Cannabis Business in Kentucky

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Kentucky Medical Marijuana Program

The Kentucky Medical Marijuana Program is set to launch in 2025, overseen by the Cabinet for Health and Family Services. The program will allow qualifying patients and their designated caregivers to purchase medical cannabis from licensed dispensaries.

Kentucky Hemp Program

The Kentucky Department of Agriculture (KDA) oversees the Kentucky Hemp Program, regulating the cultivation and processing of hemp in the state. The KDA requires individuals and businesses to obtain licenses for hemp cultivation and processing activities.

Types of Cannabis Businesses in Kentucky

Kentucky's cannabis industry includes various types of businesses. Aspiring entrepreneurs looking for a cannabis business for sale may explore the following options:

Medical Cannabis Business Types

The Kentucky Medical Cannabis Program will be accepting applications for cannabis businesses to serve the needs of registered patients.

The table below lists the different types of medical cannabis business licenses available in Kentucky:

License Type Description
Cultivator Authorized to cultivate medical cannabis and sell it to licensed processors, producers, or dispensaries.
Processor Authorized to process raw cannabis plant material into medical cannabis products.
Producer Authorized to both cultivate and process raw cannabis plant material.
Safety Compliance Facility Authorized to test medical cannabis samples from licensed businesses to ensure compliance with testing requirements and verify product safety.
Dispensary Authorized to sell medical cannabis products to registered patients and their designated caregivers.

Hemp Business

Kentucky has a robust hemp industry. However, the sale of raw hemp flower to consumers is prohibited in Kentucky. The Kentucky Department of Agriculture issues licenses for hemp cultivation and processing.

CBD in Kentucky

Hemp-derived CBD products are legal in Kentucky, provided they contain no more than 0.3% THC, as per federal regulations. The sale and use of marijuana-derived CBD oil, on the other ha nd, are illegal in Kentucky. The Kentucky Cabinet for Health and Family Services regulates finished CBD products in the state.

CBD Labeling Requirements

Kentucky has specific labeling requirements for CBD products sold in the state. CBD product labels must meet the following criteria:

  • No medical or health claims about curing or treating specific illnesses.
  • Compliance with the Food, Drug, and Cosmetic Act (FDAC) label requirements.
  • Include a scannable QR code or web address linked to a document displaying product information such as:
    • Product name
    • Batch ID number
    • Certificate of analysis
    • Ingredients
    • Batch date
    • Product expiration date

Local Regulations

Kentucky law prohibits municipalities from restricting hemp cultivation or processing activities licensed by the Department of Agriculture.

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