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Basics: 2018 Farm Bill & CBD

On December 20, 2018, the Agriculture Improvement Act of 2018 was signed into law. More commonly known as the 2018 Farm Bill, the Agriculture Improvement Act of 2018 sets food and agricultural policy for the country through 2023. So why do we care about 2018 Farm Bill as it relates to CBD? Well, among its many sections, Congress has added significant provisions that facilitate the commercial cultivation, processing, and marketing of industrial hemp. As you may know from our other articles, industrial hemp is an important source of CBD.

Impact on Hemp

Among its hemp-related provisions, the 2018 Farm Bill (1) legalizes the production of hemp as an agricultural commodity, (2) removes it from the list of controlled substance, (3) includes hemp as an eligible crop under the federal crop insurance program, (4) requires the federal government to conduct a study of hemp production pilot programs to determine the crop’s economic viability, and (5) sets limits for the production of hemp.

Defining Hemp

Provided in the 2018 Farm Bill is the following definition for hemp:

“The term ‘hemp’ means the plant Cannabis sativa L. and any part of that plant, including the seeds thereof and all derivatives, extracts, cannabinoids, isomers, acids, salts, and salts of isomers, whether growing or not, with a delta-9 tetrahydrocannabinol [THC] concentration of not more than 0.3 percent on a dry weight basis.” Sec. 10113, Hemp Production, Agriculture Improvement Act of 2018.

This definition is why you see the disclaimer on many CBD products declaring that the product contains less than 0.3 percent THC.

Hemp Is NOT 'Marihuana'

The 2018 Farm Bill also explicitly excludes hemp from the definition of “marihuana” as defined in the Controlled Substances Act (21 U.S.C. 802(16)):

 “(a) IN GENERAL.—Section 102(16) of the Controlled Substances Act (21 U.S.C. 802(16)) is amended— … The term ‘marihuana’ does not include—(i) hemp, as defined in section 297A of the Agricultural Marketing Act of 1946.” Sec. 12619. Conforming Changes to Controlled Substances Act (internal citations omitted).

Insuring Hemp

Further, as the law makes abundantly clear, the government is heavily invested in the success of hemp. Not only does the law add hemp to the definition of eligible crops for federal crop insurance subsidies, but also ensures that hemp is further eligible for post-harvest losses. See Sections 11101, 11106, and 11119, Agriculture Improvement Act of 2018. In the previous Farm Bill, coverage of post-harvest losses was limited to just three crops, potatoes, sweet potatoes, and tobacco.

Implementing the Farm Bill

While the 2018 Farm Bill provides some much need clarity to the CBD regulatory environment, further regulations will continue to be introduced to implement the law. DankGeek CBD will continue to provide its readers updates and is committed to offer products that meet or exceed these laws.