US supplement industry welcomes CBD bill proposed by Congress

07 Sep 2020 --- In order to allow hemp and hemp-derived cannabidiol (CBD) to be legally marketed in dietary supplements, US bipartisan legislation has been put forward by Congress representatives. The bill directs the US Food and Drug Administration (FDA) to use its authority and resources to set a clear regulatory framework for hemp and hemp-derived CBD and assure consumer protection. The move has elicited positive response from the supplements industry, which flags that it would protect public health by providing legal clarity in the CBD product marketplace.

Among the dietary supplement industry associations “applauding” the move is the Council for Responsible Nutrition (CRN), the American Herbal Products Association (AHPA), the United Natural Products Alliance (UNPA) and the Consumer Healthcare Products Association (CHPA). AHPA, CHPA, CRN, UNPA and the Hemp Roundtable have sent lawmakers a letter expressing unified support for the legislation.

In a joint statement the aforementioned associations noted that: “While the 2018 Farm Bill changed the law to allow hemp farming, regulatory uncertainty remains about the inclusion of hemp and hemp-derived CBD in dietary supplements. This lack of regulatory clarity along with insufficient oversight around hemp and hemp-derived CBD exposes consumers to potentially unsafe products and a lack of consistency in product quality.”

The supplements industry is flagging that the legislation would allow hemp-derived CBD to be legally marketed in dietary supplements.The statement goes on to underline that the dietary supplement industry is fully supporting the move. It also adds that the legislation would allow hemp and hemp-derived CBD to be legally marketed in dietary supplements so long as manufacturers comply with new dietary ingredient requirements and other Food and Drug Act dietary supplement policies. “This pathway for hemp and hemp-derived CBD products to be legally marketed, would put in place necessary safeguards to protect public health. A legal hemp and hemp-derived CBD pathway would also provide much needed certainty to hemp farmers,” the statement reads.

A collaborative move
The Hemp and Hemp derived CBD Consumer Protection and Market Stabilization Act of 2020 has been introduced by Representative Kurt Schrader (Democrat-Oregon) and Representative Morgan Griffith (Republican-Viginia).

“Hemp was historically an important crop for Virginia farmers and dietary supplements made from it do not possess dangerous addictive qualities. Nevertheless, the current state of regulation creates confusion about its legal uses. I joined this bipartisan bill to provide certainty for hemp farmers that their crop may find legal uses,” states Congressman Griffith. 

Julia Gustafson, Vice President, Government Relations at CRN also highlighted that it is critical that the FDA allows a legal pathway to market for CBD dietary supplements for the benefit of the agency, industry, retailers, and ultimately, consumers. “The CRN will continue to work with the bill sponsors and other lawmakers to advance and help pass this critical legislation to ensure consumer safety to the 20 million US consumers who use CBD dietary supplements,” she adds.

Hemp’s unencumbered forward march
A growing number of US consumers view hemp and hemp-derived CBD as a way to improve health and well-being, according to AHPA. This is driving consumer demand and a proliferation of CBD-containing products on the marketplace. 

Indeed, according to Innova Market Insights data, the usage of hemp-derived CBD is soaring due to its touted health effects, reflected by an average annual growth of 165 percent in product launches tracked with CBD (Global, CAGR 2015-2019). The ongoing COVID-19 pandemic however may be negatively impacting the space, according to experts.

CRN also flags that consumers are at risk of unsafe or illegal products and ingredients in the market that are poorly manufactured, improperly labeled or illegally deliver adulterants. Simultaneously, responsible CBD companies that comply with federal regulations and produce safe and beneficial products for consumers must compete with unscrupulous players that are skirting the law and taking advantage of the agency’s lack of oversight. 

To fill these regulatory gaps and protect consumer safety, several states are creating a patchwork of potentially burdensome and inconsistent regulation, complicating the marketplace and hindering the goal to have one federal requirement across the industry in the future, CRN explains.

“Over one year has passed since FDA held its public meeting to better understand hemp-derived substances and almost two years have passed since the Farm Bill was enacted, legalizing hemp-derived CBD,” says Gustafson. 

“During this time, the agency has taken no action to legalize this ingredient, facilitating an unregulated marketplace. CRN urges Congress to pass this new critical legislation and open the marketplace to CBD dietary supplements.This will also provide the FDA enforcement authority over the category to assure consumers have access to safe and beneficial products to support their health and wellness,” she concludes.

By Kristiana Lalou