California's Hemp Restrictions Could 'Stifle Broader Access' To Therapeutic Products, Expert Warns

The cannabis industry is watching closely as California Governor Gavin Newsom implements emergency rules that could severely limit the sale of hemp-derived products.

The potential restrictions, aimed at controlling hemp's accessibility in the state, have sparked concern among operators and industry experts, who fear it could create ripple effects across the cannabis market.

Luna Stower, chief impact officer at Ispire, weighed in on the proposed regulations ahead of her participation in the Benzinga Cannabis Capital Conference. Stower, who has worked in the cannabis industry for over a decade, highlighted how these rules could stifle innovation and reduce economic opportunities in a state that has long been at the forefront of cannabis reform.

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Impact of Proposed Restrictions

Newsom's emergency rules would impose stricter limits on hemp-derived products, including those containing cannabinoids like CBD.

Stower noted that this move could hurt the growth and development of hemp-related businesses, particularly in California.

"Governor Newsom's proposed restrictions could have significant ripple effects across the cannabis industry, particularly in how we approach hemp-derived products," Stower said. She stressed the potential economic consequences, adding, "Limiting access to these products risks undercutting innovation and economic opportunities within California, which has historically been a leader in cannabis reform."

One concern Stower raised is that California, often seen as a trendsetter in cannabis legislation, could influence other states to follow suit. If similar restrictions were adopted nationwide, it could have a far-reaching impact on access to hemp and its derivatives, which are widely used for their therapeutic benefits.

"Moreover, if California, as a trendsetter, adopts these emergency rules, it could inspire similar restrictions nationwide, stifling broader access to hemp's therapeutic benefits," Stower explained.

The Need for Clarity Between Hemp and THC Regulations

Stower also called for a more unified regulatory approach between hemp and THC products, arguing that clearer policies are needed to balance consumer safety with the need for economic growth in the cannabis space.

"We need more clarity and cohesion between hemp and THC regulations to avoid overburdening operators while ensuring consumer safety," she emphasized. Stower's comments reflect a growing concern within the industry that the regulatory landscape for hemp is becoming increasingly fragmented, creating confusion for operators and consumers alike.

As California’s proposed restrictions continue to develop, industry leaders, including Stower, are calling for greater regulatory clarity to ensure that the hemp and cannabis markets can thrive without unnecessary barriers. These issues are expected to be part of the larger discussion at the Benzinga Cannabis Capital Conference, where industry leaders will share their views on the future of cannabis and hemp regulation.

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Image: Benzinga Edit and Bureau of Reclamation (Wikimedia Commons)