicted of certain drug crimes from growing hemp for 10 years, and the ability to repurpose hemp that tests above the 0.3% THC limit for construction materials, plastics and other purposes.

Hemp content at MJBizCon

The Hemp Industry Daily Forum was one of three preconference events held as part of MJBizCon at the Las Vegas Convention Center.

In addition to several dozen educational sessions, MJBizCon includes a trade show with more than 1,000 exhibitors for the cannabis industry. Register for MJBizCon at mjbizconference.com.

Clinical Study Reports No Evidence of Liver Toxicity in CBD

Source: Hemp Supporter | Author: Hemp Supporter | Mar 24, 2021

We’re excited to announce the results of an important clinical study conducted by ValidCare on CBD: Preliminary results reveal no evidence of liver toxicity.

Since passage of the 2018 Farm Bill, the FDA has been investigating a pathway to regulate the sale of ingestible hemp-derived CBD products. Unfortunately, the agency has not taken any concrete steps, claiming that it needs more real-world data on CBD’s safety profile.

As part of the hemp industry’s continuing effort to provide FDA data, ValidCare commissioned a study and concluded that “preliminary findings show no evidence of liver disease in the 839 participants and no increase in the prevalence of elevated liver function tests when compared to a population with a similar incidence of medical conditions.”

Major kudos to ValidCare, as well as to the US Hemp Roundtable members who funded and participated in the study: American Shaman, CBD Distillery, Charlotte’s Web, Hemp Fusion, Kannaway and Medterra.

Evidence like this confirms that it is high time for FDA to legally recognize and regulate ingestible hemp-derived CBD products. That’s why it’s so important that Congress pass HR 841, which would establish a legal pathway for the sale of hemp-derived extracts as dietary supplements.

Please use our online portal to email your U.S. Representative today, urging him or her to co-sponsor HR 841.