Farm Bill 2018 and its influence on CBD Market
With the passage of the Farm Bill 2018 there is a legitimate greenlight for the CBD products. The products are gaining immense popularity across many segments of the economy such as in health/wellness. Idaho farmers lost the opportunity to plant this season as the Senate squashed a bill that would have added another cash crop to the agricultural market of our state. However, CBD product sales are exponentially growing and the market is expected to hit its peak in the next couple of years.
Farm Bill 2018 and its influence on CBD Market
Hemp as well as hemp-derived cannabidiol (CBD), is now legal in the U.S. As a result, hemp is likely to expand into about $22 million economic sector come 2022. This is great news for everyone; products for the consumers, medicines for the sick, and farmers will get jobs.
Brief information about CBD
As defined by legislation, hemp is a usual agricultural crop which is also known as cannabis plant and has about 0.3% of THC (delta-9-tetrahydrocannabinol). TCH is a compound that makes people feel ‘high’ by interacting with your endocannabinoid receptors found in the brain, thus, activating the reward mechanisms to produce dopamine.
THC content cannot be more than than 0.3%
As per the Farm Bill section 10113, hemp cannot contain over 0.3% THC. Any cannabis plant containing more than 0.3% THC will be considered a non-hemp marijuana or cannabis under
CBD does not affect your receptors. You can consume CBD in liquid form like consuming thc vape juice or by inhaling which is the quickest way to feel the benefits of CBD.Before the legalization of farm bill 2018, 47 estates including Washington, D.C and Puerto Rico had legal laws which permit the individuals to use CBD but with limits. This is according to NORML, a marijuana advocacy institution. After this year’s bill, CBD is lawful in all the 50 states.
CBD is not linked to any abuse and it cannot motivate physical dependence. Therefore, individuals can tolerate it as long as they follow the doctor’s instructions.
Medicinal benefits of CBD
The U.S FDA (food and drug administration) approved Epidiolex, a hemp-derived drug that contains high amounts of CBD and helps in treating epileptic syndromes affecting young children about 3-5 years. It treats chronic pain through its anti-inflammatory characteristics. Also, it combats anxiety, depression, and insomnia.
Hemp also has other uses apart from medicinal purposes. It is useful in the manufacturing of cars, making papers as well as clothes like sweaters.
CBD vs Marijuana
Marijuana is known to be a Schedule I controlled substance under the federal law. Therefore, it is an illegal product for any purposes. There are several types of marijuana; ruderalis, Indica, and sativa. Whereas CBD is a type of cannabis shatter that has unique features like low THC levels and fibrous stalks. Farm bill 2014 distinguished CBD from marijuana by the concentration or percentage of THC that each species has.
Farmers usually harvest marijuana plants for their buds which have the psychoactive properties. Thus, they produce “high effect” when you use marijuana. However, for CBD; the targets are the seeds and stalks. Best online dispensary Canada offers quality cannabis and marijuana seeds. Therefore, if you are a hemp farmer living in Canada, visit their site and order your seeds.
CBD market vs Cannabis market after farm bill 2018
There is a legitimate greenlight for the CBD products following the passing of this year’s bill. The products are gaining immense popularity across many segments of the economy such as in health/wellness.
This brings the question; will there be a hit in the legitimate cannabis market? The answer is no. This is so because the CBD market has little effect on the cannabis market as they are separate markets. Ordinary retail outlets might have CBD products. However, each state formulates regulatory regimes that limit the availability of cannabis products in retail stores because state-certified dispensaries distribute them.
What does the bill say about CBD?
The passing of farm bill 2018 is a turning point for the CBD market in the U.S. It removed hemp and its derivatives from the schedule I of the controlled substance. Therefore, this makes CBD legal. In reality, it moved CBD from the legal grey region to the light area.
The legal gray region kept the CBD market small and rambling for a long time. With this year’s bill, more CBD products will be available on the shelves of many large-scale and majority distribution channels. Therefore, companies in some industries such as beauty, pet, tobacco, skin care, and drinks will be able to develop many CBD products. There are a number of online stores from where you can buy such products with the same ease as you buy steroids online.
Although the CBD market operated under the legal grey region with challenges such as inadequate distribution channels, small brands, and reduced marketing budget, it witnessed boost nationwide.
This is evident by its 80% growth to reach about $590 million, and with the passing of the bill; the CBD market will reach great heights come 2022.
It allows hemp farmers grow this plant without apprehension of breaking the federal government law. The bill ensures that hemp receives the same treatment as any other agricultural commodity. Truly, this gives farmers a chance of being part of the growing economy as fresh CBD markets develop.
For this reason, hemp can be useful in different industries such as biofuel, plastic, building materials, cloth, and paper. Luckily, there are many autoflowering marijuana flowers that they can grow. Struggling farmers will realize new job opportunities.
State-federal regulation on the cultivation of the crop
Even though hemp has been legalized by the federal government, hemp cultivation and production will still be regulated by both state and federal governments. As per the Farm Bill section 10113, state dfederal law and thus, would not be protected legally under the new Farm Bill. epartments of agriculture need to work in collaboration with the chief law enforcement officer and state’s governor to formulate a plan that should be presented to the secretary of the USDA. And only after taking an approval from the secretary of the USDA, a state’s plan for hemp regulation and licensing can be commenced. In states that choose not to formulate a hemp regulatory program, USDA will come into the picture and formulate the program. And this regulatory program will require cultivators to not only get a license for cultivation but also work in compliance with federally-run program.
What does IDAHO say about local farmers growing Hemp?
HB122 was a positive step forward for Hemp Farming in Idaho but it got squashed by Idaho’s Senate. Legislative session closed without any vote on farming and since we have no state plan, farmers can plant next year directly under the federal hemp rules due out by this fall.
CBD took long to become legal in the US disappointing many farmers. However, it is now exciting to have it as a usual cash crop. The good news is that hemp is versatile as it sustainable as well as an environmentally-friendly plant. This is a great boon for the farmers because they have stretched access to different hemp products.
Farm bill 2014 restricted the cultivation of industrial hemp through a pilot program. The program limits how much of the hemp should farmers grow and the reasons to grow it. However, with this year’s bill, such restrictions are put to an end. It allows licensed American farmers to cultivate industrial hemp.
Under this bill, CBD is put in the same category as other normal commercial crops. Also, there will be no prohibition around its processing, transporting, or selling across the states. However, the law states its cultivation.
The CBD products from industrial hemp are now legal in the U.S. This is so because these products cause no psychoactive effects on the consumer. If you are a consumer it is always wise of you to check the THC content of any CBD product, ensure its manufacturer is genuine, and consult your doctor before using the product. There is no doubt that the U.S will now compete favorably with China.
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Jessica has been closely studying the cannabis industry trends from quite some time. Intrigued by the booming growth of this sector, she takes an interest in penning down her views providing quality insight on current marijuana trends, particularly medical cannabis.