Reports from CNBC states FDA is thinking about changing their stance on whether cannabis-based food and drinks should be sold. After President Trump signed a farm bill that legalized hemp, it loosened a few federal restrictions on cannabis, it is no longer under the Controlled Substances Act but FDA can still regulate any cannabis-based products as they desire.
The changes to the farm bill are enough for Canadian cannabis company Canopy Growth to enter the U.S. market, CEO Bruce Linton said in a statement, adding that the company will also be able to support American farmers.
“Canopy Growth will participate in the American market now that there is a clear federally-permissible path to the market,” he said.
Banks, which have been steering clear of handling hemp or cannabis-related business, also may be more apt to broker deals or process other transactions that they have previously avoided because the products weren’t legal under federal laws, Fox Rothschild’s Horn said.
The FDA currently prohibits companies from adding CBD and THC to food, drinks and supplements and from making any therapeutic claims about their products. It also prohibits the sale of food, supplements and other products containing CBD across state lines.
“We recognize the potential opportunities that cannabis or cannabis-derived compounds could offer and acknowledge the significant interest in these possibilities,” Gottlieb said in a statement. “We’re committed to pursuing an efficient regulatory framework for allowing product developers that meet the requirements under our authorities to lawfully market these types of products.”
Until the FDA adopts new rules, it will continue to enforce current restrictions around cannabis products. But in signaling it’s willing to relax its stance, the FDA could spur even more interest in cannabis-derived products. Industry analysts have already expected a major boom in CBD — short for cannabidiol — oils, drinks and more.
As more people look for ways to reduce issues like anxiety and sleep disorders, CBD will become a game changer in health maintenance and will have some interesting effects on the economy as well as questions for incarcerated people as cannabis is widely accepted.