Ever since natural supplements gained a significant amount of popularity in the world of medicines, users, and businesses from all around the world started finding ways to incorporate and distribute the product. The cannabis industry is on the rise, and most of it is because of the minimal or no side-effects involved. But, the breakthrough came after the introduction of the Farm Bill by the President in the year 2018. The bill legalized the medicinal use of CBD all across the country. Such a landmark enabled and allowed cannabis businesses and individuals to pursue the international distribution of CBD.
Even though the medicinal and recreational use of CBD has become popular in several countries, it might not be the same as the rest. Just like some US states have different ground rules for the distribution of CBD, many countries around the world have their own laws for CBD distribution. Existing users in the US may shop for Lazarus Naturals, but if you run an organization that deals with CBD products and want to expand internationally, several hurdles might come in your way. You should be aware of the laws, permits, and everything involved in such a process. So, let’s do a quick rundown of some of the rules you need to follow.
1. The source of CBD
One of the first steps in determining the safe distribution is to check the source of CBD. If this natural remedy is extracted from marijuana, you cannot consume it in the shape of a dietary supplement. But, if it is a product of industrial hemp, it won’t fall in the category of the UN’s Schedule 1 Drug. Moreover, the introduction of Farm Bill has also allowed the hemp-derived CBD to enter the market on legal grounds. But, in the end, every country has its rules and regulations surrounding CBD, so keep a regular check on CBD’s source.
2. Keep track of CBD’s legality.
Since the United Nations is in charge of establishing most of the rules regarding narcotic drugs and their legalization, you need to keep a regular check on the legal status of cannabis in countries where you want to distribute. There are nations like Uruguay and Canada that have legalized recreational marijuana. In contrast, Georgia and South Africa have legalized the use of the natural remedy, but haven’t issued the consumable rights. As a result, you need to follow CBD’s legal status in a country you’d want to distribute it in.
3. The percentage of THC matters
A CBD product in the United States has a legal percentage of 0.3% THC. However, in some parts of the country, the THC level allowed is much lower than the permitted amount. Furthermore, the exporting rules and regulations of the natural substance depend on the destination country’s CBD legal status. As an exporter, if you are planning to ship CBD products to a specific country, you need to abide by the minimum amount of THC allowed there.
4. Knowledge swapping and licensing
When specific laws get in the way of international distribution, countries can use the knowledge swapping and license agreements to build a CBD marketplace. For example, an organization can trade strains to several other international organizations. In such a process, they can earn profits through global distributions without burdening themselves with import and export laws.
5. No CBD product exists for medicinal purposes
If you sell an approved CBD product internationally, your organization might fall under the bind. Since people buy CBD products as alternative supplements to prescribed medicines, the World Health Organization does not authorize any such drug containing CBD as an approved medicinal commodity. Please consult a medical professional if you have concerns about ingesting CBD products for health benefits.
6. Import/export permissions
The countries importing the substance usually issue import permissions to the company exporting it. The permits also depend on the use and distribution of CBD. Moreover, the organizations based in their home countries issue export permits that are based on health regulations brought forward by their government regulations.
7. The recreational trade is non-distributable
Even though CBD does not provide a high associated with marijuana, you need to know that recreational trade or distribution on an international level is non-distributable. Ensure that you’re not distributing cannabis for recreational use. However, organizations and individuals dealing with CBD Canada products would not face this issue because of its advertised medicinal and therapeutic nature.
The CBD market is on a significant rise and is a subject of interest for several potential users based of its therapeutic and healing properties. But, when you plan on distributing CBD internationally, there are specific factors that determine a smoother global operation. The seven rules, thus, educate you on what you need to know before adhering to such a process.
This is a guest post by Rebecca S. This post has been edited for syntax and grammar.
The Law offices of Jay Leiderman is not responsible for the accuracy of the content herein or any opinions or ideas expressed herein. This post is for entertainment and literary value and is not intended as legal advice. This post does not establish an attorney-client relationship of any sort. If you have legal questions about ideas presented herein please contact a lawyer knowledgeable in this field of practice.