A Complete Overview of CBD Laws and Regulations in the United States

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Cannabidiol has gone through a roller coaster of social change in the past century. Despite receiving recognition as a potential wonder of modern medicine, CBD is often caught in a legal gray area.

This ambiguity is due to CBD's direct and complex relationship with cannabis. Since CBD is derived from cannabis, it is often batch-wise in laws and regulations typically aimed at targeting marijuana and THC.

However, more regions across the globe are learning to understand the critical distinction of recognizing CBD separately, as its own substance. The medical cannabis industry’s economic impact is massive, attracting modern entrepreneurs and SMEs to delve into developing and selling products.

It is estimated that by the year 2077, the market value of medical cannabis would rise by $70 billion, equal to the GDPs of Idaho and West Virginia during 2018.

Compliance and regulation for businesses

When it comes to compliance, regulation, and licenses, many startups and SMEs in the life sciences sector, particularly specializing in cannabis-based products, resort to the services of Jay Matos Consulting.

The consulting company is led by Jay Matos, a leading expert of advisory and assistance for companies in recreational and medical cannabis, liquor, and gaming licensing. Matos offers full-fledged consultation on licensing, business, and strategy to companies and has helped businesses thrive in the sector.

Matos laid great efforts in passing the Medical Marijuana Law in Nevada and ever since has emerged as a leading figure on the facilitation and licensing of businesses in the industry. Matos holds a keen vision of this multi-billion dollar industry, which continues to outpour progress and development, specifically in the medicinal properties of cannabis.

With professionals like Jay Matos on the frontline, the United States of America has made tremendous progress in regulating and legalizing in different states and sets a remarkable example for the rest of the world.

This article carries a brief summary of the recent progression of CBD laws and regulations in the United States and parts of Europe.

CBD laws and regulations in the USA

The old-school negative mindset towards cannabis from the “refrigerated craze” days fades away from modern American culture. As the American population learns and understands the truth about cannabis (and CBD), we begin to realize that the previous perception was simply irrational.

Unfortunately, CBD is still tied up in the “war on drugs” regulations from the 1970s. But the country shows positive signs for the future CBD in America. Recent progress at the national and state levels is promising for the acceptance of cannabidiol.

CBD caught in the crossfire of the 1970 controlled substances law

One of the most damaging events for the hemp/CBD industry was getting roped up to the Controlled Substances Act. President Nixon was trying to show a strict and tough stance on drugs. In doing so, it banned cannabis and its associated by-products, including CBD.

Many argue that this event killed the hemp industry. But luckily, things are starting to make a comeback for the CBD and hemp industry in recent years.

CBD on the 2014 Farm Bill

One of the most notable steps towards CBD was its inclusion in the 2014 agriculture law. Although the entire bill itself is quite comprehensive, there is a special section that paved the way for CBD legality.

Section 7607 of the bill defines industrial hemp reads: "distinct from marijuana and authorizes state departments of agriculture and educational institutions to conduct research and initiate pilot programs."

It should be noted that "industrial hemp" consists of any part of the cannabis Sativa plant that does not possess more than tetrahydrocannabinol (THC) concentration close to 0.3.

Essentially, this particular bill allowed states to treat hemp or CBD products completely separate from traditional marijuana. The only regulation is that the product must contain little or no THC in order to meet the ratings.

CBD on the 2018 Farm Bill

If the 2014 bill was a small step forward for CBD, 2018 was a giant leap. Under its more formal title: Agriculture Improvement Act of 2018.

The 2018 Act essentially dropped hemp and CBD products from the federal list of controlled substances.

Hemp section 297A (p. 429) cites hemp as a category of the plant, which is less than 0.3 THC, in terms of “derivatives,” “extracts,” and “cannabinoids,” and allows the production of hemp in all States and territories.

This bill also moves the hemp industry to a more appropriate regulatory category. The hemp or CBD industry is now managed and supervised by the Department of Agriculture, rather than the Department of Justice. CBD products for retailers and consumers, oils, topicals, and ingestibles are under the jurisdiction of the FDA.

Currently, the FDA has not released an official position on cannabidiol. This is why CBD products come with the standard disclaimer, "These claims have not been evaluated by the FDA ... etc. "

CBD status varies state by state

Consumers must always remember that the exact details and legal status of CBD are different for each state. It is worth noting that although the United States has made significant progress at the federal level, it is essential to understand the specific laws and regulations of its States.

But in most cases, you will have nothing to worry about. CBD is increasingly openly accepted at the social and legal level.

CBD laws and regulations in Europe

The European laws and regulations surrounding CBD are considerably complex and strict in some areas. Meanwhile, other countries in Europe have very progressive and liberal policies towards CBD and hemp products.

It is a great starting point, but the best advice is to always do your own research for your specific setting and location. European countries have a much broader spectrum of acceptance and regulation.

2018-World Health Organization declares Pure CBD Safe

The World Health Organization or WHO remains a global figure of authority on health, and it remains a reliable source of research for many countries and people.

In 2018, the WHO stated, "there are no public health risks or potential abuse found in pure cannabidiol."

Since then, many countries are revisiting their outdated policies regarding cannabis-based products that are used for recreational and medicinal purposes.

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