The ingredient CBD (cannabidiol) has been attracting attention for a long time, but in Japan, due to restrictions imposed by the Cannabis Control Act and the Pharmaceuticals and Medical Devices Act, it cannot officially claim to have medical benefits .
On the other hand, there has been an accelerating trend towards its use as a food or relaxation product, particularly in Europe and the United States, and in Japan too, an increasing number of people are incorporating it as an extension of "relaxation supplements" or "beauty care."
In addition, the use of CBD is expanding into various areas, such as specialty CBD shops for pets.
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Why is it important that these products are used solely for food or relaxation purposes? We will explore the background and significance of this and consider future market developments and business opportunities.
1. Why CBD is difficult to use for medical purposes
1-1. Japanese regulations
In Japan, the Cannabis Control Act and the Pharmaceuticals and Medical Devices Act strictly restrict the direct claim of medical effects for CBD products. Even if CBD claims effects that are generally medically understood, there is a high risk of illegal advertising if it is expressed as "curing" or "improving sleep symptoms."
Therefore, the reality is that CBD is currently only sold and used for food and relaxation purposes.
1-2. Drawing the line with medical CBD <br>There are countries around the world where medical marijuana is recognized and CBD is available as a prescription drug . However, in Japan, only a very limited number of CBD preparations are approved as prescription drugs, and it is not permitted to use it freely for medical purposes like in other countries.
At present, CBD products that are widely available internationally are merely "health support materials," and consumers are expected to try them as a form of self-care rather than a form of medical treatment.
It is important to be careful not to overdose on CBD, as taking large amounts or taking it too frequently will not cure your current problems.
In addition, because they have a relaxation effect, they may have a negative effect in situations that require concentration, such as while driving , so consumers and businesses need to be aware of the situations in which they can be used.
2. The Significance of “Food & Relaxation”
For example, if it is positioned as a vitamin supplement or relaxation product, users will be more likely to try it out.
There is no need to feel that it is difficult to "cure an illness," and more and more people are incorporating it as part of their stress care and beauty support .
In the food sector, it is possible to expect relatively smooth market expansion while still complying with the Cannabis Control Act and the Pharmaceuticals and Medical Device Act.
By incorporating CBD into food and cosmetics, a wide variety of new products are being created. The point is that it is being developed into a wider range of products than you might imagine, including not only gummies and chocolates, but also drinks, bath salts, skin care items, and more.
This allows it to blend into the everyday lives of many users and bring new innovation to the relaxation market .
3. Why the market is expanding because it is “not medical”
3-1. Wide reach and the power of word of mouth
If, like pharmaceuticals, anyone could purchase it at pop-up shops or e-commerce sites regardless of prescription or the severity of symptoms, the barriers to market entry would be lowered.
In addition, word of mouth among users and sharing of experiences on social media can easily induce new purchases.
With the number of users who want to "relax a bit" or "improve the quality of their sleep" exploding, this word-of-mouth economy will become a major driving force.
Until now, the only demand for CBD was for how well it got you high, but in recent years, products that eliminate the ingredient that gets you high (i.e. the narcotic component THC) and instead focus on relaxation and enjoyment will become more popular.
The reason is that the revised Cannabis Control Act will come into effect in December 2024. Due to restrictions on the THC content, it will no longer be possible to make products that will get you high in the first place.
3-2. Low legal hurdles
If it is positioned solely as a food or relaxation product , it does not need to go through the rigorous clinical trials and approval process required for pharmaceuticals.
Of course, there is an obligation to demonstrate safety by providing THC-free certification and Certificate of Analysis (COA), as well as a duty of good faith and manufacturing responsibility, but the key point is that business development in this field can proceed more quickly than in the case of medical use, making it easier for startups and small and medium-sized enterprises to enter the market.
4. What are some examples of business applications?
4-1. Food and beverage industry
Recently, chocolates, gummies, coffee, etc. containing CBD have been gaining attention. With soft claims such as "they are expected to have a relaxation effect," they have become popular items at select shops and online stores .
Additionally, cafes and bars are increasingly offering CBD drinks, and there is active activity to attract those who are health-conscious and prefer ethical consumption .
These stores must obtain business permits under the Food Sanitation Act from the public health center.
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4-2. Cosmetics & Beauty Care
CBD bath salts and skin care products are being developed with the aim of calming the skin and creating a relaxing scent.
There are also cases of its use in spas and salons, and it is spreading among users who are highly interested in "soothing" and "beauty."
The popularity of these beauty products is solely due to the framework of "beauty and relaxation, not medical care."
However, such items require a more stringent license than the food business license called "cosmetics manufacturing," so it may be better to consider OEM if necessary.
5. Future developments and challenges
5-1. THC-free certification and safety guarantee
To gain trust in the Japanese market, it is essential to have a COA that certifies that the cannabis meets the standards of the Cannabis Control Act and contains no THC (or less than the standard level).
The more carefully a company explains these points and ensures safety and legality, the more reassured users will be able to buy their products.
Additionally, because there are potential risks such as counterfeiting and the inclusion of illegal ingredients , there is a growing movement to disclose the results of testing by third-party organizations .
5-2. Information dissemination and literacy improvement
There are still many misconceptions that CBD is marijuana and illegal. The key to expanding the market is to spread correct knowledge and to let people know that CBD is a legal food and relaxation ingredient .
It is important for companies and the media to carry out educational activities and create an environment where it is accepted as "part of health support, not just medical treatment."
summary
In Japan, it is difficult to sell CBD for "medical purposes," and under the constraints of the Cannabis Control Act and the Pharmaceuticals and Medical Devices Act , the de facto optimal solution is to position it as a "food/relaxation product."
However, this very fact gives many users the benefit of being able to try it out easily and with peace of mind .
There is great potential for it to become integrated into everyday life like a vitamin supplement, and to become a small source of relief in our stressful society.
As collaborations with a wide variety of products and services, including food, cosmetics, and salons, continue to develop, an increasing number of companies are branding CBD from a "non-medical" perspective and proposing a new lifestyle.
By involving industry groups and the media and promoting the legality and safety of CBD, the CBD market will expand further and users will have more options.
Article Author
References/URL
- Ministry of Health, Labor and Welfare: Cannabis Control Act and Pharmaceuticals and Medical Devices Acthttps ://www.mhlw.go.jp/
- FDA (Food and Drug Administration): https://www.fda.gov/
- CBD-related news from Japan and overseas: Examples of application in the food and cosmetics markets , Sources are listed in the article text
- Examples of COA for CBD products: THC-free certification and safety testing, citations included in the article
