EXCLUSIVE: How Hemp Certifications Bridge Regulatory Gaps While Debunking Myths

Zinger Key Points
  • A new certification program helps hemp meet safety and labeling standards in the absence of federal regulation.
  • Certified hemp products gain market access and consumer trust, even in states without specific hemp laws, says industry leader.

The U.S. Hemp Authority (USHA) certification program aims to become a cornerstone of hemp industry standards, providing self-regulatory practices to an industry that has been at the center of a multidimensional debate. The program focuses on safety, labeling and quality control – all aspects about which federal regulations remain absent.

Since 2018, this industry-led initiative has offered two levels of certification: a “classic” seal for non-intoxicating products, such as CBD, and a “21+” seal for adult-use products containing compounds like Delta-8 and Delta-9 THC. In this article, we explain their role and discuss their implications with Chris Fontes, USHA’s president.

Ensuring Product Safety Through Self-Regulatory Certification

According to Fontes, certifications play an essential role in addressing concerns from advocates of stricter regulations.

“A certification standard shows legislators, regulators, and consumers alike that we are serious about creating safe and effective products for human consumption,” Fontes says. To address gaps in federal regulation, USHA developed the Adult Use Certification Standard, which he describes as "created to fill the gap that was created when federal regulators failed to create rules for products."

USHA's standards address key areas of concern often cited by those favoring stricter oversight, Fontes says

"The rhetoric used by prohibitionists seems to fall under three categories: underage access, impurities in the product, and labels that do not match the contents. The standard we created addresses all of these concerns to ensure public safety and grow public trust."

Read Also: Expert Calls For A United Hemp And Cannabis Front, ‘Industries Should Collaborate’ And Push For Federal Rules

Adapting To Interstate Commerce And Market Variability

The self-regulating approach of hemp manufacturers has been largely shaped by the requirements of interstate commerce. This has created a paradox. While there’s an indubitable presence of low-quality, low-controlled products in states where cannabis is still illegal, many Hemp companies are delivering products with high-quality standards, often higher than those required for cannabis manufacturers at the state level.

Many states have hemp regulations, but even in states without specific hemp laws, companies often adopt certification standards to ensure consistency.

  • Get Benzinga's exclusive analysis and the top news about the cannabis industry and markets daily in your inbox for free. Subscribe to our newsletter here. If you're serious about the business, you can't afford to miss out.

"Further, multiple states do have hemp regulations, and the majority of hemp operators are self-regulating in states that don't, to ensure product safety, despite not being forced to," Fontes says.

The reason is that interstate commerce has encouraged hemp companies to standardize their products to comply with the strictest regulations, ensuring products meet the requirements of regulated states.

"And due to interstate commerce, if you want to sell in a regulated state, it's far easier to get your entire organization and product line up to par than to only be compliant for products entering said state,” Fontes explained. “Meaning, even in states without regulations, most of those products are being regulated elsewhere, and they are the same products."

Read Also: EXCLUSIVE: Cannabis Leaders Focus On ‘Top Shelf’ Quality By Balancing Innovation, Branding, IP Protection

Expanding Market Access Through Certification

Certification has also become a key driver of market access, allowing certified hemp products to secure shelf space in major retail chains and enter international markets that require stringent testing.

Products bearing the USHA seal are reviewed for contaminants like heavy metals and pesticides, a common concern regarding this segment of products. This is also an issue when it comes to cannabis products. Just last week, a new study was published showing the presence of pesticides in unlicensed vapes.

The risks of mislabeling are also diminished, as certifications play the role of testifying that the manufacturers have met accurate labeling standards.

Cover: IA-generated image

Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Posted In: CannabisGovernmentNewsRegulationsExclusivesMarketsGeneralCannabis RegulationcertificationChris FontesHempinterstate commercenewsqualitytop storiesU.S. Hemp Authority
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!

Cannabis is evolving – don’t get left behind!

Curious about what’s next for the industry and how to leverage California’s unique market?

Join top executives, policymakers, and investors at the Benzinga Cannabis Market Spotlight in Anaheim, CA, at the House of Blues on November 12. Dive deep into the latest strategies, investment trends, and brand insights that are shaping the future of cannabis!

Get your tickets now to secure your spot and avoid last-minute price hikes.