Why is it necessary to regulate the use of industrial hemp colors for the national cosmetics industry

In order for national cosmetic companies to be able to compete with foreign brands, in the line of which there are cosmetic preparations, the formulation of which includes therapeutically active elements of hemp, it is necessary to prepare a regulatory framework in such a way as to provide the national manufacturer with at least a minimum transition period, within which technologists will be able to create, test and register national cosmetic products that will be based on therapeutic properties, including drug-free cannabinoids. As one of the stages of this kind of transition period, it makes sense to provide a regulatory framework for the use in formulations of cosmetic preparations of the leaves and inflorescences of industrial hemp obtained as a result of processes that exclude extraction.

On the national market for hemp cosmetic products, there are both national manufacturers producing body and hair care products, as well as foreign companies selling Romanian, Czech, Polish, as well as other foreign products, which include either various derivatives of hemp grain or synthetic cannabidiol. , mostly marketed as a plant-based cannabinoid. The specialists of the information and analytical platform Hemp Consulting provided the editors of the specialized electronic edition of Ukrainian cannabis growers with information, which is also used to prepare an annual analysis of the market for cosmetic products in Ukraine, the production of which is based on the therapeutic properties of the hemp plant. Even superficially analyzing the two news described below, received from two completely different regions of the world, one can draw extremely simple conclusions.

German retailer launches hemp cosmetics line in UK

Aldi UK, the UK arm of a German supermarket chain, has launched its own line of hemp-derived skin care products in the UK. The cosmetic line includes body lotion, hand cream and face serum made from hemp oil and using cannabidiol.

Aldi is currently one of the best known retailers in the EU to include hemp derivatives in its own brand line.

According to the basic document of the British Cosmetics, Toiletries and Perfumery Association “The Legal Status of Cannabis and Cannabis Extracts in Finished Cosmetics in the UK”, plant-based cannabidiol can be used in finished cosmetic products if certain criteria are met:

• the  drug or product “is not intended to be administered to a controlled substance” - in this case tetrahydrocannabinol (THC) - to humans or animals;

• the  packaging and composition of the product prevent access to the controlled substance contained in it, or its use by easily applicable means or in an amount posing a health risk;

• the  finished cosmetic product must not contain more than 1 mg of controlled substances, including THC, regardless of the size and concentration of the product.

A Chinese company promotes a line of hemp cosmetics from the United States in the Middle Kingdom

In partnership with Yooma Corp., a cannabidiol and cannabis social commerce company targeting Asian markets, Future State Brands is launching Hempathy, a hemp cosmetics brand, for sale in the Middle Kingdom. According to a spokesman for Future State Brands, the entry into the Chinese market was in response to the growing demand for natural products containing plant-based cannabinoids. Taking into account the fact that the Asia-Pacific region is the world's largest cosmetics market, and China is in the early stages of legalizing cannabinoid products, hundreds of brands have applied to obtain appropriate documentation for the sale of cannabinoid products in the country. That is why Future State Brands has gone to great lengths to launch Hempathy skin care products in China, based on the therapeutic properties of the hemp plant.

Despite the fact that the Chinese market has great potential, the barriers to entering the Chinese market are slightly higher than usual, and therefore companies such as "Yooma Corp." in order to facilitate and speed up the procedures associated with the sale of products on which certain restrictions are imposed. One of the representatives of "Yooma Corp." stresses that “China is an incredible opportunity for Hempathy.” We are aware of the growing demand from Chinese consumers who are looking to implement global beauty trends, such as the use of hemp-based beauty products that have specific therapeutic benefits. ”

General conclusions:

- both in China and in the UK, consumers are interested in cosmetic preparations based on the therapeutic properties of the hemp plant;

- in both cases, foreign brands use local companies to enter the market, accelerating and simplifying the process of entering the market of interest;

- at the moment, German and American manufacturers of hemp cosmetics are trying to enter and gain a foothold not in national markets, but in the most massive (China) / sold (Great Britain);

- companies are trying to enter the markets of interest to them immediately after a regulatory and legal framework is formed that allows them to work legally;

Conclusions for national companies operating in the Ukrainian hemp cosmetics market:

- Considering the amount of imported cosmetics sold in Ukraine, large foreign brands specializing in the production of body and hair care products based on the therapeutic properties of the hemp plant are ready to “enter” the country;

- at the moment, the number of foreign hemp cosmetic products sold suggests that local manufacturers in terms of price / quality ratio are not inferior, and in some cases surpass similar foreign-made products;

- a limiting factor in the large-scale entry into the national market of large foreign cosmetic brands that use non-drug cannabinoids of plant origin (primarily cannabidiol) in the formulations of manufactured lines of cosmetic products, is the lack of an effective regulatory framework regulating the maximum allowable amount of THC in the final product (in UK maximum allowable value is not more than 1 mg);

- in order for national cosmetics companies to be able to compete with foreign brands, in the line of which there are cosmetic preparations, the formulation of which includes therapeutically active elements of hemp, it is necessary to prepare a regulatory framework in such a way as to provide the national manufacturer with at least a minimum transition period, in within which technologists will be able to create, test and register national cosmetic products, which will be based on therapeutic properties, including drug-free cannabinoids. As one of the stages of this kind of transition period, it makes sense to provide a regulatory framework for the use of the leaves and inflorescences of industrial hemp obtained as a result of processes that exclude extraction in the formulations of cosmetic preparations.

Commentary of experts of the Association "Ukrainian technical hemp"

The above conclusions of the specialists of the information and analytical platform Hemp Consulting once again confirm the correctness of the concept developed within the framework of the Association on regulatory and legal support, first of all, the possibility of using the leaves and inflorescences of therapeutic hemp for industrial purposes, and in the future, providing the opportunity for foreign companies to enter national market with similar products. Otherwise, the Ukrainian market will be dominated by foreign cosmetic brands, which, due to the scaling of global sales, will initially be in a privileged position compared to the national manufacturer.