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$TGODF A Breakdown of the Recently Enacted Oklahoma CBD Law

December 18, 2019

Cannabis and its extracts have been seeing a slew of legislative changes, pushing it out of the shadows of illegality. Oklahoma was one of the first states to approve the use of hemp extract cannabidiol (CBD) with a doctor’s recommendation way back in 2016.

However, even with that, the compound was heavily restricted until Governor Ken Stitt approved the passing of Senate Bill 238 that decriminalized the use of CBD oil in Oklahoma.

Before the bill was passed, CBD sellers were subject to heavy restrictions. They weren’t allowed to claim that their products had medical benefits, forcing them to list their businesses as food retailers. On top of that, they had to apply for a yearly license that cost as much as $335 dollars, and they could only sell CBD oil to patients with official doctor recommendation.

According to the newly passed SB 238, sellers can now sell hemp-derived CBD oil and they don’t need to apply for a yearly license. State grown and cultivated hemp is to be used to produce CBD products, although hemp grown in other states can be used under compliance with Federal hemp laws. Additionally, the products should conform to FDA standards regarding hemp processing.

The Bill also states that full-spectrum hemp and hemp isolates are both legal. Unlike CBD isolate that’s pure CBD, full-spectrum CBD contains terpenes, fatty acids, and other cannabinoids. Full-spectrum CBD is said to be a lot more effective than the isolate as all the components combine and act better and more effectively once used. This is called the entourage effect.

However, the bill fails to mention CBD regulation, a big thorn in the industry’s side. After the 2018 Farm Bill legalized industrial hemp and gave farmers the green light to farm the crop, the CBD industry exploded. It grew so fast that it outpaced the regulatory authorities, leaving them scrambling to draw up regulations for an industry some called the ‘wild west’.

The bill sets no regulations for CBD products, leaving the quality of a large percentage of them in question. The U.S. Food and Drug Administration has sent several warning letters to companies warning them from making baseless medical claims about their products. So, at the moment, consumers will have to use their own discretion when they buy CBD products.

The FDA has made it a little easier by distinguishing companies that prioritize quality and safety. Make sure you buy products from companies that have a CGMP (Certified Good Manufacturing Practices). The FDA will also issue a Certified Organic certification for products that are non-toxic and low impact, meaning no harmful herbicides, fertilizers or pesticides were used.

It is believed that while industry actors, such as The Green Organic Dutchman Holdings Ltd. (TSX: TGOD) (OTCQX: TGODF) and HTC Extraction Systems (TSX.V: HTC) (OTCQB: HTPRF), may not be entirely pleased by the limitations of that law, they nonetheless see Oklahoma as being several steps ahead of other states that are still having prohibitive CBD laws on their books.

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Wednesday, December 18th, 2019 Uncategorized