Washington State’s CBD Ban to Mainly Affect Food Processors

September 13, 2019 08:00:30

Washington State recently clarified that CBD couldn’t be used as a food ingredient within the state since the FDA hasn’t yet authorized the use of this compound in food, supplements, and beverages.

Now state regulators have revealed that the licensed food processors within the state could be docked points if inspectors find them using CBD as an ingredient in the food that they are processing.

However, it is expected that this ban will only affect a few processors since not all are licensed by the food-safety division of the Washington State Department of Agriculture. A large number of processors, 86 in total, fall under the division of Commodity Inspection.

The Commodity Inspection division has its hands full inspecting hemp farms. Its head, Jessica Allenton, says that her personnel will only inspect a processing facility once a complaint is made against that processor.

The inspectors are likely to get busier as the months go by until the harvest season ends. Most farmers within the state are growing hemp varieties that are rich in CBD, and these farmers are targeting the lucrative CBD market. The ban is unlikely to dampen farmer interest in the crop.

The state ban also stops warehouses licensed by the state from distributing any CBD-infused beverages and food within Washington State. However, since the state doesn’t have jurisdiction over interstate commerce, those warehouses are free to distribute CBD-infused foods and beverages to retailers located out of the state.

Additionally, the ban isn’t intended to prevent in-state licensed processors from extracting CBD oil and selling it to the retailers within Washington State. These processors will continue their operations without any interference from the state, unless they commit infractions that warrant intervention by regulators.

As inspectors comb through a processing facility, they keep knocking off points if they encounter something that doesn’t meet the set standards. To pass the inspection, a processing facility must score a minimum of 90 points. Being found using CBD as an ingredient could cost processors some valuable points during an inspection exercise.

The dilemma that the FDA is facing regarding the use of CBD as an ingredient in food and beverages is that last year, the agency approved a drug in which CBD is indicated as an active ingredient. Under current law, it is illegal to use an active ingredient of a drug in food or beverages, so alternative rules have to be made if CBD is to be permitted in supplements, foods and beverages.

Experts hope that the regulators will ask industry players like Grapefruit Boulevard Investments Inc. (OTCQB: IGNG) and Green Growth Brands Inc. (CSE: GGB) (OTCQB: GGBXF) for suggestions on how the regulatory bind can be navigated.

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