Move comes after state law passed earlier this year Rollout of hemp-derived CBD topicals under way on West Coast Veritas Farms CEO says it will supply Kroger CBD oil topical products in the form of salves, moisturizing lotion, and lip balm.
Kroger Adds CBD Products to Shelves in Texas
Kroger will sell CBD products in Arizona, Arkansas, Colorado, Illinois, Indiana, Kansas, Kentucky, Michigan, Missouri, Nevada, Oregon, South Carolina, Tennessee, West Virginia, Washington, Wisconsin, Wyoming and now Texas
The Kroger Co. has begun selling hemp-derived cannabidiol (CBD) lotions, oils and creams in 88 stores across Texas, including in Houston.
According to the company, it decided to sell CBD-infused topical products after the Texas legislature passed a law earlier this year authorizing the production and sale of hemp and hemp-derived products, as long as they contain no more than 0.3% tetrahydrocannabinol (THC), the psychoactive ingredient in cannabis that gives users a high.
“Like many retailers, we are now offering our customers a highly curated selection of topical products that are infused with hemp-derived CBD,” said Sparkle Anderson, Kroger’s Houston spokeswoman. “Our selection of CBD topical products are from suppliers that have been reviewed for quality and safety.”
Earlier this year, Kroger said that it would be adding CBD products to its stores in 17 states, but Texas wasn’t on the list at that time.
CBD has been linked to a broad range of health benefits, among them treating insomnia, anxiety, seizures, inflammation and chronic pain. It has also been found to provide mild relaxation without any intoxicating effects.
Cincinnati-based Kroger operates nearly 2,800 retail food stores under various banner names, employing nearly half a million associates. The retailer landed the No. 2 spot of Progressive Grocer’s 2019 Super 50 list of top grocers.
Kroger to carry CBD products at 945 stores
The Kroger Co. confirmed that it plans to roll out cannabidiol (CBD) topical products to stores in 17 states.
Kroger will sell hemp-derived CBD items such as lotions, balms, oils and creams in 945 stores, Kristal Howard, head of corporate communications and media relations at Kroger, said Tuesday. She did not name the brands that will be sold.
News of Kroger’s CBD product distribution emerged this week in published reports. Howard said the rollout has begun on the West Coast, and the products will be at all 945 stores before the end of June.
The CBD products will be carried at stores in Kroger’s Atlanta, Cincinnati, Columbus, Michigan, Central, Louisville, Delta, Nashville, Mid-Atlantic, Roundy’s (Mariano’s and Pick ‘n Save), Dillons, King Soopers, Fry’s, Fred Meyer, QFC and Smith’s divisions.
“Like many retailers, we are starting to offer our customers a highly curated selection of topical products like lotions, balms, oils and creams that are infused with hemp-derived CBD,” Howard said in a statement. “CBD is a naturally occurring and non-intoxicating compound that has promising benefits and is permitted within federal and state regulations. Our limited selection of hemp-derived CBD topical products is from suppliers that have been reviewed for quality and safety.”
While various CBD offerings continue to make their way into stores, many retailers remain uncertain about the regulatory framework regarding the sale and labeling of hemp-containing products. Scientific research on CBD’s purported health benefits also is still in its early stages.
On May 31, the Food and Drug Administration held a lengthy public hearing to get a bead on current scientific data and information about the safety, manufacturing, product quality, marketing, labeling and sale of products containing cannabis or cannabis derivatives.
“Cannabis contains more than 80 biologically active chemical compounds, including the two best-known compounds: delta-9-tetrahydrocannabinol (THC) and cannabidiol (CBD). If one of these compounds, or the plant itself, is added to a food or cosmetic, marketed as a drug or otherwise added to an FDA-regulated product in interstate commerce, then it falls within FDA’s jurisdiction,” Acting FDA Commissioner Ned Sharpless said at the hearing.
“Late last year, the federal scheduling of cannabis changed. The Agriculture Improvement Act of 2018, or the Farm Bill, removed hemp — meaning cannabis or derivatives of cannabis with a very low THC content (below 0.3% by dry weight) — from the CSA’s [Federal Controlled Substances Act’s] definition of marijuana. As a result, while marijuana remains a Schedule I drug, hemp is no longer a controlled substance under federal law,” he explained.
Under current law, CBD and THC can’t be added to a food or marketed as a dietary supplement, Sharpless noted.
“There are real risks associated with both those substances, and critical questions remain about the safety of their widespread use in foods and dietary supplements, as well as other consumer products — including cosmetics, which are subject to a separate regulatory framework. And given the new interest in marketing cannabis products across the range of areas FDA regulates, we will need to carefully evaluate how all these pieces fit together in terms of how consumers might access cannabis products,” he said. “Nowhere is this truer than with CBD. While we have seen an explosion of interest in products containing CBD, there is still much that we don’t know.”
At the hearing, Peter Matz, food and health policy director at the Food Marketing Institute (FMI), urged the FDA to act swiftly to provide retailers more clarity and create a pathway for the “legal and appropriate sale” of hemp and hemp-derived products. He noted that there’s already “staggering” demand for CBD products ranging from food, beverages and dietary supplements to topical items like creams and lotions.
“I am here to convey the seriousness of the regulatory ambiguity facing our member companies and their customers each day as consumer demand for products containing hemp and hemp-derivatives continues to grow, as does the commercial availability of such products — especially those which count CBD as an ingredient,” Matz said in his remarks. “While most of the stakeholders participating today understand the Farm Bill did not alter FDA’s authority over the use of such ingredients in FDA-regulated products, the fact is there is mass confusion in the marketplace for the public, for suppliers and retailers, and also for state regulators and law enforcement.”
Kroger to start selling CBD oil in 945 stores
The CBD craze could soon hit the aisles of your local Kroger store.
Veritas Farms, a vertically integrated agribusiness, is supplying its full spectrum hemp extracts topical products across 945 Kroger Family of Stores in 17 states.
“We are trying basically to provide consumers a healthier alternative to what’s currently out there,” Veritas Farms CEO Alexander Salgado told FOX Business’ Stuart Varney on Friday.
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Cannabidiol, or CBD, is the non-psychoactive compound found in hemp plants. It has been classified as a promising remedy to help treat many common conditions like pain, insomnia, and anxiety.
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Veritas Farms said it will supply Kroger with CBD oil topical products in the form of salves, moisturizing lotion and lip balm. With CBD legal in all 50 states, it is projected that the hemp extract could reach $16 billion in sales by 2025, according to a report by New York-based investment bank Cowen.
Salgado said his partnership with U.S. retailers will help his agribusiness double its first-quarter revenue of $1 million for the remainder of 2019.
“We are also working with major big-box chains, drug chains and retailers all over the country. So we are also adding companies like CVS and other major retailers as well,” he said.