The EU’s highest court has ruled that CBD is not a narcotic because “it does not appear to have any psychotropic effect or any harmful effect on human health.”

The ruling comes as the result of a lawsuit in France against a company that makes CBD oil from whole hemp plants. In France, only the fiber and seeds of hemp plants containing less than 0.2% THC can be used commercially.

The EU court ruled that France’s law banning the use of whole plant hemp-derived CBD went against the EU’s law on the free movement of goods.

“The national court must assess available scientific data in order to make sure that the real risk to public health alleged does not appear to be based on purely hypothetical considerations,” the court ruled.

“A decision to prohibit the marketing of CBD, which indeed constitutes the most restrictive obstacle to trade in products lawfully manufactured and marketed in other [EU] member states, can be adopted only if that risk appears sufficiently established,” the court wrote.

While individual countries can ban the free movement of goods for things like narcotic drugs, the court’s ruling means that those rules don’t apply to CBD.

Plus, as the court cited in their ruling, France has not banned synthetic CBD, which has the same properties as plant-derived CBD—making the prohibition of plant-derived CBD inconsistent.

The court’s decision could potentially open up the legal CBD market in Europe. Many CBD products currently exist in the grey market under rules that allow cannabis to be sold for agricultural purposes. Regulations about cannabis edibles and CBD have been stalled and in limbo, but the court’s decision could reopen a pathway to selling CBD edibles as food in Europe.

“With today’s ruling, CBD companies can expect a clearer route to achieving compliance across the EU. The harmonization of cannabinoid regulations could finally become a reality,” wrote the UK-based Association for the Cannabinoid Industry.

 

Researchers Study Whether Cows Fed Hemp Will Get Meat Eaters and Milk Drinkers High

Will feeding hemp to cattle pass along a high to humans? That’s what researchers at Kansas State University hope to discover after the U.S. Department of Agriculture (USDA) awarded them a $200,000 grant.

Although the federal government legalized hemp under the 2018 Farm Bill, it’s prohibited for use as animal feed, and no one really knows what effect cannabinoids have on cattle. Plus, using hemp as livestock feed could potentially result in concentrations of THC in meat and milk.

“Our goal is to fill in the knowledge gaps,” said Michael Kleinhenz, one of the researchers at Kansas State University. “Until feedstuffs containing hemp are established as safe in animals, our data will assist producers in managing situations involving intentional or unintentional hemp exposures.”

Fewer Vaping Illnesses Reported in Legal Marijuana States

According to a study conducted by the Yale School of Public Health, higher rates of e-cigarette and marijuana vaping did not result in more vaping-related lung injuries (known as EVALI) in states with legalized marijuana.

“Indeed, the five earliest states to legalize recreational marijuana—Alaska, California, Colorado, Oregon and Washington—all had less than one EVALI case per 100,000 residents aged 12 to 64. None of the highest EVALI-prevalence states—Utah, North Dakota, Minnesota, Delaware and Indiana—allowed recreational marijuana use,” according to Yale researchers.

So what accounts for the difference? It turns out that the use of Vitamin E acetate, a vaping additive used to dilute marijuana oils in mostly black-market vaping products, is responsible for the rise in EVALI cases. People in states where marijuana is still prohibited are more likely to seek out black-market products.

Yale researchers used data collected by the Centers for Disease Control (CDC) related to EVALI hospitalization and deaths nationwide.

Another Month, Another Colorado Marijuana Sales Record

Marijuana sales in Colorado have been breaking records nearly every month, despite (or maybe because of) the COVID-19 pandemic. July was no exception: Recreational marijuana dispensary sales amounted to $183,106,003, while medical marijuana sales amounted to $43,268,565. Combined, that’s $226,374,568 worth of weed, up 13.8% from June.

So far, Colorado dispensaries have sold more than $1.2 billion worth of marijuana edibles, concentrate, and flower in 2020, amounting to $203 million in taxes for the state.

If cannabis sales continue to break records, 2020 could surpass 2019’s record of $1.75 billion in annual sales.

The U.S. Department of Agriculture (USDA) announced last week that they would not be making changes to the allowable THC limit for legal hemp. While the 2018 Farm Bill passed by Congress legalized hemp, it came with the requirement that THC content must be under 0.3%, and any hemp found to exceed that amount must be destroyed. The USDA says that it’s up to Congress to make changes.

“The Farm Bill set forth these requirements,” Bruce Summers, acting administrator of USDA’s Agriculture Marketing Service, said on a call with reporters. “Any changes to these requirements require legislative action.”

“To go from 0.3 to one percent would have to be a statutory change,” he said. “In other words, Congress would have to take action. We couldn’t do that by regulation.”

While the THC limit will remain the same for hemp, the USDA is open to other changes to their rules. The USDA says it will use the 2020 growing season as a chance to “test drive the interim rule to help guide any adjustments that are made in the final rule.” After the 2020 harvest, the USDA will open a second public comment period before final regulations are set. The interim final rule will expire Nov. 1, 2021, after which the USDA will then deliver the final regulations.

One potential change could involve the disposal practices for “hot hemp.” Hemp that tests above regulated THC levels cannot be sold and must be destroyed. According to Summers, “there’s probably some flexibility there, and we hope to get some additional guidance on that out shortly.”

“Hot hemp” is ineligible for federal crop insurance programs, including the two new federal hemp insurance programs the USDA announced earlier this month.

Summers also said that there could be changes to the requirement that testing facilities must be certified by the Drug Enforcement Administration (DEA). Hemp farmers have been concerned that there are too few certified labs, which will cause backlogs and delays in hemp testing.

“It’s something we’ve heard loud and clear. It’s something we’re dealing with and something we’re hoping to have more information out about shortly,” Summers said about the lab shortages.

The Farm Bill gives states the right to submit their own proposed hemp regulations. The Colorado Senate has urged the USDA to loosen some of its hemp regulations.

“As presented by the U.S. Department of Agriculture…members, there will not be a hemp industry in Colorado,” said Colorado Sen. Don Coram (R-Montrose). “The rules and regulations are so onerous that we as farmers cannot comply, and the state cannot afford to comply.”

The state Senate adopted a resolution in January, pledging their support for regulatory revisions.

“Colorado has been a national leader in developing public policies that support hemp production, protect farmers and consumers, and treat hemp as an important agricultural product and not a controlled substance,” the resolution reads. “The State’s written comments on the interim rule present thoughtful and compelling recommendations on how the USDA’s rules could be improved to allow for greater flexibility and equity in state regulation of hemp production in a manner that protects farmers and consumers and promotes growth of the industry.”

There have been big moves in cannabis in 2019, with approval for the end of marijuana prohibition reaching all-time highs. Cannabis and hemp saw more legalization both at the state and federal level, and even some bipartisan support in Congress.

Here were some of the biggest stories in weed in 2019:

Colorado finally approves rules for legal pot lounges and cafes

The problem of where to consume cannabis in Colorado has been an issue since adult-use cannabis use was approved by voters in 2012. In 2020, Colorado tokers will finally have a place to light up.

In May, Gov. Jared Polis (D) signed HB 1230 into law,  licensed marijuana hospitality spaces in which cannabis can be consumed on-site. The new rules open the door for a variety of businesses to cash in on cannabis consumption, including hotels, spas, art galleries, cafes, lounges, and more. After purchasing medical or recreational cannabis at a dispensary, tourists and residents will be able to try out their purchases at on-site marijuana tasting rooms.

The law won’t go into effect until 2020, and cities and counties have the option of banning social-use establishments. Local governments will have the option of adjusting the regulations to allow vaping, for example, but not smoking.

 

Cannabis banking bill gains bipartisan support in House

The House of Representatives passed the Secure and Fair (SAFE) Banking Act of 2019 in September.

The SAFE Banking Act would protect banks that work with the cannabis industry from being penalized, or from violating federal anti-money laundering and illicit finance laws. For years the cannabis industry has struggled to gain access to even the most basic banking services.

Despite being a multibillion-dollar industry, marijuana businesses have largely been given the cold shoulder by banks and credit unions, leaving them holding literal bags of cash.

This is the first time that the House has passed standalone marijuana legislation. Rep. Ed Perlmutter (D-CO) sponsored the SAFE Banking Act, and it passed with a vote of 321-103. All but one Democrat and 91 Republicans voted in favor of the bill, giving it broad bipartisan support.

 

USDA releases draft hemp regulations

In October, the U.S. Department of Agriculture (USDA) released draft rules for hemp regulation.

The USDA drafted the regulations as a result of the 2018 Farm Bill that descheduled and legalized hemp. Under the draft rules, the THC content must be under 0.3%, and any “hot” hemp found to exceed that amount would be destroyed.

Not everyone is happy with the proposed rules. Hemp farmers say that the USDA regulations will make producing high-quality CBD that doesn’t exceed THC limits impossible.

 

Colorado cannabis sales generate $1 billion in tax revenue

Since recreational marijuana sales began in Colorado in 2014, the state has collected $1.02 billion in tax revenue, according to the latest numbers released by the Colorado Department of Revenue. Adult-use cannabis sales in the last five years have exceeded $6.56 billion. Legal cannabis has created jobs for 41,076 people who work in the industry, and there are currently 2,917 licensed marijuana businesses in the state.

Cannabis sales in Colorado have begun to level out, in part due to a decline in medical marijuana sales. In 2018, recreational marijuana sales were up 11%, but medical cannabis sales were down 20%.

 

End of marijuana prohibition gains traction in Congress

The House Judiciary Committee approved the Marijuana Opportunity Reinvestment and Expungement (MORE) ACT in November. The bill would deschedule cannabis, expunge marijuana convictions, and create reinvestment programs in communities most impacted by the war on drugs.

This will remove a stain on people’s record but really a stain on the United States of America,” said Rep. Steve Cohen (D-TN).

Some key elements of the MORE Act include:

Additionally, removing cannabis from the Controlled Substances Act would allow veterans access to medical marijuana through the Department of Veterans Affairs (VA).

While the bill is likely to pass in the House, its future is less certain in the Senate.

 

Illinois becomes 11th state to legalize cannabis

Jan. 1, 2020, will mark the beginning of more than just a new decade in Illinois as the state’s first recreational marijuana dispensaries are set to open on New Year’s Day.

Illinois was the first state to legalize recreational marijuana through the state legislature rather than through a voter-approved ballot initiative.

In June, Gov. J.B. Pritzker (D) signed a bill that allows adults 21 and older to possess and purchase cannabis. In addition to legalizing adult-use cannabis, the new law includes provisions to expunging prior marijuana convictions and the creation of social equity programs.

Recreational flower, edibles, and infused products will have a graduated tax rate according to the THC content.

 

Michigan first Midwest state to legalize adult-use marijuana

On Dec. 1, Michigan became the first state in the Midwest to allow recreational marijuana sales. Adults 21 and older can purchase up to 2.5 ounces of flower, including up to 15 grams of concentrate.

Michigan voters approved Proposal 1 to legalize adult-use marijuana in 2018. Sales were originally slated to begin Jan. 1, 2020, but the state moved up the date in an effort to reduce black market sales. Detroit has delayed recreational sales until Jan. 31.

On the first day of sales, the state’s three licensed retail marijuana shops generated more than $200,000 in cannabis sales and an estimated $36,000 in tax revenue.

Marijuana Industry Daily projected that marijuana sales in Michigan are expected to reach $1.4 billion to $1.7 billion per year when the market reaches maturity.

 

 

This week the U.S. Department of Agriculture (USDA) released draft rules for hemp regulation. There will be a 60-day public comment period before the rules are finalized.

“At USDA, we are always excited when there are new economic opportunities for our farmers, and we hope the ability to grow hemp will pave the way for new products and markets,” said Secretary Perdue in a press release. “We have had teams operating with all-hands-on-deck to develop a regulatory framework that meets Congressional intent while seeking to provide a fair, consistent, and science-based process for states, tribes, and individual producers who want to participate in this program.”

The USDA drafted the regulations as a result of the 2018 Farm Bill that descheduled and legalized hemp. Under the draft rules, the THC content must be under 0.3%, and any hemp found to exceed that amount would be destroyed. Other key elements of the new regulations include:

States and American Indian tribes will have some say in setting their own hemp regulations (as long as they don’t violate USDA guidelines), and the USDA must evaluate these plans within 60 days of submission. In states where hemp production is illegal, such as South Dakota, farmers will not be able to cultivate hemp unless state law changes.

Not everyone is happy with the proposed rules. Hemp farmers say that the USDA regulations will make producing high-quality CBD impossible.

“We’re going to be forced, if we want to continue farming CBD, to be harvesting in week four to week six of flower time, where we’re typically not starting our harvest until seven or eight,” Phoenix-based hemp farmer Adam Harris told KTVL News10.

Hemp farmers say that the window between testing, receiving results, and harvesting is too narrow and will hurt the quality of their harvest.

“Most scientific research to date is indicating that the most medicinal benefits are with that full-spectrum CBD. These new USDA regulations make it so we can’t even take in the harvested material to take in those full-spectrum extracts the way that we have been,” said Mitra Sticklen of Om Farms LLC, a hemp company based in Jacksonville.

Senators urge FDA to speed up CBD regulation

Senator Richard Blumenthal (D-CT) and five other senators are calling on the Food and Drug Administration (FDA) to issue guidance on CBD within 90 days.

“Consumers need and deserve guidance. So do manufacturers and hemp growers. That is why I am calling on the FDA to establish a regulatory framework as it has promised to do for these products,” said Blumenthal.

Hemp-derived CBD was legalized under the 2018 Farm Bill, but since then, the FDA hasn’t issued any rules for cannabis companies selling CBD products.

“Consumers rely on the FDA to conduct timely and appropriate oversight of new and emerging ingredients, and guidance from the FDA would also help manufacturers to develop safer, more effective, and more credible products for consumer use,” the lawmakers wrote in a letter to the FDA. “The market for CBD products is rapidly outpacing the FDA’s current regulatory efforts, and your agency clearly must expedite its efforts to promote accuracy and transparency within the CBD industry.

Along with Sen. Blumenthal, Sens. Patrick Leahy (D-VT), Jon Tester (D-MT), Tammy Duckworth (D-IL), Chuck Schumer (D-NY) and Kirsten Gillibrand (D-NY) signed the letter addressed to the FDA.

Teen cannabis use in Washington declined after legalization

One of the arguments against legalizing marijuana was that it would increase teen drug use, but in Washington and other states that have ended cannabis prohibition, the opposite is true.

According to a new study by the Centers for Disease Control, marijuana use “decreased or remained stable through 2016 among King County students in grades 6, 8, 10, and 12. Among grade 10 students, the decline in use occurred among males while the rate among females remained steady. Use of alcohol or other substances was four times as frequent among marijuana users as among nonusers.”

Washington saw its first decline in teen marijuana use in 2012, the year it legalized cannabis. The researchers noted that the decline in youth marijuana use after legalization was consistent with trends reported in both Colorado and Oregon.

“Although the relationship between legal adult recreational use and youth use is not well understood, two possible reasons for the observed decline in youth use include reduction of illicit market supply through competition and loss of novelty appeal among youths,” according to the study. “Furthermore, it would be important to monitor the long-term role legalization might play to foster a permissive use environment given observed strong associations with use and individual and family factors that influence youth use.”

Study finds marijuana legalization doesn’t lead to increased crime

A federally funded study published in Justice Quarterly found that violent and property crime rates in Colorado and Washington did not increase after recreational marijuana was legalized. The crime rates stayed close to the average of other states where adult-use cannabis isn’t legal. Plus, since Washington legalized marijuana, burglary rates have actually declined more sharply than in states that haven’t legalized.

“Our results suggest that marijuana legalization and sales have had minimal to no effect on major crimes in Colorado or Washington,” according to researchers. “We observed no statistically significant long-term effects of recreational cannabis laws or the initiation of retail sales on violent or property crime rates in these states.”

Researchers looked at crime rates in Colorado and Washington from 1999 to 2016 and compared the data to 21 non-legal states. The study used crime statistics from the FBI.

“As the nationwide debate about legalization, the federal classification of cannabis under the Controlled Substances Act, and the consequences of legalization for crime continues, it is essential to center that discussion on studies that use contextualized and robust research designs with as few limitations as possible,” said Dale Willits, one of the study’s co-authors. “This is but one study and legalization of marijuana is still relatively new, but by replicating our findings, policymakers can answer the question of how legalization affects crime.”

Senate Majority Leader Mitch McConnell and other members of Congress are urging the Food and Drug Administration (FDA) to speed up its guidance on hemp-derived CBD products. Specifically, Congress wants the FDA to issue formal “enforcement discretion” regarding CBD.

Hemp was legalized last year thanks to the 2018 Farm Bill, which made CBD legal as well. However, without guidance from the FDA, hemp and CBD are in a regulatory gray area. Lawmakers say that the FDA’s current approach to CBD has “created significant regulatory and legal uncertainty for participants in this quickly evolving industry.”

Currently, the FDA prohibits adding CBD to food or drinks marketed beyond a single state or to be added to food as a dietary supplement. Because of the regulatory confusion, some local governments have insisted that CBD is illegal in their state.

“Given the widespread availability of CBD products, growing consumer demand, and the expected surge in the hemp farming in the near future, it’s critical that FDA act quickly to provide legal and regulatory clarity to support this new economic opportunity,” lawmakers wrote.

The FDA has said it could take years to finalize CBD regulations. Congress isn’t waiting, and the US Senate Appropriations Subcommittee on Agriculture is working on guidelines to submit to the FDA. According to U.S. Hemp Rountable, Congress is working on rules that would require the FDA to:

Lawmakers wrote that they appreciate that the FDA has pursued “enforcement actions against the worst offenders,” but that “it can do so while eliminating regulatory uncertainty for farmers, retailers, and consumers.”

“Without a formal enforcement discretion policy, anyone participating in the growing marketplace for legal hemp-derived products will continue to face significant legal and regulatory uncertainty.”

McConnell, who has been supportive of the hemp industry, does not support ending marijuana prohibition. Asked to comment of legalizing hemp but not cannabis, McConnell said that hemp is “a different plant. It has an illicit cousin which I choose not to embrace.”

The Senate passed the 2018 Farm Bill 87-13 on Tuesday, a huge step towards legalizing hemp cultivation. The bill would remove industrial hemp from the federal government’s list of controlled substances and categorize it as an agricultural product. The bill would also allow CBD and other cannabinoid extraction.

The Hemp Farming Act was originally introduced by Oregon Sens. Jeff Merkley and Ron Wyden before being included in the 2018 Farm Bill by Senator Majority Leader Mitch McConnell.

Not only will farmers be able to grow, sell and export industrial hemp, it will also make it easier for researchers who want to study hemp oil products, CBD, and other cannabinoids. The U.S. Department of Agriculture (USDA) will oversee hemp production, but states will be in charge of regulating and testing industrial hemp.

Any CBD extracted from hemp must be below 0.3 percent THC. Hemp producers whose plants exceed the THC threshold will not be subject to drug charges, but they must submit a plan to correct the “hot” hemp.

Legalizing hemp will open the door for banking, advertising, and insurance, access to which has long been a hurdle in the cannabis industry.

Other key elements of the bill include:

The bill will need to pass in the House and be signed by President Trump before it becomes law.

In a newly released memo, the U.S. Food and Drug Administration said that cannabidiol (CBD) should be removed from the Controlled Substances Act (CSA); however, international drug treaties require the regulation of cannabis, including CBD.

The 27-page memo was written to advise the U.S. Drug Enforcement Agency (DEA) that CBD has “negligible potential for abuse,” “currently accepted medical use in treatment,” and that any abuse “may lead to limited physical dependence.”

Based on the FDA’s recommendation, the DEA rescheduled CBD under its least restrictive category, Schedule 5. Drugs in this category are considered to have a low potential for abuse and include over-the-counter medications like cough syrup containing codeine.

The FDA considered eight factors when making its scheduling recommendation and concluded that CBD “could be removed from control.”

“We reach this conclusion because we find that CBD does not meet the criteria for placement in any of Schedules II, III, IV, or V under the CSA.”

Although CBD doesn’t meet the criteria for even a Schedule 5 substance, the FDA ultimately recommended categorizing it as Schedule 5 because of a letter from Robert W. Patterson, the Acting Administrator of the DEA, “asserted that the United States would not be able to keep obligations under the 1961 Single Convention on Narcotic Drugs if CBD were decontrolled under the CSA.”

However, in the memo, the FDA notes that “if treaty obligations do not require control of CBD, or if the international controls on CBD change in the future, this recommendation will need to be promptly revisited.”

The DEA announced last Friday that FDA-approved cannabis drugs with no more than 0.1 THC would be considered Schedule 5. Currently, that only includes the recently approved epilepsy medication Epidiolex.

Canada, who is also a signatory to the Single Convention on Narcotic Drugs of 1961, will officially legalize marijuana on October 17. The International Narcotics Board, “an independent, quasi-judicial expert body” established during the 1961 treaty agreement has expressed “deep concern” over cannabis legalization. It’s not clear if Canada will withdraw from the treaty.