The hemp industry recently bloomed thanks to the 2018 Farm Bill that legalized hemp at the federal level. This bill exempted hemp from the list of banned substances under the Controlled Drugs and Substances Act, as well as compounds derived from the plant, including cannabidiol (CBD).
Recently, the cannabinoid seems to be a focus of the Food and Drug Administration (FDA).
More specifically, the FDA appears to be honing in on CBD and issuing warning letters to companies that may be marketing or selling their products in a way that is deemed to be breaking the rules. [1]
FDA Issuing Warning Letters to CBD Companies
CBD is approved for use in pharmaceutical products, and as such, it cannot be legally sold in ingestible form. Further, CBD companies cannot make any health or wellness claims about their CBD-based products; otherwise, the FDA will classify the product as an unauthorized drug.
Any company that is caught breaking these rules is being issued a warning letter by the FDA. So far in 2022, these warning letters seem to be issued more often. Right now, there have been 13 warning letters issued to CBD companies.
Although these warning letters are considered somewhat minor in nature, CBD companies that receive these letters could also be fined by the FDA or be subject to dealings with the Department of Justice (DOJ). Further, CBD companies that are issued a warning letter could also find their reputation tarnished as a result, which can hinder sales and even deter potential investors.
CBD Companies Should Avoid Making Claims About Their Products to Mitigate Risk
Given the FDA’s apparent crack-down on CBD companies and how they are marketing and selling CBD products, companies in this industry would be well-advised to revisit their policies to avoid any repercussions. More specifically, CBD companies should steer clear of making any claims about the potential medicinal effects of their CBD-based products.
Regardless of the positive experiences that customers have had or any studies that support CBD’s therapeutic properties, such claims should be kept quiet to mitigate risks of being issued a warning letter from the FDA.
References:
[1] https://www.fda.gov/news-events/public-health-focus/warning-letters-and-test-results-cannabidiol-related-products