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Tag : CBD

CBD in packaged food and beverages

CBD in packaged food and beverages

Alcoholic drinks are by far the most embedded industry in the cannabis sector. At least three leading corporate players have a stake in cannabis producers, the most notable being U.S.-based Constellation Brands and its 38 percent share in leading Canadian cannabis producer Canopy Growth. With the spirits and beer categories already headed in a low- or non-alcoholic direction, a future where tetrahydrocannabinol (THC) replaces alcohol is on the horizon. Cannabis beverages, with specific THC dosing and controlled onset-of-effects, will become more common in places that have legalized recreational use, ultimately providing the equivalent effect of a glass of wine or beer. These would be calorie-free, non-alcoholic or alcoholic recreational beverages with an intoxicating buzz.

Health and wellness trends are driving the global soft drinks industry, fueled by sugar reduction. The functional health and wellness trend is thus a natural bedfellow for cannabidiol (CBD)-infused products. In soft drinks, CBD launches have become prevalent over the last two to three years, particularly in bottled water, juices, ready-to-drink (RTD) tea, RTD coffee and energy drinks, as well as THC inclusions where recreational use of cannabis is legal.

Tea is currently the most popular application for CBD products in hot drinks, particularly green tea and herbal tea, related as they are to health and wellness. As low- and non-alcoholic beverages grow in popularity, and sugary soft drinks continue to decline, a consumer trend confluence occurs between alcoholic drinks and soft drinks. These blurring lines are creating a fertile ground for adult recreational soft drinks, where cannabis (more specifically THC in the long term) fits in as a social lubricant with a health and wellness halo.

Within packaged food, Euromonitor International expects sales of CBD products to double over the next two years, as consumer awareness grows. CBD and THC are the superpower holistic food ingredients of the future—think turmeric (anti-inflammatory) crossed with coconut oil (essential fatty acids). CBD/THC falls within the naturally functional and mindful consumption trends, tapping into the vegan, plant-based and free-from movements. Given hemp is grown sustainably, it is also spurred by the ethical living megatrend and back-to-basics move. THC-combined CBD products are chiefly prevalent in sweet categories, such as confectionery (chocolate and sugar), protein bars and ice cream, with potential for savory snacks, pasta and soups, among others.

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USDA announces time frame for adopting hemp regulations

Montana now leads country in hemp acreage

USDA on Wednesday announced its plans to promulgate regulations in fall 2019 regarding the commercial production of industrial hemp in the United States.

Under the Agricultural Improvement Act of 2018—otherwise known as the 2018 Farm Bill—states and Indian tribes have the option to primarily regulate the production of hemp. That’s provided USDA approves their plans. But states and Indian tribes don’t need to submit plans until the agency adopts its regulations, according to USDA’s Agricultural Marketing Service in a notice to industry.

USDA will hold onto a submission if a state happens to submit a plan before the regulations are promulged. The notice proclaimed: “USDA is committed to completing its review of plans within 60 days once regulations are effective.”

At least one state acted immediately in response to the 2018 Farm Bill. The Kentucky Department of Agriculture submitted its regulatory plan for hemp production the same day President Donald Trump signed the bill.

“Kentucky is emerging as an epicenter for the American rapidly-growing hemp industry,” Ryan Quarles, Commissioner of the Kentucky Department of Agriculture, wrote in a letter to U.S. Agriculture Secretary Sonny Perdue.

For the 2019 planting season, states, tribes and institutions of higher education can continue operating under the 2014 Farm Bill, USDA said.

The 2014 Farm Bill authorized institutions of higher education and state agricultural departments to grow or cultivate industrial hemp under certain conditions. The scope of that bill—including whether it authorized commercial production and sale of hemp and hemp-based products—was long debated.

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Report highlights herbal supplement market trends: CBD, turmeric, direct sales

botanical-supplements-market

Retail sales of herbal dietary supplements in the United States experienced its strongest growth in 15 years, according to a new report from the American Botanical Council’s (ABC)HerbalGram. The category exceeded US$8 billion in 2017, representing an increase of 8.5 percent compared to 2016. Other key findings in the report included curcumin’s strong performance in both mainstream and natural channels, a strong increase in direct sales of herbal supplements, and cannabidiol’s (CBD) position among the 40 top-selling herbal supplements in the U.S. natural channel.

The report relied on data from Nutrition Business Journal (NBJ), as well as data developed via a collaboration between market research firms SPINS and IRI.

Both SPINS/IRI and NBJ data pointed to increased sales in the mainstream channel. NBJ’s mass-market retail channel sales totaled an estimated $1.45 billion in 2017 (an 8.4 percent increase compared to 2016), compared to a total of $925.93 million for mainstream multi-outlet retail sales of herbal dietary supplements (a 0.69 percent increase compared to 2016), as indicated by IRI/SPINS data. Unlike IRI/SPINS, NBJ’s mass-market channel analysis includes convenience stores.

In the natural channel, NBJ indicated herbal supplement sales achieved $2.62 billion in 2017 (a 4.7 percent increase), while IRI/SPINS data indicated sales of $405.15 million (an 8.9 percent increase). NBJ analysis of the natural channel includes estimated sales from Whole Foods Market, which are not included in IRI/SPINS data.

Strongest sales growth, however, was attributed to direct sale of herbal supplements, which totaled $4.012 billion in 2017, an 11.2 percent increase compared to 2016, according to NBJ.

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California joins FDA in saying no to CBD in foods, supplements

CBD-oil

A position adopted by state officials in California has drawn criticism from companies selling cannabidiol (CBD) in conventional foods and dietary supplements.

The fresh feud brewing in The Golden State symbolizes the disparate treatment of myriad cannabis products in one of the world’s largest economies. Consumers in California can legally buy marijuana for medical and recreational use, but state officials recently said CBD products are off-limits in foods and supplements.

Relying on statements by the federal agency responsible for regulating food in interstate commerce, the Food and Drug Branch of the California Department of Public Health (CDPH) asserted in a public statement, or FAQ, “[T]he use of industrial hemp as a source of CBD to be added to food products is prohibited.”

“Until the FDA rules that industrial hemp-derived CBD oil and CBD products can be used as a food or California makes a determination that they are safe to use for human and animal consumption, CBD products are not an approved food, food ingredient, food additive or dietary supplement,” the state agency concluded.

According to CDPH’s statement, “California incorporates federal law regarding food additives, dietary use products, food labeling and good manufacturing practices for food.” The CDPH described CBD as “an unapproved food additive” that is not permitted “for use in human and animal foods per the FDA, and thus, it is not approved in California.”

Asked for this article to explain what prompted CDPH to issue the FAQ, the agency noted, “There has been some confusion on the legal use of CBD and CBD oil since the legalization of medicinal and adult-use cannabis in California.”

In 1996, California became the first state to legalize medicinal marijuana through Proposition 215. Earlier this year, the state began permitting recreational sales of cannabis after California, Massachusetts and Nevada in 2016 joined four other states in legalizing recreational marijuana.

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