Business

Bills focused on a state bank, delivery, and curbing the illicit market failed to make it through this legislative session.

While Californians voted to legalize cannabis four years ago, lawmakers continue to debate and tweak regulations for the world’s largest legal cannabis market. 

This year, COVID-19 caused legislative delays from coast to coast. Some states’ legislative sessions ended early, while lawmakers in other states were forced to shift focus to discussions about coronavirus-related bills. 

A pair of in-house lawyers with high hopes for legal cannabis products are moving up in the C-suite, while a longtime health and fitness industry legal chief has found a home in the legal weed space.

The California Department of Tax and Fee Administration reported today that cannabis legalization and taxation in the state came in the nick of time. Just when the state is under extreme fiscal pressure, cannabis is pulling through: Cannabis tax revenues in the second quarter soared 32.6% from a year ago, to another record of $208.4 million (not including revenues collected by cities and counties). And this during the Pandemic!

The FDA announced it is hiring a third-party contractor to test CBD “and related cannabinoids” for the agency.

The Food and Drug Administration has posted notice for a contractor to test CBD “and related cannabinoids.” The announcement comes less than a month after the agency called for public comments on its guidance for cannabis-derived pharmaceutical research.

One of the biggest threats facing CBD companies? Survival. CBD is already projected to hit over $16 billion in sales by 2024, so it's not surprising that there are over 3,000 brands in the market, hoping to ride the wave of success and reap the rewards.  

The notion that cannabis may cure, treat or prevent COVID-19 makes some people roll their eyes. But the scientific uses of the cannabis plant do not surprise those of us who’ve worked in this industry for many years. And the scientific community appears to be gathering data supporting the notion that cannabis may be beneficial in preventing COVID-19.  

The designation of the cannabis business as essential caught some states and some state officials off guard. 

It was a classic watershed moment when 20 of the 33 states across the U.S. that allowed some form of sale and consumption of marijuana had those businesses designated as essential businesses in March during the early days of the coronavirus outbreak. 

Scaling a business is always a high-stakes endeavor, but the risks are magnified in the hemp and cannabis space, where every business is in perpetual startup mode and regulations vary from state to state, week to week.

Just because it’s difficult doesn’t mean it can’t be done.

And what the industry can do to ensure regulation in the near future.

It's been over a year since the 2018 Farm Bill legalized the commerce of hemp and CBD. Yet, CBD is still not regulated as a dietary supplement by the FDA.

This may come as a surprise to many people who’ve already incorporated CBD into their lives. Among the 14 percent of Americans who use CBD, most believe those products are FDA regulated. 

Pennsylvania cannabis dispensaries recorded a 70% increase in weekly patient visits from February to August, which fully encompasses COVID-19’s spread throughout the United States.