The sale of cannabidiol (CBD) has exploded over recent years as the demand for the cannabinoid continues to soar. But in addition to selling CBD products in physical shops, retailers might also want to add an eCommerce component to their businesses and sales to expand their reach while providing consumers with access to a wider range of CBD products.
But before a CBD entrepreneur begins selling CBD products online, it’s important to get familiar with how to lawfully and effectively market and sell CBD products via an eCommerce platform. In addition to skyrocketing competition, there is also the legal component to consider.
The Legality of CBD Sales Online
The legalities surrounding CBD marketing and sales must be taken into consideration in order to avoid repercussions.
For starters, CBD must be derived from the hemp plant in order to be considered federally legal. While different states might have their own laws governing the marketing and sale of cannabinoids from the hemp and marijuana plants, federal law states that only hemp-derived CBD is legal and must contain less than 0.03% tetrahydrocannabinol (THC) in order to be distributed legally.
Considering eCommerce store owners will likely be distributing their products across the entire country, it’s important to have appropriate systems in place to ensure strict adherence to each state’s laws surrounding CBD.
For instance, some states may place limits on CBD products that can be legally sold, while others may mandate licensing to market and sell CBD, both online and in a traditional brick-and-mortar shop.
Besides ensuring that the proper licensing is in place, eCommerce stores can also ensure that specific shipping restriction rules are in place so that shipping to specific locations isn’t an issue.
Online CBD shops should also avoid making any claims about how CBD may be able to help in a health or medical aspect, even though there is plenty of anecdotal evidence to suggest that CBD can help alleviate a host of ailments, as well as a growing body of scientific research showing the cannabinoid’s place in the world of health and medicine.
Further, any hemp-derived CBD product that is marketed or sold in the US must be accurately labeled and marketed in adherence to certain laws, as well as the Federal Food, Drug, and Cosmetic Act. The specific labeling comes down to the exact type of product, such as food, supplements, or cosmetics.
At the end of the day, CBD eCommerce stores can sell and distribute CBD products nationwide thanks to the 2018 Farm Bill, as long as the CBD is hemp-based and contains no more than 0.3% THC. When selling statewide, online CBD shops need to take individual state laws into consideration, particularly where recreational cannabis is still illegal.
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