China ban on cannabis cosmetics will likely halt sales online as authorities push ‘anti-drug’ stance

Annette K. Brown

On March 26, the National Institutes for Food stuff and Drug Management (NIFDC), introduced a proposal​ to introduce legislation that would prohibit the use of cannabis and cannabis extracts in cosmetics.

The ban would involve uncooked elements this kind of as cannabidiol (CBD), Cannabis sativa kernel fruit, hashish sativa seed oil, as well as cannabis sativa leaf.

This proposal is presently open to community opinions till April 19.

Chemlinked analyst Hedy He reported this news came as a shock considering how the regulatory landscape all over cannabis item has been simplified in many marketplaces around the years.

“Cannabis cosmetics are certainly just one of the hottest merchandise in China. As soon as the ban requires impact, it will have remarkable effect on the business. The increasing prosperity in the cannabis beauty sector will appear to a grinding halt.”

According to the 2019 Hemp Once-a-year Report by the US Office of Agriculture (USDA), China grows virtually half of the world’s provide of hemp fibre, producing it the most significant producer in the earth.

Ban would influence CBEC profits

In the past number of many years, a variety of CBD elegance manufacturers have penetrated the Chinese market​ by way of cross border e-commerce (CBEC) channels these as Tmall World.

However, He verified that this ban would also implement to brands coming into China through this channel, leaving no loophole for CBD elegance providers.

“The mainstream e-commerce platforms in China these types of as Tmall World also require merchandise to comply with China’s ingredient and tests expectations, which suggests that when this ban will take outcome, it will also impact enterprises that enter the Chinese market through CBEC.”

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