Michigan Compliant Terpenes
Scott Holden
|
July 25, 2024
All Articles
Michigan Compliant Terpenes
Scott Holden
|
October 18, 2024
In Michigan, cannabis rules are changing. As a cannabis brand operating in the state, you’ll need to understand how these new rules dictate what's allowable in terms of terpenes and terpenoids, flavonoids, polyphenols, and other naturally occurring phytochemicals.
Terpene use in cannabis products, whether inhalable or edible, is regulated on a state-by-state basis. And while many regions do not yet have specific rules or regulations for quality control, many of the country's largest markets, like Michigan, are cracking down on what is and is not an allowable additive.
It's more important than ever to understand these new regulations and how they affect the terpene profiles you work with, as terpenes are the only compounds listed that are currently available on the market.
A Quick Review: Terpenes in Cannabis
Terpenes are prevalent in the plant kingdom, including the cannabis plant. They play a significant role in defining various plants' aromas and flavor profiles, whether a woodsy, piney scent or a citrusy, bright flavor. A few of the most common terpenes in cannabis include alpha- and beta-pinene, beta-caryophyllene, beta-myrcene, linalool, and limonene. Whether from cannabis or from other botanical sources, terpenes have numerous potential health benefits.
Although terpenes contribute greatly to distinct profiles representing well-known cannabis strains, they are often left behind when cannabinoids are isolated and extracted for commercial use.
Market demand for terpenes
A market has grown for wholesale terpenes, allowing manufacturers and developers to isolate individual terpenes for use as additives to cannabis products, restoring the flavor and aroma of original strains and potentially boosting the therapeutic benefits.
As cannabis legalization continues to expand at pace across North America and parts of Europe, the demand for natural terpenes in the cannabis sector is rising quickly. This unprecedented market growth is primarily driven by consumer preferences for specific fragrances and flavors.
Terpenes are currently added to edibles, beverages, topical applications, rolling papers, and vape cartridges. In 2022, the global terpenes market was valued at approximately USD 885.1 million and is projected to reach USD 1.8 billion by 2032, with CAGR growth reaching 7.5%.
Applications for cannabis products
The ability of terpenes to enhance aromatic and sensory experiences associated with cannabinoids is well-known and attributed to the synergistic relationship between the two types of compounds.
Cannabis products that contain one or more cannabinoids, like CBD, CBC, or THC, plus one or more terpenes can benefit from the entourage effect, yielding a more emphatic experience than any single compound can achieve alone.
Terpenes are essential to a full-bodied cannabis experience. They are pivotal for the cannabis industry’s new product formulation and also drive demand for a consumer who prefers natural and cannabis-derived ingredients.
Michigan’s Key Regulatory Changes
Now, let’s get into what's happening with terpenes in Michigan.
Like other states, Michigan has set into motion legislation that demands:
- Clear packaging and labeling of all cannabis-derived products
- Banning the use of synthetic terpenes in such products
- Third-party testing to standardize homogeneity and purity
This is a rapidly evolving landscape, and anyone using or planning to use terpenes in their process in Michigan should be on top of what they are putting into their final-form cannabis products.
Ensure your products meet Michigan’s strict cannabis regulations with our 100% natural, compliant terpenes.
Get in touch today to learn more!
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Understanding Michigan's Terpene Regulations
Michigan permits both medicinal and recreational use of cannabis. In April 2022, Michigan's Marijuana Regulatory Agency (MRA) was restructured as the Cannabis Regulatory Agency (CRA) under Governor Whitmer's Executive Reorganization Order. This change expanded the CRA's authority to include statewide monitoring of hemp processors and handlers, allowing for better regulation of both cannabis and hemp-derived products, including those containing terpenes and cannabinoids.
Integration of hemp and cannabis regulations
The CRA now oversees the processing, distribution, and sale of hemp products, which is crucial as many hemp-derived ingredients are increasingly being incorporated into marijuana-infused products. This regulatory integration aims to address the complexities arising from the overlap between hemp and cannabis industries, particularly in cannabinoid production.
Legislative proposals for modernization
Recent legislative proposals aim to streamline Michigan's marijuana laws by merging regulations for recreational adult use and medical marijuana under a single framework. This effort seeks to reduce duplicative regulations and improve efficiency for businesses operating in both sectors, which could also extend to how terpenes are regulated within these products.
New testing and compliance requirements
The CRA has implemented stringent testing requirements for cannabis products, including those infused with terpenes. All cannabis products must undergo rigorous statewide monitoring for contaminants and accurate labeling of cannabinoid and terpene content, ensuring products are safe for consumers and meet established quality standards.
A focus on naturally derived terpenes
Regulations emphasize the use of naturally derived terpenes in cannabis products. The CRA has clarified that botanically derived terpenes chemically identical to those from Cannabis sativa L. do not require FDA approval for intended use, promoting the use of natural ingredients while ensuring safety compliance.
Inactive ingredients
According to current legislation,
“Inactive ingredients” means binding materials, dyes, preservatives, flavoring agents, and any other ingredient that is not derived from the plant Cannabis sativa L. All non-marihuana inactive ingredients must be clearly listed on the product label. Inactive ingredients, other than botanically derived flavonoids, terpenoids, and terpenes that are chemically identical to the terpenes derived from the plant Cannabis sativa L, must be approved by the FDA for the intended use, and the concentration must be less than the maximum concentration listed in the FDA Inactive Ingredient database for the intended use.
The Michigan CRA is pivotal in ensuring a safe and compliant cannabis market in the state. Through its comprehensive regulatory framework, enhanced testing protocols, and integration of hemp regulation, the CRA aims to protect consumers while fostering industry growth.
Anticipated Impact on the Terpene Market
The regulatory changes happening across the country are expected to have significant implications for terpene use in cannabis products in Michigan:
Increased demand for natural terpenes
As regulations tighten around product formulations, there is a growing compliance issue around synthetic terpenes. In Michigan, this is clearly laid out in Section R 420.201 of the state’s cannabis laws, where synthetic compounds and those non-identical to what’s naturally produced by cannabis have been prohibited.
Opportunities for innovation
More explicit regulatory guidelines allow businesses to explore new formulations and product offerings that incorporate terpenes safely and more effectively.
Michigan's changing regulations surrounding terpenes ultimately reflect a commitment to consumer safety and product integrity while promoting innovation in the cannabis industry and positioning Michigan as a leader in responsible cannabis regulation.
Consumer education initiatives
Beyond statewide monitoring, the CRA actively engages in consumer education efforts to inform the public about safe cannabis use and the importance of understanding product labels. This includes providing resources explaining how to identify quality products and recognize safe consumption practices.
Legislative proposals for continuous improvement
The CRA is involved in ongoing legislative discussions to modernize Michigan's cannabis laws to further improve regulatory efficiency and consumer protection. This includes proposals that may affect how terpenes are regulated within cannabis products.
Compliance consequences
Failure to adhere to the Michigan Regulatory Agency (MRA) guidelines may result in fines or suspension of the retailer’s license, depending on the specifics of each case. Fines, loss of licensure, loss of product and revenue, and bad publicity due to product recalls can all damage your brand.
As recently as May 2024, a Michigan-based company suffered disciplinary action in the form of a recall of infused pre - rolls that did not undergo testing at a state-licensed safety compliance facility in their final form (after cannabis distillate and/or terpenes had been added.)
Ensure the safety and transparency of your products.
Ensure your products meet Michigan’s strict cannabis regulations with our 100% natural, compliant terpenes.
Get in touch today to learn more!
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Testing, Labeling, and Homogeneity Standards
All cannabis products in Michigan must undergo rigorous testing for contaminants and chemical residues, as well as accurately label cannabinoid and terpene content. Specifically, Michigan Administrative Code Rule 420.403 outlines the requirements for labeling and testing marijuana-infused products.
Testing requirements
Regulations mandate that producers ensure their products are properly tested for THC, CBD concentrations, plus contaminants and chemical residues.
Labeling requirements
Producers must list and record the THC and CBD concentrations on the product labels, ensuring transparency and accuracy in consumer purchases.
Homogeneity standards
The rules also specify that marijuana-infused products must be homogeneous, with allowable variations in concentrations clearly defined.
Third-party testing
Testing laboratories, also known as cannabis labs, play a crucial role in ensuring the safety of cannabis products for consumers. The MRA mandates that the entire batch undergo testing before they may be sold. These labs verify cannabis samples are free from contaminants and chemical residues and that products are accurately labeled with the correct amounts of cannabinoids and terpenes.
Testing labs are required to analyze cannabis products for various substances, including:
- Cannabinoid potency and terpene analysis
- Organic and inorganic matter
- Heavy metals
- Chemical residues
- Microbial impurities
- Moisture content and water activity
- Mycotoxins
- Vitamin E acetate
- Homogeneity
Results from cannabis safety compliance facilities are documented on a Certificate of Analysis (COA), indicating whether each batch has passed or failed testing for the specified substances.
Michigan’s MRA Packaging and Labeling Requirements
Before marijuana, marijuana-infused products, or edible marijuana products are sold or transferred in Michigan, the labeling requirements must be met. Generally, the package or container must show the following product type-specific information in addition to producer, licensee, and harvest data:
- The concentration of THC and CBD as reported by the laboratory after potency testing, along with a statement that actual value may vary from the reported value by 10%
- Activation time expressed in words or through a pictogram
- Final form test analysis date and name of the laboratory that performed passing compliance testing
- The universal symbol for marijuana product
- Warning statements, including those regarding:
- whether the product is for adults or medical cannabis program patients
- poison control information
- keeping out of reach of children
- dangers surrounding pregnancy
- driving under the influence
Producers must label marijuana-infused and edible marijuana products with the following additional information (in addition to the date of production, net weight by volume, and product expiration date):
- All non-marijuana inactive ingredients
- Ingredients, including excipients and diluents, of the marijuana-infused product, in descending order of predominance by weight
- Milligrams of THC per serving
- Allergen labeling
- Appropriate labeling as specified by the federal regulations regarding any health or nutritional claims
Products must not include misleading statements, such as unsubstantiated nutritional or health-related claims.
Lab Effects: Your Partner for Compliant Terpenes
At Lab Effects, we’re here to support you as you navigate Michigan rules and regulations and evolving legislation in other states. We approach these challenges across three broad initiatives:
A commitment to compliance
We’re fully dedicated to meeting Michigan’s current and future terpene regulations and helping you do the same with your terpene-inclusive products. Whether you are seeking to enhance vape cartridges with natural terpenes to capture features of well-known cannabis strains or trying to develop your own bespoke alcoholic and non-alcoholic beverages, we’re behind your process, helping you stay compliant with state laws.
All-natural product offerings
All our terpenes for sale are 100% naturally derived from cannabis or botanical sources and 100% compliant with Michigan law as currently written. We do not manufacture or offer synthetic terpenes. We are the gold standard of terpenes. Our products are simply and factually named with no obfuscation or confusing terms and come in various mixable and infusible formats, including flowable powders for effortless emulsion.
A collaborative approach
In addition to our pledge to you to keep your products compliant with state regulations, Lab Effects is also committed to working with regulators and industry partners to ensure ongoing compliance and safety. Terpenes have so much to offer, and it’s our goal to be a part of the bigger picture as terpenes become better understood and more fully utilized.
Explore Lab Effects' range of compliant, all-natural terpenes today. You can contact us directly with any questions or to obtain more information about our natural cannabis-derived and botanical terpene products.