Do you need a license to sell CBD in California

Do You Need a License to Sell CBD in California?

California Regulations on CBD For Sale

Yes, you need a license to sell CBD products in California. You must obtain IHEO (Industrial Hemp Enrollment and Oversight) authorization from the CDPH (California Department of Public Health). However, California does not license you to buy CBD products in stores and online.
Is licensing required for selling CBD in California

Is Licensing Required for Selling CBD in California?

You may say, “It is mandatory in California to acquire a state license to sell CBD in California?” The answer is yes, and there are many CBD licenses and CBD authorizations you have to obtain depending on the type of CBD products you are selling and if you are a CBD product manufacturer or a CBD oil distributor selling CBD. Similar to Texas where you have to register with the Department of State Health Services when selling CBD in Texas.

Someone may have told you CBD retailers do not need any special licensing to sell CBD products according to the 2018 Farm Bill passed federally. Yes, this is true, but the State of California requires a license to sell CBD, regardless if it contains 0.3% THC or more than 0.3% THC. 

Which License is Required for Selling Industrial Hemp Products in California?

You must apply for, obtain, and maintain legal permit authorization from the IHEO, which the CDPH issues to manufacture, pack, or hold legal industrial hemp products, including CBD, in California. In addition, you are required to comply with the legal California CBD Laws and legal registrations required for your specific commodity, for instance, CBD drinks or CBD flower. There is the Processed Food Registration, cannery license, pet food registration, and cosmetic manufacturing registration
What is the Processed Food Registration and Who Is It For?

What is the Processed Food Registration, and Who Is It For?

The Processed CBD Food Registration is required for anyone who wants to distribute, manufacture, process, or store CBD food products in California. In addition to the processed CBD food registration, you must obtain a Food and Drug Branch license to distribute, manufacture, process, or store CBD food products in California.

The CBD food registration is a basic CBD food license issued to those who offer hemp derived CBD for sale, permitting them to manufacture, package, label, or warehouse hemp derived CBD food in California. Contrary to the FDA’s guidelines which do not allow hemp derived CBD in food. California has gone against the grain and created this registration which allows hemp derived CBD in food.

However, the FDA still does regulate hemp derived CBD in food outside of California, so you can only offer hemp derived CBD for sale in food within California. The PFR (Processed Food Registration) is visually displayed to your hemp customers and hemp regulatory agencies, demonstrating that you are licensed and inspected to sell food containing CBD.

How Could You Obtain a PFR?
There are three unique ways to obtain a Processed Food Registration for your hemp derived CBD company:

 

  1. Fill out an application online. 
  2. Email FDBinfo@CDPH.CA.GOV for an application
  3. Ask to speak to the Processed Food Registration desk when you call the Food and Drug Branch at (916) 650-6500.

 

How Long Does the Processed Food Registration Take to Complete in California?
There is a long several-week process from inspection to approval of your hemp derived CBD products business for the PFR. It would be best if you planned to submit your PFR application 60 to 90 days before you would like to begin manufacturing or warehousing hemp derived CBD oil products in food for the best chance of approval before opening your shop.
How Much is the Registration Fee to Sell CBD Products in Food?

The registration fee varies on the type of hemp derived business based on three factors –

 

  1. the size of your hemp derived CBD products facility
  2. The number of CBD employees that work for your hemp derived CBD business.
  3. The CBD activities your hemp derived CBD products business is involved in include manufacturing or warehousing. All proceeds are received by the Food and Drug Branch and deposited into a special account that funds the Food Safety Inspection Program.

     

     

    For more information about Processed Food Registration, visit the Food and Drug Branch’s Processed Food Registration Program Frequently Asked Questions page.

    What is the Cannery License, and Who Is It For?

    The CBD cannery license is primarily for CBD manufacturers of hemp derived CBD products and is required to prevent the spread of foodborne botulism in hemp derived CBD products. You could learn more about the CBD cannery license and how to obtain one for your business manufacturing CBD here.
    What is the pet food registratin and who is it for

    What is the Pet Food Registration, and Who Is It For?

    The CBD pet food registration is for a business that would like to manufacture, or process hemp derived CBD pet food products in California as subject to the California Pure Pet Food Act of 1969. A separate CBD pet food license is required for each separate CBD pet food processing facility. If your business is processing or manufacturing CBD pet food, then you need to fill out the CBD Pet Food Processor Registration Application for licensing.

     

    Even more, if your CBD pet food product has an “organic” label or contains any ingredients that are identified as “organic” on the CBD label, then you must also obtain an up-to-date Organic Processed Product Registration (OPPR) for your business.

    How Much Does a CBD Pet Food Registration Cost?
    The CBD pet food license fee is $332, and your application can be submitted to the following address:

     

    California Department of Public Health Food and Drug Branch Attn: Cashier P.O. Box 997435, MS 7602 Sacramento, CA 95899-7435

    What is the Cosmetic Manufacturing Registration and Who Is It For

    What is the Cosmetic Manufacturing Registration, and Who Is It For?

    Cosmetic manufacturing registration is an optional Cosmetic Safety Program issued by the California Department of Public Health. Anyone who manufactures CBD cosmetic products may want to consider registering with the California Department of Public Health and the Cosmetic Safety Program. If you register for the Cosmetic Safety Program, the department will issue you an export certificate that certifies your shipment is valid for export to another country.

    This may help ensure that CBD cosmetic products are not seized within other countries by customs. However, suppose you are processing or selling CBD cosmetic products sold as “organic” certified CBD to consumers on the label. In that case, you are required to obtain a CBD Organic Processed Product Registration (OPPR) from CDPH. Any use of the term “organic,” “organically grown,” or similar terms on any aspect of the product packaging, advertising, or labeling is considered to use the term “sold as organic.” 

    What Other Licenses are Needed for Selling CBD Products Like Inhalable Industrial Hemp?

    Inhalable industrial hemp products are not allowed in California according to law AB 45, passed on October 21st, 2021. However, inhalable CBD products derived from marijuana are allowed in California. To produce, manufacture, process, or sell CBD derived from marijuana, you must apply for and obtain cannabis licenses.
    Frequently Asked Questions About California CBD Laws

    Frequently Asked Questions About California CBD Laws

    Can anyone sell CBD products in California?
    You cannot make industrial hemp products at home, including CBD. You are required to make, produce, or sell industrial hemp products, including CBD, at a commercial location that requires business registration and a license for CBD in California.
    How do I get certified to sell CBD?
    Everything you need to get certified to sell CBD is located on the Industrial Hemp Enrollment and Oversight FAQ for CBD on the California Department of Public Health’s website located here
    What are the CBD Laws in California?

    The 2018 Farm Bill legalized hemp and CBD nationwide, and the AB 45 Industrial Hemp Products Bill in California legalized CBD to be sold as a CBD dietary supplement, CBD food, CBD beverage, and CBD cosmetic. However, you are required to register, apply for, obtain, and maintain multiple different CBD licenses and CBD registrations as regulated by the California Department of Public Health.

     

    So if you are wondering, “do you need a license to sell CBD?” The answer is yes in the State of California following the passing of AB 45 and establishing the regulatory framework under the CDPH. However, California does not require a license to buy CBD. Now that you are licensed to sell CBD in California you may want to look into the CBD advertising regulations because they are strict. Some of the biggest platforms ban or restrict advertising of CBD like Google but we have the secret to advertising on Google without restrictions.