420 with CNW – 2019 Federal Data Shows More Banks are Accepting Marijuana Businesses

Newly released federal data shows that in 2019, more credit unions and banks have been taking on marijuana businesses as clients compared to previous quarters and years.

The federal data shows that there were 113 credit unions and 438 banks which actively serviced cannabis businesses in the final quarter of 2018. The statistics for the first quarter of 2019 indicate that the banks increased to 493 while credit unions numbered 140.

The data comes from the Financial Crimes Enforcement Network (FinCEN) of the Treasury Department. FinCEN tracks the finances of the marijuana industry in accordance with the banking guidelines issued in 2014 by the Obama administration. Under these rules, financial institutions are required to file Suspicious Activity Reports (SARs) with FinCEN.

Under the current federal laws, banks risk being penalized if they do business with cannabis firms since marijuana products are still federally illegal. Despite this risk, more financial institutions are biting the bullet and accepting marijuana businesses as customers.

The update from FinCEN for the quarter ending March 31 shows that they received 81,725 SARs from banks and credit unions across the country. Of those, 61,036 SARs were categorized as “marijuana limited.” This categorization is given to SARs which refer to banking transactions of businesses that comply with state laws.

Another 6,000 SARs were grouped under “marijuana priority.” SARs in this category show transactions that raise at least one red flag due to the transgression of either state marijuana laws or federal guidelines on which sorts of marijuana businesses can be serviced at state level.

20,000 SARs were labelled “marijuana termination.” These are transactions that show that a given business violated either state or federal marijuana laws thereby prompting the bank or credit union to terminate its relationship with that marijuana business.

Financial institutions have for long complained about the complex reporting requirements which they have to comply with while servicing legal marijuana businesses. Those reporting requirements make access to banking services expensive for legitimate cannabis businesses since the costs of compliance are passed on to them.

The SAFE Banking Act which is making its way through Congress is seen as one way to get a lasting remedy to the issue of cannabis banking. This bill is widely expected to be up for a vote on the floor of the entire House of Representatives next month after it was passed in March by the House Financial Services Committee.

In the meantime, Congress voted to include language in the appropriations bill for Fiscal Year 2020 barring the Department of Justice from taking marijuana enforcement action in states and territories with recreational and/or medical marijuana laws.

Codifying these protections into law would go a long way towards easing the fears of financial institutions regarding working with marijuana businesses. Marijuana industry watchers strongly believe that the industry, including players like Redfund Capital Corp. (CSE: LOAN) (OTCQB: PNNRF) (FRA: O3X4) and Plus Products Inc. (CSE: PLUS) (OTCQB: PLPRF), will be glad that the federal data shows that more financial institutions are warming up to the marijuana industry.

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CNW420 spotlights the latest developments in the rapidly evolving cannabis industry through the release of two informative articles each business day. Our concise, informative content serves as a gateway for investors interested in the legalized cannabis sector and provides updates on how regulatory developments may impact financial markets. Articles are released each business day at 4:20 a.m. and 4:20 p.m. Eastern – our tribute to the time synonymous with cannabis culture. If marijuana and the burgeoning industry surrounding it are on your radar, CNW420 is for you! Check back daily to stay up-to-date on the latest milestones in the fast -changing world of cannabis.

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420 with CNW – National Sheriffs’ Association Wants Marijuana Rescheduled

The National Sheriffs’ Association (NSA) has passed a resolution calling on the federal government to reschedule marijuana. The same resolution also reiterates the group’s opposition to the legalization of recreational marijuana.

In the resolution, the NSA states that they regard the legalization of cannabis as a threat to public safety and health, but they also have empathy for people who are suffering as a result of debilitating conditions which prompt them to seek medical cannabis.

The sheriffs reaffirmed that they remain opposed to not just state-level legalization but decriminalization as well since these policies haven’t done much to eradicate illicit cannabis sales in the states with decriminalization or legalization policies.

However, the group urged the federal government to move marijuana from Schedule I to Schedule II of the Controlled Substances Act in order to make it possible for research to be done into the potential therapeutic applications of marijuana.

The resolution goes on to state that because of statutory and regulatory barriers imposed by the federal government, it hasn’t been possible to obtain any definitive scientific data regarding the therapeutic claims attributed to marijuana. The same barriers have also made it hard to perform research to quantify the cannabis levels which result in impairment.

The sheriffs consequently resolved that marijuana be reclassified to Schedule II so that all the impediments to research are removed.

While the resolution shows that the sheriffs are still opposed to marijuana legalization, their position shows that the organization has undergone a transformation from the last time they voiced their opinion on marijuana in 2015.

Their resolution at that time contained a flat rejection of any form of marijuana legalization, be it medical or recreational. In fact, they urged Congress to do everything possible for the federal government to enforce the Controlled Substances Act.

The recent resolution therefore indicates that the association recognizes, however grudgingly, that marijuana could have some medicinal benefits and they want research to be done to confirm those benefits. This explains why their resolution makes reference to the scheduling of marijuana and yet their 2015 resolution was silent in this regard.

The resolution of the NSA comes at a time when numerous groups and associations, such as attorneys general, banking associations, state governors, and city and local authorities have all passed resolutions or written to Congress urging the federal government to implement marijuana law reforms. Analysts are wondering how industry players like Organigram Holdings Inc. (TSX.V: OGI) (NASDAQ: OGI) and Net Element Inc. (NASDAQ: NETE) will react to the resolution of the NSA.

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420 with CNW – Idaho Medical Cannabis Ballot Initiative Clears First Hurdle

According to a press release issued by the Idaho Cannabis Coalition on Tuesday (June 25), the group has submitted the required list of voters supporting their petition to see medical marijuana included on the state ballot in 2020.

The group was told that they needed to collect a minimum of 55,057 signatures from Idaho voters if they were to be given the go-ahead to put together a ballot measure that would be voted on during the upcoming elections in 2020.

The coalition duly collected the signatures and submitted them to the Secretary of State for verification before the next step of the process can begin.

The chief petitioner of the Idaho Cannabis Coalition is 77-year old John Belville. Speaking at the press conference at the steps of the state Capitol, Belville revealed that he has been taking prescription opiates for his neuropathic pain and those opiates have caused his organs to start failing.

Belville’s son, Russ, was also at the press conference and stated that his father visited him in Oregon and tried medical cannabis while there. It helped him a great deal, and that was why they were campaigning to have this form of treatment legalized in Idaho.

The different speakers at the press briefing affirmed that there were several scientific studies showing the effectiveness of marijuana in treating various conditions. 33 states have acknowledged this and legalized medical marijuana, and there is no reason why Idaho should continue to lag behind, the speakers concluded.

The advocates want to give Idahoans a chance to legally access whole-plant marijuana and other marijuana products from dispensaries which are regulated by the state. The initiative also wants patients with demonstrated financial or physical hardships to be allowed to grow a few plants for their own use instead of having to buy finished medical marijuana products that may be too expensive for them.

The coalition now awaits feedback from the state regarding the status of the signatures submitted after which a program for campaigns on the matter will be drawn.

In 1996, California made history by being the first U.S. state to legalize medical marijuana. Since then, a total of 33 states, as well as the District of Columbia, Puerto Rico, Guam and the U.S. Virgin Islands have legalized medical cannabis. Many more states are in the process of getting medical marijuana legalized either legislatively or through voter initiatives.

Marijuana industry analysts believe that the entire industry, including players like Nabis Holdings Inc. (CSE: NAB) (OTC: NABIF) (FRA: 71P) and MustGrow Biologics Corp., will be watching the developments in Idaho closely to see how they pan out.

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420 with CNW – It’s Official, Illinois is 11th to Legalize Recreational Marijuana

As had been widely expected, Gov. J.B Pritzker yesterday (June 25) signed a bill legalizing recreational marijuana in Illinois. This makes the state the 11th to legalize marijuana fully, joining the likes of Colorado and California.

When this new law takes effect on Jan 1, 2020, adults 21 and older will be allowed to possess up to 30grams of marijuana and non-residents will be permitted to possess a maximum of 15grams.

The signing ceremony marked the fulfillment of a pledge Gov. Pritzker made when he was campaigning for office. He promised to see the swift legalization of recreational marijuana in order to bring needed revenue to the state, correct historical wrongs occasioned during the futile war on drugs and also shift scarce law enforcement resources to more serious crimes.

This law makes Illinois the first state to legalize recreational marijuana legislatively while creating a comprehensive framework for sales across the state. The other state (Vermont) which took this path just stopped at passing a law that created an agency to work out the details of full implementation.

Until legal sales start at the beginning of 2020, it will still be illegal to possess marijuana unless one is registered on the state’s medical marijuana program.

On the market side, the legalization law creates a first-of-its-kind mechanism through which people from impoverished communities will be helped to participate in the legal cannabis industry. This help will come in the form of fee waivers, low-interest loans and other forms of preferential treatment for “equity” applicants. A portion of all revenue generated from the marijuana industry will also be reinvested in impoverished communities in order to revive their economies.

Police departments have been jittery ever since the law was drafted, and their stiff opposition led to the dropping of a provision which would have seen residents allowed to grow up to five plants for recreational use. This opportunity now went to medical marijuana cardholders who weren’t initially allowed to grow marijuana for their own use.

Police departments are now worried that it will be hard for them to stay on top of people driving under the influence of marijuana since there isn’t reliable technology to test for impairment.

Meanwhile, hopes were high among advocates that New York and New Jersey would also legalize marijuana legislatively this year but the plans in those states fizzled out during spring. There is almost no doubt among cannabis industry analysts that the whole industry, including Marijuana Company of America Inc. (OTCQB: MCOA) and Lexaria Bioscience Corp. (CSE: LXX) (OTCQX: LXRP), has heaved a collective sigh of relief that the momentum of state-level legalization hasn’t stalled completely.

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New Technology Enters the Market as Demand Rises for Hemp Processing Power

CannabisNewsWire Editorial Coverage: Rising hemp production is putting pressure on processing.

Sugarmade Inc. (OTCQB: SGMD) (SGMD Profile), a provider of cultivation equipment, is adding processors to its catalog of products, focusing on next-generation machinery. Canopy Growth Corporation (NYSE: CGC) (TSX: WEED) will be among the companies with a rising demand for processing, as it increases both its cultivation capacity and its product lines. Demand is rising in part thanks to CBD’s public profile, with deals such as the partnership between Aurora Cannabis Inc. (NYSE: ACB) (TSX: ACB) and UFC shining a spotlight on the plant and its potential. New uses for CBD are also increasing demand for the plant, with R&D led by companies such as Cronos Group Inc. (NASDAQ: CRON) (TSX: CRON) and Aphria (NYSE: APHA) (TSX: APHA).

Hemp can be processed to extract both fibers and cannabidiol (CBD).
CBD is currently the most valuable segment of the North American hemp market, though demand is likely to grow for fiber processing.
Larger machines offer one option to increase the scale of processing.
New technology may provide a more efficient answer.

To view an infographic of this editorial, click here.

Masses of Hemp

The year 2019 looks to be a bumper year for the U.S. hemp industry. Rising consumer demand has met the legal relief of the 2018 Farm Bill, whose passage in December paved the way for legal hemp cultivation and processing across the country. The industry is preparing to make hay while the sun shines — or in this case, make heaps of hemp.

This rise in production, which is expected to continue into next year and beyond, is inevitably creating complications. Most important among these is the challenge of processing the hemp. U.S. hemp-processing businesses are relatively new and small scale, as is much of the machinery with which they work. If the industry is to profit from the massive rise in hemp production, then it needs to ramp up its processing capacity. Otherwise today’s bumper crops could become tomorrow’s waste.

What We Get from Hemp

Hemp production and processing has risen from nothing to become a huge business in just the last few years. Companies working in the sector, such as Sugarmade Inc. (OTCQB: SGMD), cover a wide range of products and services, from providing cultivation supplies to marketing new products to consumers.

Those products usually incorporate one of the two main ingredients that can be extracted from hemp: fibers and cannabidiol (CBD).

Fibers are how hemp has been traditionally cultivated and used. For centuries, hemp was the basis of rope and cloth, playing an essential part in equipping navies and clothing people. This use fell out of fashion in the 20^th century, as sailing was replaced by mechanical shipping, and hemp became caught up in drugs criminalization efforts. As a result, America is not well positioned to produce hemp fiber, and imports most of what it uses from China, a country with a more advanced hemp fiber industry. But with growing interest in hemp and the disruption of trade wars, home-grown fibers have moved onto center stage, with more companies recognizing the significant opportunity the crop offers.

The product that has brought American companies such as Sugarmade into the hemp space is one of the breakaway commercial phenomena of the past decade — CBD. A natural chemical found in hemp and related plants, CBD has recently been the subject of much research and development. Claims have been made for its effectiveness in relaxation, pain management and countering anxiety. The component has become a popular ingredient in health and well-being products, including supplements, foods and toiletries.

With a bumper harvest of hemp expected this fall, companies throughout the value chain are asking how raw hemp can most effectively be processed to provide for the massive demand for CBD.

Scaling Up

The industry is clearly going to have to scale up to meet the challenge of hemp processing. This burgeoning increase is creating unprecedented levels of demand for processing machinery.

“Our staff has done extensive research into the fast-growing hemp industry,” said Sugarmade CEO Jimmy Chan. “We continue to see an imbalance between cultivation outputs and extraction capacities within the industry. This leads us to believe the market for extraction services and the equipment required by these extraction companies will continue to accelerate.”

The company has responded by entering the market for hemp extraction technologies and equipment. As a supplier of cultivation supplies, Sugarmade has already benefited from the green rush surrounding the Farm Bill and the growing interest in hemp that preceded it. Moving from cultivation equipment to extraction equipment is a natural next step for a company whose business model is built around supporting cultivators.

In addition to increasing the number of machines available, many companies are looking into providing bigger machines that can process ever bigger volumes of biomass. But the drawback of this “bigger is better” philosophy is cost. The larger machines being installed in many extraction facilities are expensive, not just for the machines themselves but also the associated costs. Expenses such as real-estate square footage and ethanol storage have to be factored in, and once those costs are included, a modern hemp-extraction facility can easily cost tens of millions of dollars, a cost passed on to cultivators through processing fees.

While the industry’s processing capacity clearly needs to increase, the best solution may not be the most obvious. Sugarmade is looking at a different approach.

New Technology

Rather than focus on larger versions of current machines, Sugarmade is exploring the next generation of hemp-processing technology.

Most CBD extraction in the United States currently uses ethanol to chemically separate the CBD from the rest of the plant and make it available for use. But other options are available and are becoming more sophisticated. New technology using water-based sonication extraction, microwaves and other techniques may transform the way extraction is carried out — and significantly impact costs as well. These machines, which Sugarmade plans to make available to its customers, could reduce the cost of extraction and so help cultivators increase their output without exorbitant increases in cost.

These technologies may also help with other steps in the processing of hemp. New machines could perform additional functions that currently require auxiliary equipment, such as THC remediation and removing heavy metals. Skipping steps in processing would only add to the efficiency of operations, reducing costs and increasing speed of processing.

To bring this new technology into the American market, Sugarmade is working with Chinese manufacturers. The Chinese market is advanced in its approach to extraction, thanks to its reliance on essential oils for herbal medicines. For more than a thousand years, Chinese farmers have been cultivating and extracting essential oils from hemp. This expertise has led to an in-depth understanding of the process and the equipment needed to complete the task. Working with Chinese manufacturers could allow Sugarmade to provide its customer with more advanced and efficient technology.

Hemp processing needs to scale up. But just because eventual outputs need to be bigger doesn’t mean that bigger is necessarily better where machinery is concerned. In many cases, bigger may be just more expensive, whereas improved technology could bring real benefits.

Companies in Need of Processing

The pressure on processing capacity for hemp and related plants comes in part from the emergence of large companies in the sector. Among these is Canopy Growth Corporation (NYSE: CGC) (TSX: WEED), a leading player that has benefited from investment from other industries. The company has been steadily growing, including through the acquisition of a company making hemp skin-care products, creating demand for more CBD from within the company. To help meet this demand, it has been preparing another acquisition of Acreage Holdings Inc.

Another of the large Canadian companies with an interest in hemp and CBD, Aurora Cannabis Inc. (NYSE: ACB) (TSX: ACB) is exploring new ways in which these products can be of use. The company recently announced a partnership with mixed martial arts company UFC. As part of this arrangement, Aurora will explore ways in which its research and products might help athletes, whether in pain relief, dealing with the strains put on muscles, or helping with rest and relaxation. The partnership could help raise the company’s profile by association with an exciting sport and some of the world’s most impressive athletes.

Cronos Group Inc. (NASDAQ: CRON) (TSX: CRON) is also looking for new approaches to CBD, with the creation of a recent R&D facility. While R&D work may only consume relatively small amounts of plants, its results include new products that could expand the market and increase demand for processing facilities. The company’s CEO, Mike Groenstein, has also been raising the profile of this work through a series of conference appearances, as the sector becomes better connected and interdependent.

The law around CBD and related products continues to evolve, and with it the products that can be sold. Aphria (NYSE: APHA) (TSX: APHA) is developing vaporization products in anticipation of changes in Canadian law later this year. As more states and countries bring in ever more liberal laws, product ranges should continue expanding, and with that growth will come the sector’s rising demand for equipment.

For more information on Sugarmade, visit Sugarmade Inc. (OTCQB: SGMD)

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420 with CNW – California Launches Public Campaign Against the Illicit Marijuana Market

The legal marijuana industry in California has been grappling with a number of challenges, chief of which is how to stamp out the illicit operators in the state. On Friday, the state launched a public campaign aimed at educating the public about the dangers associated with cannabis from the black market.

The “Get #Weedwise” campaign is intended to encourage people to only buy marijuana from the regulated market. The campaign will also send out warnings to the illegal operators to either get licensed or close shop.

In a press release, the Bureau of Cannabis Control (BCC) chief, Lori Ajax, said that this campaign is the first of its kind and it will educate members of the public about the differences between the weed obtained from licensed operators and that from the illicit market.

For example, the BCC will tell people that marijuana from licensed sources has been tested to ascertain its potency, purity and safety. In this regard, one of the ads states that “What is in your weed shouldn’t be a mystery. Buy legal cannabis only.”

The multilingual messages used in this campaign will be disseminated using a variety of methods so that the information reaches “as many eyeballs as possible.”

Many of those messages will be beamed out on digital platforms telling consumers that the marijuana on the black market is potentially tainted with fecal matter, pesticides and mold.

Businesses will also be reached during this campaign. Messages will be sent out warning that cash and illegal goods will be seized if those unlicensed businesses continue operating. The campaign will also provide an expedited way for illicit businesses that wish to become legal to get licensed.

This public campaign is expected to cost at least $1.7 million. More money will be injected into the “Get #Weedwise” campaign as time goes by.

This public campaign comes at a time when there are ongoing battles between the state and local authorities which have not only banned the opening of cannabis businesses within their jurisdictions but are also trying to block the delivery of cannabis from areas where businesses exist.

The few local authorities which have allowed cannabis businesses to operate are choking under the weight of illegal operators. This is the very reason why licensed operators in Los Angeles have formed a coalition to put pressure on the state government to act more decisively against the black market operators.

The step taken by California is likely to be welcomed by all in the industry, including players like Hemptown USA and Green Hygienics Holdings Inc. (OTCQB: GRYN) since it will help to bring marijuana further into the mainstream.

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420 with CNW – CBD Shows Promise in Study on Superbugs

As bugs get more resistant to the existing antibiotics, researchers are looking for new ways to combat infections and cannabidiol, a marijuana compound, is showing promise as a remedy for superbugs.

A new study conducted by researchers in Brisbane, Australia has shown that CBD has promising antimicrobial activity against some strains of Gram-positive bacteria, such as varieties of strep and staph bacteria.

In the study, a synthetic form of CBD was placed in lab dishes containing the bugs being investigated. The cannabis compound showed the same level of antimicrobial activity as two existing prescription antibiotics (daptomycin and vancomycin). The synthetic CBD even went as far as killing some strains of strep and staph bacteria that no longer responded to the two prescription antibiotics.

Additionally, the synthetic compound also acted against bacterial biofilms. These biofilms are formed when proteins are secreted by bacteria on surfaces. Such surfaces can become slippery, and the resulted infections are very difficult to treat. The in vitro tests showed that CBD can combat such biofilms.

The researchers have cautioned that people should not start treating themselves against infections using CBD since this research was an in vitro (in test tubes) study and the findings aren’t a guarantee that similar results will be observed in humans.

Mark Blaskovich, the lead author of the study, said that people are better off sticking to the current treatment options against infections until such a time when their preliminary research findings are pursued further and confirm that CBD works effectively to fight infections in humans.

The study was conducted as a collaboration between Botanix Pharmaceuticals (a drug discovery company) and the Center for Superbug Solutions at the University of Queensland in Brisbane, Australia.

While the research is yet to be published in a peer-reviewed journal, it was presented on June 23 to the American Society for Microbiology during its annual meeting in San Francisco.

It is still early days before CBD is developed into a drug for infections. As already mentioned, further research is needed to establish at what dosage CBD can combat infections in humans, how best to administer the compound for maximum effect, and what side effects, if any, may result from the use of CBD as an antibiotic at the therapeutic dosage established.

The authors of this study are now set on conducting animal studies on the antibacterial activity of CBD while Botanix Pharmaceuticals has set its sights on studying whether CBD can be used to kill staph bacteria on the skin of people before they undergo surgery. This step is essential in preventing post-surgical infections.

Industry watchers expect the entire cannabis industry, including players like Green Growth Brands Inc. (CSE: GGB) (OTCQB: GGBXF) and Golden Developing Solutions Inc. (OTC: DVLP), to feel vindicated by the proof emerging about the health benefits of different marijuana compounds.

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420 with CNW – Company Invents CBD Extraction Method Aimed at Bringing Prices Down

While the popularity of cannabidiol (CBD) has been growing, the current price of high-quality CBD oil is so high that it is out of reach for many of the people who need it the most. Draconis Extraction Technology (DET) has come up with a system which will extract crude CBD on an industrial scale and lower the cost of the final product.

The large-scale ethanol extraction process is patented and is set to start being used to avail winterized, full-spectrum de-waxed CBD oil.

Paul Baskis, the person who invented the extraction system says he was driven by a desire to help those who badly need CBD oil but struggle to afford it. He singled out veterans who suffer from different conditions, such as PTSD and anxiety.

Currently, 1,000mg of CBD oil costs $350 on the market and this oil can last approximately 11 days for a person weighing 180 pounds with a recommendation of 5mg for each pound of body weight. How many people can afford such a cost, he wondered.

The technology introduced by DET will make it cheaper for crude CBD oil to be available without sacrificing the quality of the product. Paul Baskis boasts that the crude oil his extraction system will produce is so pure that someone can vape it without seeing any residues in the vape pen.

The other novel thing about this extraction method is that no waste is generated. The oils and waxes removed are also products in their own right. For example, the waxes are sold as raw materials for the cosmetics industry while the pulp is ready to use in the manufacture of bioplastics, paper and fabrics.

The hemp pulp can also be converted into fuel to power the extraction system and the residue from this fuel is a high-quality carbon-based fertilizer.

Max Le Pera, the Vice President of Draconis, explained that the company feels strongly about environmental sustainability and the need for a circular economy in which each section of the company feeds another without causing any adverse effect on the environment.

The example set by DET shows just how far the recently legalized hemp industry can go in terms of offering solutions to the different problems facing the country, such as reviving the economy of rural areas where hemp can be grown.

The unveiling of this new extraction technology must be having industry players like Geyser Brands Inc. (TSX.V: GYSR) and Earth Science Tech Inc. (OTCQB: ETST) imagining how easier things are going to get as more innovators enter the cannabis and hemp space.

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420 with CNW – More Pregnant Women Using Marijuana to Treat Morning Sickness

It has been widely reported that marijuana can treat morning sickness, so it isn’t surprising that more women are resorting to cannabis to ease the symptoms of morning sickness during the initial stages of pregnancy. Researchers have found that the number of pregnant women turning to cannabis is higher than it ever was.

The study published in the JAMA journal found that the number of women who use cannabis to deal with morning sickness has more than doubled from just 3.4 percent in 2002 to 7 percent in 2017.

These findings were obtained after analyzing the data collected during the National Survey on Drug Use and Health. The researchers specifically considered the data provided by 4,400 pregnant women as well as 133,900 women who weren’t pregnant.

The study participants had responded to questions regarding their pregnancy status and other questions about their cannabis use habits, if they used cannabis.

This study reveals that women use marijuana for various reasons, both medicinal and recreational. More specifically, the number of women who used marijuana daily or almost daily grew from 0.9 percent to about 3.4 percent.

Notably, the number of women who used marijuana during their first trimester of pregnancy shot up from 1.9 percent to 5.3 percent while those who used the substance during their second trimester rose to 2.5 percent from 0.6 percent in 2002. A similar increase was seen regarding marijuana use during the third trimester (a growth from 0.5 percent to 2.5 percent in 2017).

The researchers noted that while lots of women are turning to cannabis during pregnancy, only a small fraction of those women did so after getting a recommendation from a doctor.

The study also revealed that doctors are uncomfortable recommending marijuana for pregnant women in states where medical marijuana is legal. This reluctance is largely due to the shortage of research on the effects of prenatal marijuana exposure.

In fact, NIDA (the National Institute on Drug Abuse) says the use of marijuana during the first and second trimester of pregnancy has been linked to low birth weight and length, as well as other developmental problems.

The study’s authors emphasized that there is an urgent need to screen all pregnant women for marijuana use and intervene appropriately when risks are detected. The researchers also called for more research to be done to document the effects of marijuana use during pregnancy so that decisions can be made using concrete information on the subject rather than simply asking women to err on the side of caution and abstain.

Analysts think that the cannabis industry, including participants like Choom Holdings Inc. (CSE: CHOO) (OTCQB: CHOOF) and ChineseInvestors.com Inc. (OTCQB: CIIX), agrees with the researchers on the matter of research-based recommendations regarding cannabis use by different demographics.

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420 with CNW – New York Marijuana Decriminalization Expands as Full Legalization Fails

As plans to legalize marijuana fully appear to have hit a dead end in the New York State legislature, the lawmakers have agreed to expand the decriminalization of the drug in addition to providing for the automatic expungement of low-level cannabis possession convictions across the state.

On Thursday, Senators agreed to treat the possession of up to two ounces of cannabis as an infraction punishable by a $50 fine instead of regarding it as a crime. This measure marks a huge change in a state where thousands of residents have been caught on the wrong side of the law and been incarcerated.

The agreement on the expungement measure comes as a compromise deal after it became apparent that there wouldn’t be enough support to pass a full legalization measure. While legalization has failed, cannabis industry advocates still regard this approved measure as a step forward for the industry.

The bill passed with a 39-23 vote in the Senate as the legislative session dragged beyond its expected end on Wednesday.

Gov. Cuomo, who a couple of years ago called marijuana a “getaway drug” was all praises for the decriminalization measure. He said the measure will give relief to the thousands snared by the state’s criminal justice system because of marijuana.

This isn’t the first time that the State of New York is decriminalizing marijuana possession. In 1977, the state decriminalized the possession of a maximum of 25 grams. The new bill more than doubles that possession limit.

It should be noted that under the new law, the possession of more than 2 ounces of marijuana is still a crime and nothing has changed regarding smoking cannabis in public. It is still forbidden.

All the same, this limited measure is still a victory because New York has been notorious for its restrictive marijuana laws. For example, under the medical marijuana program which was legalized in 2014, smoking medical marijuana isn’t allowed.

Many Senators who spoke during the hearing on the measure were disappointed that the bill didn’t seek to fully legalize marijuana. They cited the fact that medical marijuana has been legal for years as proof that cannabis has some value, so they couldn’t understand why it still remained illegal in the state.

The legislators are also debating a proposal tabled by State Senator Diane Savino to expand the medical cannabis program from its “current overly restrictive design” to something more accommodative.

Republicans, who are now the minority in both legislative chambers in New York State, made futile attempts to block the decriminalization measure, calling it “harmful to people.” It isn’t yet clear how industry players like Chemistree Technology Inc. (CSE: CHM) (OTCQB: CHMJF) and Canopy Rivers Inc. (TSX.V: RIV) (OTC: CNPOF) will react to the current cannabis news coming out of Albany.

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Editor@CannabisNewsWire.com