ON TOUR: Nevada Dives Into CBD Hemp
Nevada dives into CBD hemp growing like a man with a mission. The sale of Hemp-CBD products is allowed under Nevada law. However, not every category of Hemp-CBD products may be lawfully sold in the state. Although the sale of CBD-infused foods \’\’and dietary supplements is strictly prohibited in the state, the sale of other categories of products, such as CBD-infused smokables \’\’and cosmetics, is neither expressly authorized nor prohibited.
Nevada Dives Into CBD Hemp – 2014 Farm Bill
The 2014 Farm bill in section 7606 authorizes institutions of higher education or state departments of agriculture in states that have legalized hemp cultivation to conduct research \’\’and pilot programs. The 2015 Nevada legislature legalized the cultivation of hemp for research \’\’and pilot projects.
The Nevada Department of Agriculture (NDA) has proposed the regulations required in the federal law \’\’and will be certifying \’\’and registering industrial hemp research projects conducted under the authorization of a Nevada institution of higher education or the NDA.
To receive authorization, the proposed project must have a stated research goal \’\’and comply with the state regulations. Very basic research goals can be acceptable as we explore the economic viability of hemp in Nevada.
Nevada Dives into CBD Hemp – Rules \’\’and Regulations Post 2018
Nevada is developing regulations to comply with the 2018 Farm Bill. As the state works on new regulations to submit to the USDA, the industrial hemp program in Nevada will be “business as usual,” according to the agriculture department, with the state continuing to enforce current regulations \’\’and process registration for growers \’\’and h\’\’andlers.
Chapter 557 of the Nevada Revised Statutes (“NRS”) legalized the sale of Hemp-CBD products “intended for human consumption,” \’\’and for topical application to the skin or hair of a human. Both the NDA \’\’and the DHHS have been tasked with developing regulations on this issue; however, according to the Department of Agriculture’s Industrial Hemp Department, the agency does not regulate processed finished Hemp-CBD products for human consumption. They are leaving that in the h\’\’ands of the FDA \’\’and the DHHS. The sale \’\’and marketing of these categories of products remain uncertain, unregulated, \’\’and therefore, risky in Nevada.
In 2018, Congress passed the Farm Bill \’\’and legalized hemp cultivation, creating a pathway to remove cannabis from Schedule 1. The Farm Bill defined hemp as cannabis that contains less than 0.3% THC by weight \’\’and marijuana as cannabis with more than 0.3%.
Hemp-derived CBD was thus removed from its Schedule 1 designation, but CBD derived from the federally illegal marijuana plant is still considered federally illegal, too. Hemp is considered an agricultural commodity, but must be produced \’\’and sold under specific federal regulations, which were not finalized when hemp was legalized.
Nevada Dives Into CBD Hemp – The Licensing of it All
Licensing for hemp growers, producers, \’\’and h\’\’andlers is managed by the NDA. Growers cannot be convicted of a drug-related felony within five years of the application date. If a grower meets all of the necessary application requirements, they are issued a license. This license remains valid through the calendar year ending December 31.
Once approved, growers must submit to a preliminary inspection of the site where hemp is being grown. This will be in the area specified in the application. There is also a compliance inspection to analyze the crop for THC concentration within 15 days of harvest.
The current application fee for growers is a nonrefundable $500 plus $5 per acre for outdoor operations, or $0.33 per 1,000 square feet of indoor operations. NDA requires a payment when they approve the application.
“Nevada Dives Into CBD Hemp” Last Words
Even before the Farm Bill, interest in hemp had skyrocketed in recent years. Between 2016 \’\’and 2018, the numbers of growers registered with the Nevada Department of Agriculture rose from 13 to 116. In 2017, Nevada hemp was grown over 17,170 square-feet in indoor facilities. By the end of 2018, that number had grown by 1,272%. In 2017, hemp grew on 490 acres then increased to 1880 in 2018.
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