Big Win To The CBD Industry As President Trump’s Administration Scales Up Support.

President Donald Trump’s Administration and CBD Politics in the USA

The giant CBD industry that had remained under barricade for decades seems to reap hugely from the current political regime. 

It all started with the signing of the 2018 Farm Bill, which legalizes production, sale, transport, and processing of hemp, as well as marketing the accruing products. 

But it doesn’t stop there.

What’s the fuss?

On Tuesday, 21st April 2020, hemp scored yet another victory as the senate-house passed the Coronavirus Relief Bill

The bill allows hemp farmers, for the first time ever in history to gain access to several loan programs that have, for a long time, remained a pipe dream. 

Could this be a game plan for Mr. Trump’s re-election?

That remains a discussion for another day.

For the past years, hemp farmers have suffered neglect from disaster relief legislation through the federal Small Business Administration (SBA). 

This was due to the fact that they qualified for different packages under the U.S. Department of Agriculture (USDA) programs

However, those programs were explicitly designated for natural disasters only. 

This prompted the hemp industry legal experts to pile more pressure on the Congress to sanction the farmers’ eligibility for the SBA’s Economic Injury Disaster Loan program (EIDL).

With the corona Virus Relief Bill expected to be signed soon by the president, the hemp industry seems to have landed its wish. 

“We are excited that our advocacy efforts yielded real results for hemp farmers,” the advocacy group Vote Hemp wrote in one of their emails to supporters on Wednesday, 22nd April 2020.

Before the developments, a coalition of hemp industry associations had addressed a letter to the SBA head office. 

The letter urged the inclusion of hemp farmers and other associated businesses in the industry since they, too, were severely affected by the coronavirus pandemic.

“Farmers are experiencing significant headwinds and instability as a result of the COVID-19 pandemic and must be able to access disaster relief programs that can support them now,” the associations’ letter reads in part.

“We believe it was congressional intent to include in that expanded eligibility farms and other agricultural enterprises,” the letter continued.

“We urge SBA to clarify that agricultural enterprises are eligible for the EIDL program as well as the emergency grant program.” 

“We also ask that SBA to issue clear guidance confirming that agricultural enterprises are eligible for other SBA programs included in the CARES Act. We request that this guidance also be provided to SBA regional and field offices where farmers will undoubtedly inquire.” They added. 

The president of the Vote Hemp group also urged SBAs to consider the Hemp farmers just like other businesses. 

“We urge the SBA and Congress to provide the same relief to hemp farmers that are being offered to other businesses,” said Eric Steenstra. 

And the efforts seem to have yielded richer fruits as the bill passed the senate test.

Trump’s Administration Strikes Out CBD From The List Of Controlled Substances

american president donald trump and cbd support

Early this month, GW Pharmaceuticals CEO Justin Gover revealed that the Drug Enforcement Administration (DEA) descheduled the only approved CBD-based drug Epidiolex.

“This notification from DEA fully establishes that Epidiolex, the only CBD medicine approved by the Food and Drug Administration, is no longer a controlled substance under the federal Controlled Substances Act,” Said Justin Gover in his press release on 6th April 2020. 

According to Justin Gover, the descheduling of Epidiolex will ease access to the drug by patients in need. Previously, Epidiolex was classified under schedule (V) controlled substances, thereby limiting access to the drug by needing patients.

According to a poll conducted by YouGov in April 2020, one in every five Americans thinks that the legalization of marijuana has been a success.

President Trump’s History With Cannabis—Where Did He Start?

In 2018, President Trump signed Farm Bill, which not only legalized the production but also transportation, and processing of hemp-derived products.

The signing of this bill into law was a welcome relief to CBD users who, for decades, weren’t sure of the government’s position on this “magical” product.

John Millar, who is an expert in hemp law, praised the move by the president, saying, “Everybody who has been in the industry before now has taken a risk, and frankly, I think it’s proven to be a wise risk. But this Farm Bill, more than anything, takes away that risk.”

Although President Trump had acted in the interest of both hemp farmers and hemp-product consumers, some groups are still curious. 

Many people are wondering whether the move was to consolidate his support base for the November 2020 re-election or was out of goodwill for the CBD industry.

President Trump Pledged Support for Cannabis in his 2016 Presidential Campaign—Does He Mean It?

Major CBD industry players were always of the opinion that the election would severely impact the future of Cannabis and its products within the federal state. 

An opponent of legalization would, according to the “reverse the gains made while a pro-cannabis would help in the furthering of the movement towards a total end to prohibition.”

And the presidency seems to be dancing to the tune.

When Trump announced his candidacy for the 2016 presidential election, his overriding principles on Cannabis came into the spotlight. When asked about his Marijuana reform policy, Trump said: “I would like to see it legalized as I have had this thought since 1990.”

President Trump’s support to the Cannabis industry has been consistent right from his preliminary campaigns. 

When a question for the legalization of marijuana popped up in one of his rallies in October 2015 while in Nevada, his response rekindled the hope of Cannabis users and the industry at large. 

“Marijuana is such a big thing,” said Mr. Trump. 

“I think medical should happen — right? Don’t we agree? I think so…” he added. This clearly expresses President Donald Trump’s unwavering support to the Cannabis Industry.

 Although he has supported the use of Cannabis for medical purposes, he insists that it was up to the individual states to legalize it or not.

“As a president of the United States of America, I will allow states to choose whether to legalize marijuana or not without any interference from the federal government,” Trump said. 

“…but I believe that the legalization of marijuana – other than for medical because I think medical, you know I know people that are very, very sick and for whatever reason, the marijuana really helps them.”

“… but in terms of marijuana and legalization, I think that should be a state issue, state-by-state,” he added. 

Trump argued that legalizing Cannabis and its products would lead to a reduction in the prison population and the cost of enforcement. 

He further suggested that the “revenue from this industry would be used to fund drug education.”

Does Trump’s Administration Support Hemp Businesses?

The federal and state governments have, for the past years, been involved in promoting the CBD and cannabis industry through funding and research.

A few days ago, trump administration asked researcher who is involved in the study of how coronavirus infection has affected cannabis consumers to submit their grant application

The pandemic has affected almost all sectors and industries, including Hemp businesses. 

To cushion hemp businesses from the economic devastation caused by this virus, Congress has further included such businesses in the $2.2 trillion economic stimulus package. 

Moreover, the CARES Act sanctioned some $349 million for small businesses to stay afloat during these tough economic times. 

This is in addition to the $20 million grant earlier allocated for the Small Business Administration Disaster Relief Fund by the Trump administration.

Unfortunately, recreational and medical marijuana will not benefit from this package as marijuana is still considered illegal by the federal government. And it remains under schedule (I) of controlled substances according to the FDA.

However, the president continues to support the decisions by states on CBD and other cannabis products.

Towards the end of 2019, he reiterated his commitment to letting states legalize Cannabis without federal interference. 

“It’s a very big subject, and right now, we are allowing states to make that decision,” He said. 

“A lot of states are making that decision, but we’re allowing states to make that decision.”

His administration has not carried out any enforcement activities against CBD and legal cannabis users.

What Are Trump’s Administration Plans For CBD Regulate?

In a bid to regulate the CBD industry, President Trump has requested $5 million for the 2021 fiscal year. According to Mr. Trump, the money “will allow the FDA to continue enforcing the law to protect patients and the public while also providing a potential regulatory pathway for products containing cannabis and cannabis-derived compounds.”

While applauding the president’s effort to regulate the industry, Daniel Fabricant, president of the Natural Product Association, said: “This is a step in the right direction and is an indication that the Agency has the resources to regulate the industry.” 

“However, setting a safe level of consumption for CBD products is the best way to move forward with this promising new product while protecting consumers,” he added.

With the 2020 presidential election just a few months away, the marijuana reform policy is expected to feature prominently in the campaign. Hemp farmers and CBD users will be keen on what President Trump’s package for them before the balloting.

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