The USDA requirement for testing of hemp by DEA-registered labs would be delayed for the 2020 planting season. And the FDA said that it’s pointless to tell people to stop taking over-the-counter CBD.
On Thursday, the USDA issued an update acknowledging complaints submitted by the farmers and the different states. They acknowledged that the DEA-registered labs available in the country would not be enough to handle the hemp testing demands across the U.S.
In the update, the USDA wrote that they now understand how the limited number of DEA-registered labs would impact the testing process such as delays and the associated cost of disposing of hemp that tests above the stipulated limit of 0.3% THC, which makes it risky to venture into the hemp market.
Speaking at the National Association of State Departments of Agriculture (NASDA) meeting that was held in Arlington, Virginia last week, the U.S. undersecretary for the USDA Greg Ibach said that together with the DEA, they agreed that this year, the requirements that DEA-registered labs test the crop would be not be implemented.
Ibach further said that the DEA expects the states to collaborate with their laboratories to obtain the necessary certification for the 2021 planting season.
Hemp cultivators were ecstatic about the delay.
The CEO of Cultivaris Hemp, Josh Schneider, said that the delay by the USDA means that farmers can continue using their trusted local and regional analytical testing labs to make sure that their crop still maintains the stipulated hemp threshold of 0.3% THC.
Schneider further said that the suspension of the DEA-registered lab testing requirement was a step in the right direction. He hopes that the USDA will make better decisions from now on.
Last week, the newly appointed commissioner for the U.S. FDA, Dr. Stephen Hahn, said that American consumers want CBD and that the agency is working on regulations for the sector.
Speaking at the NASDA meeting, Hahn said that it is pointless to try and tell people not to use CBD products. He further noted that since Americans believe that the products are of value, the agency must also approach the products with an open mind so that they can provide the public with the right information about CBD products to help them make the right decision.
After a public meeting and the comment period elapsed, the FDA appointed a working group to collect input about CBD, but by November, the group had not presented enough scientific evidence to allow the FDA to recognize CBD or products infused with CBD as safe for consumption.
It is not yet certain when the FDA would release guidance on CBD regulation.
Speaking at the NASDA meeting, Ibach said that the USDA received over 4,700 comments relating to the hemp rules.
Many of the comments opposed the DEA testing requirement.
The number of DEA-registered labs in the U.S. is 47, and the majority of the states do not have a registered testing lab. This would force the state, tribal, and federal law enforcement agents responsible for testing the crops to send the samples out of state while adhering to the 15-day testing window.
The use of DEA-registered reverse distributors was also delayed by the USDA.
The director of the USDA Domestic Hemp Production program William Richmond said that the USDA has the power to change testing and sampling requirements, but the total THC limit could only be changed by Congress.
Richmond further said that the USDA would open another comment period to gather information about the 2020 hemp production season.
Analysts expect hemp industry players like MCTC Holdings Inc. (OTC: MCTC) to keep pushing for even more reforms to the interim final rules until the industry can no longer be hamstrung by the regulations.
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