Good News, Bad News for CBD Users and Medical Marijuana Advocates in Ohio

The announcement yesterday by The State of Ohio Board of Pharmacy regarding CBD sales in the Buckeye State is both good news and bad news for CBD users and medical marijuana advocates in Ohio. Mostly bad news.

First the good news ... Patients will be able to purchase CBD products from licensed dispensaries once they are open. This means that CBD products sold in Ohio will be subject to the same testing and labeling requirements as medical marijuana.

Now the bad news ...

1) Supply of CBD could be very limited. CBD products sold in Ohio will need to be produced by state-licensed processors. Only nine processing licenses (out of a possible 40) have been granted to date. There is no word yet on how many licensees intend to produce CBD products (if any). Translation: the jury is still out on who will be producing Ohio's CBD supply.

2) Supply of hemp derived CBD could be non-existent. Many cannabiz experts believe the state has not licensed enough grow space to handle anticipated demand for medical cannabis. If the same restrictions apply to hemp, which does not command nearly the same price per pound as cannabis, it's unlikely any licensed cultivators will dedicate grow space for hemp, meaning very little to no hemp derived non-psychoactive CBD products will be produced. Translation: the outlook for hemp derived CBD in Ohio is not good, at least initially.

3) Access to CBD will be very inconvenient for many Ohio patients. The Board of Pharmacy has licensed 56 dispensaries throughout the state. But some patients will have to drive long distances to buy CBD, crossing one to two county lines in the process. Online sales and deliveries are not presently permitted under Ohio's law. A large percentage of CBD presently being used in Ohio is being purchased online. Translation: access to CBD is going to be problematic for many patients, which could allow the gray out-of-state CBD markets to remain the primary source for a significant number of Ohio patients.

4) State-sanctioned CBD will cost considerably more. Patients will have to obtain a recommendation from a licensed doctor and apply for a state-issued medical marijuana card before being able to purchase CBD. Early reports indicate that this process will cost up to $300 or more. In other words, patients will have to lay out $300 or more BEFORE they will be able to purchase CBD legally under the state's program. Further, they will need to renew their medical marijuana card annually at an anticipated cost of $100. Translation: the additional cost to obtain state-sanctioned CBD in Ohio is another factor that could suppress demand, deter processors from producing it and continue to send patients out-of-state and/or online to purchase product.

This is not a comprehensive list. All in all, a tough gummy bear to swallow for CBD advocates in Ohio.

If you have questions about Ohio's medical marijuana program, please reach out to me. I would be happy to assist you.