Department official said that U.S. Department of HHS, in response to the Biden Administration’s request for a review last year, has suggested loosening marijuana restrictions.
A department official said on Wednesday that the U.S. Department of Health and Human Services (HHS), in response to the Biden Administration’s request for a review last year, has suggested loosening marijuana restrictions.
While marijuana usage is now allowed in almost 40 U.S. states in some capacity, in certain states and at the federal level it is still strictly prohibited. Reclassifying marijuana as less dangerous than substances like heroin would be a first step toward widespread legalization, a move that is supported by the majority of Americans.
As part of President Biden’s direction to HHS, the scheduling recommendation of easing restrictions for marijuana was given to the Drug Enforcement Agency (DEA) on Tuesday, the spokeswoman said.
“As part of this procedure, HHS carried out a scientific and medical assessment for DEA’s consideration. Under the Controlled Substances Act, the DEA has the last say on whether to first schedule or re-initiate a substance. A DEA representative announced that the agency will now start its examination.
The Controlled Substances Act now lists marijuana among narcotics like heroin and LSD as schedule I substances, indicating it has a high potential for abuse and no recognized medicinal value.
Marijuana should be reclassified by HHS to be in the same category as ketamine and testosterone with a moderate to low risk for dependency and a reduced potential for misuse.
The federal government’s categorization of marijuana might be changed to make it easier for major stock markets to list firms involved in the cannabis industry and perhaps even open the door for international corporations to start doing business here.
According to White House Press Secretary Karine Jean-Pierre, “the administration’s process is an independent process led by HHS, led by the Department of Justice, and guided by evidence… we will let that process move forward.”
Cannabis is legal in Canada, which has become the hub for publicly listed cannabis farmers and distributors in North America. If federal legalization occurs in the US, many of these companies are likely to expand there.
On hearing the news, investors in a number of cannabis companies, including Canopy Growth (WEED.TO), Tilray Brands (TLRY.O), and Cronos Group (CRON.TO), increased their holdings. Businesses like Sunburn Cannabis and Verano Holdings (VRNO.CD) praised the HHS action.
The CEO of Veranos, George Archos, said, “For far too long, cannabis prohibition and its antiquated status as a schedule I substance have unjustly harmed countless individuals affected by the failed War on Drugs.”