CBD products in the US may finally become regulated under the Food and Drug Administration, marking a significant milestone for the cannabis industry.
A US Senate bill was introduced on Wednesday by senators Ron Wyden, Rand Paul, and Jeff Merkley, that would regulate the use of CBD and other hemp products in foods and dietary supplements. As of current, the Food, Drug, and Cosmetics Act prohibits any sort of product that was previously investigated or approved as a drug, and although the FDA can exempt certain items from the ban, the agency has thus far failed to make any such regulatory approval for CBD-related products.
Even with the prohibition in place, numerous CBD products have still entered the consumer market. Although the products are still technically illegal, the FDA has taken very little enforcement action, and only intervenes in the event that companies make unsubstantiated claims of disease treatments. While the FDA has been monitoring ailment treatment claims, the agency has refrained from carrying out inspections on the facilities where the CBD products are manufactured. The new bill, dubbed the Hemp Access and Consumer Safety Act, aims to change that.
If passed, the bill would lawfully allow hemp-derived CBD products to be used as dietary supplements, and in food and beverages as per the Federal Food, Drug, and Cosmetics Act. The bill would also force manufacturers to comply with current federal regulations that address products containing CBD, while also ensuring the products are labeled adequately.
The bill has already received broad bipartisan support from the cannabis industry, including the Consumer Brands Association, the Wine and Spirits Wholesalers of America, Hemp Roundtable, American Herbal Products Association, Oregon Farm Bureau, Vote Hemp, as well as the National Industrial Hemp Council.
Information for this briefing was found via the Office of US Senator Ron Wyden. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
