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Tag: EU

Hemp Leaves No Longer A Novel Food Under EU Law

Cannabinoid-based products are increasing in popularity across the globe, and particularly so in Europe. ‘Cannabis light’ products are widely available in Europe, although they are not always completely legal.

Part of the problem is the patchwork of laws, rules, and regulations in Europe, with individual countries often having their own set of policies, with the European Union having sometimes conflicting policies. What is legal in one country may not be legal in another country, and all of it may be illegal in the eyes of the European Union depending on the situation.

To further complicate things, hemp and cannabis are treated differently by the governments of Europe (and elsewhere on earth), even though they are ultimately the same plant. If the THC content of a plant is under a threshold, typically .3-1%, then it is hemp. If it is above the threshold, then it is cannabis according to various governments.

It may seem like a big game of semantics to some, however, when it comes to public policy in Europe and the emerging industries that are governed by such policies, words matter. Thankfully, there is now reportedly clarification for hemp leaves at the European Union level, with the EU recently indicating that hemp leaves are no longer considered to be a ‘Novel Food.’ Per Cannabis Health News:

Hemp leaves, when separate from the flower, are now no longer classed as a Novel Food under EU law, permitting the sale of hemp-infused tea and tea-like products in member states.

An agreement to modify the Novel Food Catalogue was reached by EU members as part of a European Commission (EC) working group on Friday 2 June.

It’s now over four years since the EC made the controversial decision to classify all parts of the plants as Novel, meaning companies would need to apply for Novel Food status in order to legally sell cannabinoid-based products containing less than 0.3% THC in the EU.

The recent decision is obviously significant for people that sell cannabis teas and other products derived from hemp leaves. However, the decision clearly does not go far enough, and anything that is not derived from hemp leaves still faces a considerable amount of bureaucratic hurdles.

Europe’s emerging cannabis industry is increasing in size despite the playing field being far from level for cannabis companies compared to companies in many other major industries. Hopefully the governments of Europe, and the European Union itself, moves faster to modernize the continent’s cannabis policies.

Understanding the European CBD “Novel Foods” Regulations

Foreigners entering the European cannabis market are finding that the regulations here are much higher than they expected, if not well downright confusing. This is especially true as cannabis crosses over into both food and medicine as well as beauty and skin products.

One piece of regulation that is proving particularly thorny for CBD producers – in particular for those with edible products is something called “novel food” regulation.

But what is “novel food” legislation and how does it affect your CBD business in Europe?

For an insider’s look at the CBD-novel foods discussion and the cannabis industry in general, be sure to catch Dr. Francis Scanlon, founder of Cloud9, and a whole host of experts at the first International Cannabis Business Conference in Zurich Switzerland, May 15-16.

Definition of “Novel Food”

According to the European Commission, a novel food is one that has not “been consumed to a significant degree by humans in the EU before 15 May 1997, when the first Regulation on novel food came into force.”

A novel food can be a new kind of food, including a plant-based food or additive, a food produced using new technologies (so all e-liquid drinks will be subjected to this process beyond the CBD they contain), agricultural products from third countries or food derived from new processes” (such as UV treated food like bread, milk, mushrooms and yeast.)

Furthermore, such foods must be properly labelled and further not nutritionally “disadvantage” the consumer if used in place of another more commonly used substance.

It does not take much imagination to see how this would apply to all things cannabis, but how such regulation has been applied, and is likely to be applied in the future, is anything but easy. It has been tortured so far.

Battle Number 1 – CBD vs “Hemp”

On one hand, it should be a no-brainer to include all things CBD in foods that have been consumed in the EU since 1997. See all health food stores selling hemp. But not so fast! CBD itself can be derived from both hemp and cannabis plants bred for that purpose. Of the two, only the former is relatively safe to source right now in Europe for that very reason.

Battle Number 2 – Distillates and Extractions

However the discussion is not over there. Beyond the source plant, the process the CBD is extracted also counts. For that reason, hemp extracts, if made via a new process, can also be verboten.

That means that anything that contains the same destined for oral consumption could also be “illegal.” See the raids of Spanish police last summer on health food stores selling CBD cookies.

Battle Number 3 – Jurisdictional Differences and Labelling

The final and most difficult problem for CBD businesses to conquer is the problem that both cannabis itself and its components are considered legit or not depending on a jurisdictional by jurisdictional basis across Europe, until there is regional agreement on regulation about the entire plant.

In the meantime, custom, country-by-country labelling is an issue that producers will have to consider until such regulations are set at the EU level – and even then there will still be the polyglot of European languages to contend with after that.

Those who market cosmetics and other topically applied products might find they are in loophole territory in most countries, but even here it is better to be safe than sorry. For those in doubt, see Austria.

Don’t miss the opportunity to learn the latest and network with top investors and entrepreneurs at the upcoming International Cannabis Business Conference in Zurich. Get your tickets and save by purchasing discounted, early bird tickets by April 24th.

European Medical Cannabis Sales Doubled from 2017 to 2018

Unless you are living under a rock, you know that cannabis legalization, for both medical and adult use purposes, is moving forward nation-by-nation across Europe and around the world. European medicinal sales doubled last year, and we can expect growth to continue rather aggressively as progress begets progress. Germany has been the leader on medical cannabis commerce, and the attendance and interest at the recent International Cannabis Business Conference in Berlin demonstrated the optimism industry participants have for the German market. But Germany is certainly not alone, as Italy also showed strong demand, and opportunities abound in burgeoning markets like Switzerland (where the International Cannabis Business Conference is headed on May 15-16), the United Kingdom, Croatia, Spain (where the International Cannabis Business Conference will return to next year!), and several other nations.

Marijuana Business Daily on the release of its extensive report “Medical Cannabis in Europe: The Markets & Opportunities”:

Year-over-year sales doubled in Europe from 2017 to 2018, underpinned by strong demand in Germany and Italy, though the number of MMJ prescriptions decreased in the Netherlands in that time.

Other countries in the European Union took steps in the right direction, either advancing legislation or introducing (or improving) regulations.

Tracking the regulatory progress of these markets is important because it takes years to develop a functional medical cannabis industry – and some markets get snagged over poor, or slow-moving, regulations.

Differing regulations across Europe can make business decisions difficult, especially when trying to do business in North America, and other legal markets as well. Over time, it will be interesting to see whether the EU and other global partners start to harmonize their rules. No matter the current obstacles, the current and future growth of cannabis markets around the world will reward those that stay educated and make the right networking connections.

There is no better place to learn the latest and network with top investors, entrepreneurs, and advocates than the International Cannabis Business Conference. The next International Cannabis Business Conference is in Zurich on May 15-16, a collaboration with CannaTrade. Discounted, early bird tickets are on sale until April 24th

European Union Hemp Set to Increase THC Percentage

Cannabis and hemp are obviously intertwined in reality and politically. Cannabis and hemp are the same plant, but politically and regulatorily, hemp has been classified as basically low-THC cannabis, with allowable THC percentages varying depending upon jurisdictions. In Switzerland, where the International Cannabis Business Conference will be holding its next event in conjunction with the global hemp fair CannaTrade, low-THC cannabis can contain up to 1% THC and be legally sold. European hemp industry participants had hoped to get the European Union hemp THC percentage up to that 1%, but that is going to take a bit more time. In good news, progress is being made, albeit too slowly as allowable THC percentages are expected to increase within the EU in 2021, as Hemp Today reported:

The European Union could soon change the allowed legal THC level in approved hemp varieties from 0.2% to 0.3% after the European Parliament Committee on Agriculture and Rural Development recently approved a batch of proposals for post-2020 reforms to the EU’s Common Agriculture Policy (CAP).

CAP implements a system of agricultural subsidies and other programs supporting member nations. Introduced in 1962, the program has undergone constant reform and now also embraces rural development.

Increasing allowable THC levels in hemp varieties grown in the EU from 0.2% to 0.3% would return the EU to the limit that was valid up until 1999. While some had called for an increase to a full 1% THC, perhaps a smaller incremental increase was always more likely to be favored.

The pace of much-needed regulatory changes is often maddening, particularly to people with a long history advocating for cannabis and hemp legalization. It can be extremely frustrating to see people knowledgeable on the cannabis plant placed in charge of enforcement policies and combatting debunked Reefer Madness propaganda. Patience and persistence will remain a virtue in the cannabis and hemp industries as the times are a-changin’ and we can expect more and more positive reforms, until the industries are really booming over the next 5-10 years across Europe, North America, and much of the world.

If you want to learn the latest about the hemp and cannabis industries while networking with top investors, entrepreneurs, and advocates from across the globe, the International Cannabis Business Conference in Zurich this May 15th-16th is the place to be. After Zurich, stick around for CannaTrade, Switzerland’s premier hemp expo. Secure your early-bird Zurich tickets by April 24th to save $$$!