On November 3, 2021, New York’s Cannabis Control Board (the “CCB”) finalized and approved regulations for the Cannabinoid Hemp Program (the “Regulations”), which regulate all products sold in New York that contain cannabidiol, also known as “CBD”. The Regulations create the standards by which manufacturing, testing, packaging, and labeling of CBD products will be governed.
The key Regulations include:
- All hemp products must be manufactured using “Good Manufacturing Practices” (as defined by the Cannabinoid Hemp Proposed Regulations) that are specific to the product form – either food or supplement – to ensure that products are produced in sanitary conditions.
- All products must be tested in by accredited ISO/IEC 17025 laboratory for a full panel of analytes prior to being offered for sale to the public.
- All product labels must include: (i) a nutritional or supplement fact panel; (ii) a list of ingredients; (iii) the total amount of cannabinoids per serving, including the amount of CBD and THC, if applicable; (iv) a link to the Certificate of Analysis; (v) all required warnings; (vi) a mechanism to report an adverse event; and (vii) the expiration or “best by” date.
Existing businesses have until May 2022 to come into compliance with the new standards.
The CCB hopes to implement additional changes to the Regulations in an effort to close the gap between the differences in regulatory structures in other states to ensure that New Yorkers are receiving the highest level of protection while still affording businesses the ability to compete. Some of these expected changes include modifying the per-serving milligram cap for dietary supplement hemp products, increasing the acceptable THC concentration, creating a method for small hemp farms to affordably process and manufacture their own product, and amending the label requirements.
The Department of Health is now accepting applications for Cannabinoid Hemp Retail Licenses, Cannabinoid Hemp Distributor Permits, and Cannabinoid Hemp Processor Licenses. Cannabinoid Hemp Retail Licenses and Distributor Permits allow the licensee to sell hemp products, while the Cannabinoid Hemp Processor Licenses allow the licensee to manufacture and develop hemp products. The Cannabinoid Hemp Distributor Permit is specifically for businesses that sell or distribute products manufactured outside of New York State at wholesale prices to Cannabinoid Hemp Retailers located in New York. However, it is critical to note that a cannabinoid hemp license does not permit the licensee to cultivate, process, or sell cannabis products.
The Wagoner Firm has been following the progress of New York’s cannabis industry from its inception and remains informed of all developments in the CCB and hemp regulations. The Firm is available to answer questions concerning the new regulations and counsel applicants regarding hemp licensure, product labeling, and all other aspects of the Regulations.
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