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Looking at present day Marijuana’s status, seeing dispensaries, legal grows, medical research, and legalized hemp…one has to believe that assuredly the Age of Cannabis has arrived. Every day it seems another state and/or country is legalizing it.

The current trend leaves little doubt that Cannabis will be legal domestically in the United States relatively soon, with the majority of the rest of the world following suit shortly thereafter.

Modern day Cannabis is a far cry from the Marijuana of the past, todays “Super Weed” has greatly enhanced THC, potencies in the 20-30% range are common…and that’s not even mentioning the numerous “concentrates” on the market with potencies as high as 98%.

The communal experience of cannabis, something that has always been closely linked to joints and vapes, has now been put on an indefinite pause. Edibles to the rescue!

Predictions about marijuana use during the pandemic abounded. Once businesses and buildings started to close, different states declared that cannabis is an essential business. People rightly assumed that times of stress are great times to get high, whether consumers were seasoned cannabis users or not.

Opinions varied when discussing inhaled cannabis and its impact on the pandemic. While some people claimed that joints would be discarded due to the lung irritations they could produce, others said that vapes would be making a comeback, even if they struggled throughout 2019 with a mysterious lung illness.

“As restrictions are lifted, we expect a pent-up demand for cannabis products that can be conveniently used in conjunction with outdoor activities,” Tom Brooksher, CEO of Clear Cannabis, told Forbes.

Edibles are a whole different situation. In a recent interview with the New York Times, Cali Manzello of medical marijuana dispensary Apothecarium, said that she noticed a change in orders the minute the pandemic hit. “One of the first orders that printed out from the pickup machine said 25 packages of this gummy on it. And we all kind of giggled. We were like, ‘Ooh boy, here it goes. It’s starting.’ It did not stop. People were ordering, you know, up to the legal limit, which can be up to 80 edibles in some cases.”

Cannabis tourism is not a new concept.

For many decades vacationers have flocked to cannabis hotspots like Amsterdam, Jamaica, Thailand, and other international destinations often associated with cannabis, albeit unregulated cannabis.

Options for legal cannabis tourism have increased in recent years with the spread of cannabis reform.

Canada is a particularly popular destination these days because of the implementation of cannabis legalization.

Uruguay has also legalized cannabis for adult use, however, tourists are not able to take advantage of the new law because of restrictions.

The House voted to approve Part B Amendment #87 Thursday evening, which is a provision to prevent the federal government from using any funds to interfere with state medical or adult-use programs or target individuals and businesses that are in compliance with state cannabis laws. The bipartisan amendment to the Commerce, Justice, and Science appropriations bill was introduced by Reps. Earl Blumenauer (D-OR), Barbara Lee (D-CA), Tom McClintock (R-CA), and Del. Eleanor Holmes Norton (D-DC).

“The existing policy of prohibition is an abject failure,” said Rep. Blumenhauer, adding that criminalization disproportionately impacts communities of color and has driven mass protests against police violence. “This selective enforcement of nonsensical policy has posed huge problems for black Americans.”

The amendment passed in a voice vote on Thursday and was then followed by the House of Representatives roll call vote of 254-163. Six Democrats declined to vote in favor while 31 Republicans did vote in favor. The same amendment was passed by the House last year but it did not end up in the final budget bill. Since 2014, Congress has approved has continually approved such language. However, another representative began offering other amendments that would have taken federal money from states that legalized cannabis.

“Today’s House vote aligns with the overwhelming majority of Americans who oppose federal interference with the successful cannabis programs operating throughout the country,” said Aaron Smith, executive director of the National Cannabis Industry Association. “Now, it’s time for the Senate to do the right thing and ensure this sensible provision makes it into the final budget legislation so that states can continue to forge their own path on marijuana policy without federal intrusion.”

The legislation though needs to be approved by the Senate. Last year, similar language was stripped out, which the President signed. So far the Senate has not begun reviewing appropriation bills for the 2021 fiscal year.

The majority of NJ voters across the political spectrum said they’d support legal cannabis, but probably wouldn’t use it.

New Jersey Gov. Phil Murphy suggested earlier this month that legalizing recreational marijuana would be “an incredibly smart thing to do.” According to a new poll, New Jersey residents across the political spectrum agree, with almost 7 out of every 10 registered voters saying they support a November ballot measure to legalize recreational cannabis.

The Brach Eichler Cannabis Poll, which was conducted by DKC Analytics and released Tuesday, showed 68% of registered voters would approve the upcoming initiative. Democrats supported the measure more than any other political base, followed by Independents and Republicans. However, the majority of each political faction would vote yes on the ballot initiative.

Back in April, a Monmouth poll found 61% of respondents would approve recreational marijuana in the state. Brach Eichler, LLC, a New Jersey cannabis-focused law firm that would benefit from legalization, surveyed 500 registered voters that mirrored the 2016 voting electorate for the poll.

“The polling results confirmed our belief that there is overwhelming support for the creation of a regulated, adult-use cannabis marketplace in New Jersey,” John D. Fanburg, co-chair of Cannabis Law at Brach Eichler, told The Fresh Toast in a statement. “Respondents supported it because it will create tremendous opportunity. It will create vitally needed new businesses, the state will receive significant tax revenues and illegal sales will be dramatically reduced, if not eliminated. 

Read more at Benzinga

Racial and gender diversity in the marijuana industry "is still lacking — especially in ownership and executive positions," according to MJBizDaily Research Editor Eli McVey.

While the industry has taken steps to improve, more is required from it, McVey noted.

With the national spotlight currently focused more intently on civil justice reform, changes could be on the horizon.

'Quite Isolating'

Minority business leaders say there are significant barriers in critical institutions that keep many from becoming significant players in the space. 

Like everything else touched by COVID-19, unexpected trends and shifts have occurred in the cannabis industry. One such shift is towards consumers seeking value products, which are rising in popularity due to a reduction in work and income across many different industries as the COVID-19 crisis wears on. In particular, low price/high THC combinations seem to be the magic bullet for anyone shopping for cannabis on a budget. 

Canndescent, a brand that initially entered the market with a luxury-focus, recently launched the company’s third brand, Baker’s Cannabis Co. The brand offers lower-cost but still decent quality products, like $6 one-gram pre-rolled joints and $55 half-gram pre-ground pouches, which come equipped with rolling papers and crutches. 

Old Pal

The style echoes one of the original legal value cannabis brands, Old Pal, which began selling its pre-ground cannabis flower in similar packaging and has gained popularity for its surprisingly high-quality product despite being priced comparatively lower than others in the space.

“Quality weed at fair prices has always been in high demand,” says Rusty Wilenkin, CEO of Old Pal, noting that this isn’t exactly a specific-to-COVID trend. “Value at Old Pal means more than just perceived value of low cost, to us value is the best quality at fair prices. During COVID, we’ve seen steady demand from consumers for our products. The industry overall has felt disruption with changing and varying regulations for retail shopping state to state. And while this is not unique to the cannabis industry, with the industry being as young as it is, these changes have been even more demanding.”

Canndescent

“Consumers aren’t visiting dispensaries as often as before,” explains Canndescent’s CMO Sam Arellano regarding a specific buying trend that can be directly attributed to COVID. “When they do, they’re opting for cannabis in larger weight/sizes with strong value equations to carry them between visits. We’re experiencing this increase in demand with Baker’s Cannabis Co. Despite COVID-19, demand has been consistently strong and steadily growing as consumers come to trust Baker’s quality, price, and availability.”

The European Commission (EC) has suspended new applications for food products containing natural CBD while it considers labelling such products as “narcotics-related.”

The commission has reached a “preliminary conclusion” that extracts from the flowerings of hemp plants should be considered a drug under the United Nations Single Convention on Narcotic Drugs of 1961, reports Hemp Today. 

“The Commission’s preliminary view is that CBD extracted from the flowering and fruiting tops of the hemp plant should be considered as a narcotic falling under the United Nations Single Convention,” the EC said.

In response, the European Industrial Hemp Association (EIHA) said in a statement to Hemp Today that this decision could be the “final blow to the sector.”

“Industrial hemp and its downstream products are not narcotic or psychotropic drugs, and therefore are clearly exempted from the scope of the Single Convention,” the association argues. 

It’s one thing to decriminalize cannabis, but it’s another to encourage use with marketing and advertising that reaches kids.

And that’s the problem: Almost all commercial advertising makes its way to the eyes and ears of children. If we care about public health, we should ban all cannabis ads.

San Diego banned cannabis billboards within 1,000 feet of schools, public parks, playgrounds and daycare centers. But kids in cars go everywhere, especially teenagers, which means marijuana messaging is still seeping into young minds, associating pot smoking with fun activities like rollerblading.

When I would fly to Palm Springs for work — as I did routinely before the pandemic — the first thing I saw when I get off the plane was a large, shiny, well-lit picture of cannabis buds advertising the name, address and phone number of a nearby dispensary. Only a few feet later, I saw a similar sign advertising cannabis tours.

At the baggage claim, all eyes were on a large sign for the Cannabis Consumption Lounge: “Smoke It. Eat It. Drink It. Enjoy It.” Cannabis advertising is everywhere these days, just like the pot shops themselves, including the rather baffling drive-through dispensary I saw on my last trip to the Golden State, and the cannabis delivery services that have surged in popularity amid the pandemic.

How This Summer Could Continue to Push the Boundaries of Pot Stock Growth

The first (legal) industrial hemp crop to be planted in the U.S. state of Louisiana in modern times is being severely impacted by a fungal disease.

What was one the USA’s hemp holdout states finally jumped on the nation’s industrial hemp revival bandwagon in June last year when Louisiana Governor John Bel Edwards signed off on legislation recognising the crop as an agricultural commodity and authorising its cultivation, processing, and transportation.

As legislation moves through Congress to legalize cannabidiol (CBD) and other hemp-derived product use by military service members, the Navy has taken the ban a step further.

The Navy recently administered a memo clarifying that service members are prohibited from using “any products containing, made or derived from hemp” regardless of their stated cannabinoid content, including shampoos, conditioners, lotions, lip balms or soaps.

The most recent ban builds on a broader existing prohibition throughout the military on hemp and CBD products. In February, the Department of Defense issued an order that barred service members from using all hemp and CBD products.

Both that order and the most recent memo from the Navy state the prohibition on CBD products is because military service members need to pass a urinalysis drug test.

“The United States Food and Drug Administration (FDA) does not determine or certify the THC [tetrahydrocannabinol] concentration of commercially available hemp products, such as cannabidiol (CBD). Accordingly, these products may contain appreciable levels of THC, yet omit any reference to THC on the product label and/or list an inaccurate THC concentration,” the Navy memo states. “Consequently, Sailors and Marines cannot rely on the packaging and labeling of hemp products in determining whether the product contains THC concentrations that could cause a positive urinalysis result.”

A new report found that price was the second biggest factor for consumers when making CBD purchase decisions.

The passage of the 2018 Farm Bill legalizing hemp sparked a CBD rush with millions in sales and seemingly everyone starting a company using some form of hemp-derived cannabis oil.  Last year’s BDSA and Arcview Market Research, industry report estimated that CBD sales in the U.S. would surpass $20 billion by 2024. New York-based investment bank Cowen & Co forecast that the market would hit $15 billion by 2025.

A new report from the Brightfield Group, “US CBD Market July 2020“, warns those numbers will be much lower as a result of the impact of COVID-19 on shoppers. Several reasons are behind the drop in sales from lockdowns causing brick and mortar store closures, to shifts in retailers making deliveries and even the job crisis that is hurting consumers’ wallets. The report stated that in 2020, the US hemp-derived CBD market is projected to reach $4.7 billion in sales, with 14% growth from 2019 sales of $4.1 billion. The market had been expected to grow by over 30%.

Stay At Home

One big problem for CBD shoppers was the request from states with big outbreaks to stay at home and only venture out if absolutely necessary.  The report noted that there would be a loss of revenue from store closures as many retailers selling CBD products had either closed temporarily during the crisis or were only offering curbside pickup and delivery. “Even for CBD specialist retailers and smoke shops that remain open, they are experiencing steep declines in sales as social distancing guidelines and consumer worries about contracting the coronavirus keep shoppers at home.” That meant more online shopping, which worked well for established brands.

Nearly half (45%) of CBD consumers surveyed in June 2020 by Brightfield said they moved their CBD purchases online because of the coronavirus crisis. “Millennial shoppers are the most likely to have switched to e-commerce for their CBD needs, with 54% reporting switching from brick and mortar stores to online as they also increase their
usage and spending during this stressful time. CBD market leaders have seen online sales increase dramatically in the first half of 2020 but are still making efforts to expand in brick and mortar retailers to set up for future success and broader brand awareness.”

Delegates of the Democratic National Committee voted down a proposal to include the federal legalization of cannabis in the party’s 2020 platform on Monday. Platform committee delegate Dennis Obduskey of Colorado had introduced an amendment to include marijuana legalization in the platform, but the proposal was rejected by the committee with a vote of 105 to 60.

Several delegates spoke in favor of the legalization platform plank before the vote, including Stacey Walker, a county supervisor from Iowa, who referenced the words of civil rights activist and former Georgia congressman Rep. John Lewis in his comments.

“I’m imploring all of you to approach this with an open mind and heart. Do something big here,” Walker said to members of the platform committee via a video conference. “Take one small but meaningful step toward changing the course of history. If my Black life matters to you, you will consider this amendment. We want to get in good trouble today, and I urge you to do the right thing and support it.”

Draft Platform Supports Marijuana Decriminalization

Instead, the draft party platform, which is slated to be voted on by the close to 4,000 members of the full DNC prior to next month’s convention, calls for the decriminalization of cannabis.

This is the approach favored by likely Democratic presidential nominee Joe Biden.

Black markets and grey markets pervade daily life in nearly every way. The idea of below board brands, or fakes markets are certainly nothing new. What do they mean to the newly legal cannabis market? And what are the problems that have been popping up as cannabis becomes the new darling of legally sold goods?

As legal cannabis markets grow, both medicinal and recreational, governments are tasked with figuring out regulatory structures to govern the production, supply, and sale of products, because that’s how things are done. This process of making laws to govern it, whereby it can be put in a legal store, and sold as a part of the standard economy – complete with tax, and reported revenue to the government – changes the manner in which something is made and sold, as well as who is able to profit from it.

Legal cannabis markets don’t look much like the black-market setup, and they certainly seem to cost more, but they offer specification in products, and enhanced forms of otherwise scarcely-found cannabinoids, and if safety regulations ever really get firmed up, a way to control for pesticides and other bad substances.

What’s the difference between a black market and a grey market? And where do fakes fit in?

Let’s start with some basic definitions.

Black market

“A black market is one where the buying and selling of products and services take place in an illegal manner. A black economy is a highly organized and vast market where the regular taxation rules and norms of trade are not adhered to. A black market is known by several names, including black economy, underground market, shadow economy, underdog and parallel economy.”

Agriculture Commissioner Rick Pate stopped by Bluewater Hemp’s facility in Decatur Tuesday to check out its operation.

Pate says Alabama’s hemp growers are meeting the mark so far.

He wants to see farmers raise the bar when it comes to production so Alabamians can purchase products made in the state.

“I’m looking forward to Alabama products, Alabama-grown hemp, and Alabama-processed CBD oil being on the market because that’s the ultimate thing,” said Pate.

Hemp is high in CBD but has no THC, which is found in cannabis.

Estimates show legal marijuana could produce $1 billion in tax revenue, and long-time opponents now seem open to the idea.

Slowly but surely the idea of recreational marijuana has gained steam in the unlikeliest of states — Texas. The Houston Young Republicans and Texas NORML called upon Texas Gov. Gregg Abbott to legalize and tax the sale of cannabis in order to offset a looming $4.6 billion budget deficit.

Lawmakers have voiced similar ideas. In a recent webinar, State Rep. Dustin Burrows, a Republican, discussed recreational marijuana and gambling as alternative revenue streams to explore in Texas. GOP Speaker Dennis Bonnen presented the idea in a recent local TV interview, but was hesitant to call legalization a cure-all.

“The state budget is so large, there’s no singular solution to a budget challenge,” said Speaker Bonnen. “So legalization of marijuana should be considered next session by those who want to bring it forward, but it probably doesn’t produce a solution to the budget challenge we’ll be facing. It certainly could be a help. It could augment the shortfall. But I don’t believe it’s anywhere near a singular solution.”

Original image from Carol M. Highsmith’s America, Library of Congress collection. Digitally enhanced by rawpixel.

With recreational marijuana introduced locally, the industry is becoming more of an influence in the state’s economy reports WOOD-TV 8.

The state’s Marijuana Regulatory Agency shows that prices are falling, while sales are on the rise.

The industry is broken up into two sections: medical and recreational. Medical is more restrictive and requires a special license, but recreational can be sold to anyone over 21.

“The medical market is a lot cheaper than the recreational market,” said Dean St. Peter, co-founder of ArCanna, a cannabis shop in Ionia.

“There’s a lot less taxation too. There’s an additional 10 percent excise tax on recreational cannabis that medical does not have.”

A battle over wine and cannabis in Santa Barbara County, pitting neighbor against neighbor, is coming to a head. On June 30, a report from a grand jury tasked with monitoring local government issued a scathing report criticizing the county board for its mismanagement of the county's cannabis production.

"The jury believes the Board of Supervisors, in their hubris, failed the people of Santa Barbara County," the report stated. "Now they must amend the cannabis ordinances to regain the people's trust."

Santa Barbara County adopted some of the most lenient regulations for commercial cannabis farming in California and has seen an explosion in production in the past four years—last year, the county was home to 35 percent of the state's licensed cannabis acreage. As a result, locals, particularly vintners, have grappled with cannabis' impact on the area.

In April, a nonprofit made up of more than 200 vintners, farmers and homeowners, dubbed the Santa Barbara Coalition for Responsible Cannabis, filed suit against the county's board of supervisors, citing what the coalition considers a lack of ordinances regulating cannabis production and a faulty licensing program which has allowed farmers to stack licenses and create some of the largest cannabis grows in the state. The suit aims to cut down on the number of unpermitted cannabis farms and stop the board from issuing further permits by challenging the environmental reviews that have led to permit approvals.

"Pursuing legal action is not fun, nor is it a place we wanted to go, but it's necessary," Debra Eagle, a board member for the coalition and general manager for Alma Rosa winery, told Wine Spectator. Eagle felt like the board of supervisors was ignoring its citizens.

Since this only covers novel foods, this may not have an effect on CBD in other kinds of products, such as cosmetics.

The craze for hemp-derived cannabidiol (CBD) extends beyond the United States and into Europe. We’ve written a good amount on the difference between how the European Union (EU) regulates CBD in contrast to the United States, and link to a number of those posts at the bottom of this page. All of that may be put on hold soon as the EU weighs new laws for CBD products.

For some background, the European Foods Safety Authority (“EFSA”) previously classified CBD as a “novel food” ingredient. A “novel food” is “food that was not used for human consumption to a significant degree within the Union before 15 May 1997, irrespective of the dates of accession of the Member States to the Union.” Pursuant to EU regulations, anyone who wishes to sell food containing a “novel food” ingredient must first secure a license from the EFSA.

Guidance issued by the EU on a plethora of various cannabinoids suggested that foods containing hemp-derived cannabinoids (and not just CBD) were considered novel foods because there has been no demonstration that they were consumed prior to the 1997 date. If something is a novel food, then certain regulatory approvals are needed to advance it in the market. Needless to say, it’s a long process.

In mid-July 2020, it was reported (see here and here) that the EU was halting novel food applications for foods containing CBD and is apparently considering designating such CBD-bearing foods as narcotics. And here we were thinking that the United States’ policy on CBD in foods was bizarre.