New York's Surprise Ban On Cannabis-Caffeine Products Raises Eyebrows In Industry (UPDATED)

Zinger Key Points
  • New York’s Office of Cannabis Management has banned Hudson Cannabis' caffeine-infused THC pills, citing public health concerns.
  • Hudson Cannabis disputes the order, arguing their products are safe and compliant, with no reported adverse effects.

Editor's Note: This article has been updated to clarify that an appeal is being filed by the 1906 brand, rather than Hudson Cannabis, the processor. The update reflects that 1906 is pursuing an administrative appeal to affirm its compliance with state regulations and the safety of its products.

New York's Office of Cannabis Management (OCM) recently ordered a halt to two caffeine-infused THC products by Hudson Cannabis and its brand 1906.

According to the New York Post, the two affected product lines – "Go" and "Genius" – had been on the market since early 2023, marketed for specific benefits.

See Also: That Must Have Hurt: Unlicensed Cannabis Shop Owner Slapped With $9.5M Fine

"Go" was sold as an energy booster containing 80 mg of caffeine, 2 mg of THC, and 5 mg of CBD per dose, while "Genius" was formulated as a cognitive enhancer with 20 mg of caffeine, 2.5 mg of THC, and 5 mg each of CBD and CBG.

The OCM's quarantine notice, issued in July, claimed the products' formulations "may jeopardize public health or safety," with officials stating that "ingredients used in product are not allowed to be used in cannabis products."

The ruling has raised industry concerns, particularly as these products are legally sold in other states.

1906 Appeals State Ban On Caffeine-Infused Cannabis Pills

The 1906 brand is appealing the order, maintaining that its caffeine-infused THC products are compliant with New York’s cannabis regulations and have a track record of safety.

The pills combine caffeine, THC, CBD, and in the case of "Genius," the cannabinoid CBG. According to Hudson Cannabis co-founder Melany Dobson, the decision to prohibit these products defies logic. “We are surprised by this decision from the state to quarantine products that have been on the market for over 18 months,” Dobson told The Post, pointing out that the products have "zero reported adverse effects" and are sold legally across multiple states.

Attorney Matthew Schweber of Nuka Enterprises, which owns the 1906 brand, argued that OCM's stance is both "arbitrary and capricious." According to Schweber, the OCM is interpreting state regulations in a way that restricts artificially added caffeine while permitting "naturally occurring caffeine" in products like coffee or tea.

"OCM can't say which prohibition exactly caffeine triggers? Does caffeine increase cannabis' ‘potency?' Does it increase its ‘toxicity' or its ‘addictive potential?' Does it create ‘an unsafe combination?'" Schweber asked, adding that the regulators had no documented evidence of any risk from combining caffeine and THC.

Mixed Signals On Caffeine In Cannabis Products

The ban has also raised questions among industry insiders regarding regulatory consistency. Competitor products, such as Harney Brothers Cannabis-Infused Nitro Coffee, contain significantly higher levels of caffeine—225 mg per serving—yet face no restrictions.

Osbert Orduna, CEO of The Cannabis Place in Queens, said: "The 1906 products are very popular with all age groups. It's a big seller. Orduna also explained that these pills have attracted a diverse clientele, including professionals and fitness enthusiasts, due to their convenient, tablet-based form.

Read Next:

Cover image made with AI.

Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Posted In:
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.