FDA Sets Date for Public Hearing on Legalizing CBD in Food and Drinks

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It seems like overnight that CBD products have become wildly popular.

CBD, the legal non-psychoactive compound known scientifically as cannabidiol, is derived from the hemp plant. Unlike marijuana CBD only contains just a hint of THC, meaning it doesn't give you a "high."

Congress legalized hemp-derived CBD on a national level back in December and this fueled the CBD market boom. But this week, the food and Drug Administration set the first public hearing on May 31st to discuss how to regulate CBD food and beverage products.

“It’s critical that we address these unanswered questions about CBD and other cannabis and cannabis-derived products to help inform the FDA’s regulatory oversight of these products — especially as the agency considers whether it could be appropriate to exercise its authority to allow the use of CBD in dietary supplements and other foods,” said Scott Gottlieb, FDA commissioner on Tuesday, as reported by “CNBC.”

We recently reported that a few beverage giants, including Coca-Cola and New Age Beverages Corporation, are looking into developing cannabis beverage lines.

However, the FDA’s rules prohibiting CBD infused food and drinks has made companies hesitant.

But this doesn't mean there isn't a lot of potential, especially on the state level.

The Hemp Business Journal anticipates that the CBD market will be a $2.1 billion market by 2020, which would be a 700 percent spike from 2016.

Depending on the outcome of the hearing, larger companies may be more inclined to jump on the CBD bandwagon.

As for states like Colorado where marijuana is legal, some current regulations have put a major halt on this market's growth.

"Substantial proposals are predicted to unleash an influx of money from larger investors into the state’s $1.5 billion-a-year industry while setting the stage for home marijuana delivery and limited public consumption of marijuana — the latter measure aimed at resolving an issue that vexes tourists and renters alike," writes "The Denver Post."

Basically, Colorado companies are struggling to compete with companies in other states because of the current investment rules. But Colorado lawmakers and cannabis business owners are fighting for bills that will promote growth in this sector. Read more at "The Denver Post" now.

Earlier this year, we decided to take a closer look at the CBD craze and some of the companies leading the way with innovative hemp products. Watch the episode of On Foodable below to learn more about the culinary cannabis movement.

The Future of Edibles in the U.S. and Canada

On this episode of The Barron Report, Paul Barron is joined by Nancy Whiteman, founder and CEO of Wana Brands, the leading edibles company in the Colorado medical marijuana industry in terms of quality, consistency, and potency. The two discuss future innovations, laws, and potential brands entering the marijuana industry.

Wana Brands’ products are in over 450 dispensaries and account for $2 out of every $10 spent on edibles in Colorado. The company under Whiteman’s guidance has expanded to Oregon, Nevada, Arizona, and Illinois with hopes to expand their market in Florida and several other states.

Listen to this episode of The Barron Report for more insights on what the future will hold for edibles in the U.S. and Canada and how it will impact the foodservice industry.

SHOW NOTES

  • 17:37 - Edible Sales to Reach More Than $4 Billion by 2020

  • 19:12 - From Drug Trade to Grown Commercially in the U.S.

  • 22:22 - Bigger CPG Companies Looking to Enter the Cannabis Sector

  • 26:18 - What’s Next for Wana Brands

  • 1:00 - How Wana Brands Became an Edible Company

  • 4:06 - How Edibles are Expanding into the Foodservice Industry

  • 7:15 - Cannabis-Based Stocks

  • 9:03 - Predictions for Public Consumption in Restaurants and Bars

  • 15:18 - Dissecting Dosages for Medicinal and Recreational Use

 
 

Chef-Quality CBD Infusions Connect Cannabis to the Foodservice Industry

With the cannabis industry booming across the nation, CBD has made its way onto menus as an infusion that can be added into coffee, cocktails, and more.

On this episode of The Barron Report, Paul Barron speaks with CEO, Kim Sanchez Rael and Chief Creative Officer, Ron Silver of Azuca, a company with a unique technology to create fast-acting cannabis edibles, sugar, and syrups made from chef-quality, all-natural ingredients. The three discuss how the company came to be, the latest CBD trends, and the future for cannabis in the foodservice industry.

Listen to this episode of The Barron Report for more insights on how CBD is making an impact in the foodservice industry.

SHOW NOTES

  • 12:52 What is the product's market?

  • 15:56 The speed at which the CBD Market is changing

  • 18:01 Expanding the products Market

  • 20:11 How to Measure CBD in Products?

  • 23:06 What is a CBD Product’s Expiration period?

  • 24:32 CBD Market Growth


  • 01:38 What is CBD?

  • 03:34 Serial Entrepreneur Shifts to Foodservice & Wellness

  • 05:02 Introducing CBD Products to the Food Service Industry

  • 06:42 Connecting Cannabis to the Food Industry

  • 09:06 Fast Acting and Controllable Dosing

  • 10:50 Industry Response to the Products

 
 

Anheuser Busch-Heir Launches Cannabis Brand

Anheuser Busch-Heir Launches Cannabis Brand

The great-great-grandson of the founder of Anheuser Busch, Adolphus A. Busch launched ABV Cannabis earlier this month.

The 27-year-old created the company to provide "clean, consistent, quality and affordable cannabis products that appeal to consumers from every walk of life," according to a recent press release.

Some of the products in ABV Cannabis' portfolio include various vaporizer pens, with environment-friendly cannabis oil. The pens are available in about two dozen stores in Colorado.

Busch sees a lot of potential in the cannabis industry due to the health benefits the hemp plant provides.

"Growing up I always knew I wanted to work in the family business, creating quality and affordable products that appealed to a variety of consumers," said Adolphus Busch V, founder of ABV Cannabis Co in a press release. "However, once I saw all the incredible benefits that cannabis could bring to people and the immense opportunity presented by the cannabis industry, I knew I could take all I learned from my pioneering family heritage and create a new legacy for myself in the cannabis space."

Prior to starting the cannabis brand, Busch worked at Keef Cola that has a line of cannabis-infused soda.

Read More

Winemakers in California Prep for the Cannabis Boom

Winemakers in California Prep for the Cannabis Boom

As more regulations are passed across the country making cannabis legal, the potential for the market only grows.

Companies in the food and beverage industry are already gearing up to be ahead of the cannabis trend by offering either infused options with either the legal CBD non-psychoactive compound or the THC compound, both found in the marijuana plant.

In areas where marijuana isn't legal recreationally, CBD-infused treats and beverages instead are being sold.

The bar The Breslin at the Ace Hotel in New York is selling CBD brownies and cocktails. The eatery Bubby’s also in New York City has a CBD sweetener available for its coffee and cocktail beverages.

In areas when it is legal like California, cannabis fine dining has arrived.

However, there are some legal challenges when it comes to serving cannabis in dishes.

Read More