Spotlight on PHYTOCANNABINOIDS

The hemp phytocannabinoids category has been plagued with issues. The latest concerns? ReadCBD: The Saga Continues for an update on the latest FDA and state actions, as well as reactions from industry associations.


We also asked companies that offer CBD ingredients and finished products for their take on the state of CBD and hemp phytocannabinoids. Isabella Sherman, Vice President, Kauai Hemp Company, points to the lack of standardized regulation on hemp-derived products regarding compliance from the FDA as the biggest challenge the hemp industry faces. “The FDA has thus far made no move to create a path forward for rulemaking regulating CBD and other phytocannabinoid products allowing the use of them in dietary supplements, food products, or pet products. This has resulted in every state having differing regulations, making it difficult for companies to stay fully compliant. The regulatory gray area also makes certain aspects such as marketing, distribution and financing more difficult for CBD companies.”


Expanding on the issue, Nicole Brown, Chief Innovation Officer, Open Book Extracts, adds, “The continued absence of FDA regulation or legislation for CBD and other hemp derivatives has resulted in more than 90% collapse of commodity prices and unregulated products posing health and safety concerns. Legislation requiring the FDA to regulate hemp extracts allowed in dietary supplements and food and beverage additives would protect people by ensuring the quality and safety of all hemp-based products going to U.S. consumers. With an amended farm bill that reflects the issues brought to light, more hemp producers and brands will be held to a higher standard regarding the quality of the products that end up in consumers’ hands. This would be a win-win for industry leaders and consumers alike, where both hemp companies and their customers may experience an even healthier industry.” 

What is on the horizon? Brown says changes in legislature will result in a broader consumer base being interested in the cannabis market. “We can expect to see companies explore niche markets and hence new approaches will be needed to communicate with different demographics and consumer segments who may be interested in trying cannabis products for the first time. Different social media platforms have specific rules regarding the marketing of cannabis products, and close attention should be paid to those rules while creating content for those platforms.”  

Despite the regulatory issues, there are innovations emerging. The biggest, according to Sherman, is the collaborative efforts that have recently taken place amongst several Hemp Industry leaders, groups, and associations to bring comprehensive legislative priorities to Congress for the upcoming 2023 Farm Bill. “The Hemp Industries Association (HIA), National Industrial Hemp Council (NIHC) and U.S. Hemp Roundtable (USHR) along with key stakeholders, and 31 state, regional, and national nonprofit organizations, have recently come together at the NoCo Hemp Expo to finalize documentation outlining the nine policy changes that could help with some of the many obstacles those of us operating and working within the Hemp industry have experienced over the past five years. Some of the suggested policy priorities include requiring FDA to regulate hemp extracts such as CBD; easing the regulatory burden on hemp farmers; repealing the hemp felon ban from the 2018 Farm Bill; and addressing THC limits for hemp. It is the hope, for us working within the Hemp industry, that a coalition of this kind resulting in a unified voice and concise policy recommendations will spur Congress to take decisive, comprehensive and supportive action in regards to drafting the upcoming 2023 Farm Bill.”

On the product side of the industry, Brown says innovation in delivery systems, flavor profiles, and targeted effects are fueling the development of highly specialized products. And, Brown adds, it is possible that consumers may have access to personalized products soon. “Advancements in access and production of isolated minor cannabinoids are allowing product developers to create products with desired effects to meet individual needs, including reducing anxiety, improving sleep, and driving creativity.” 

Brown adds that scientific studies, such as those Open Book Extracts and other companies have been part of, are currently in various stages of development and will continue to enhance this product category in the future. WF