Sativa Group PLC (LON:SATI) has welcomed a recent announcement from the UK’s Food Standards Agency (FSA) concerning the safe use of cannabidiol (CBD) products and a timetable for Novel Food authorisation.
The regulator said on Thursday that it will give the CBD industry until 31 March 2021 to submit novel food authorisation applications, which if approved will allow companies to continue selling CBD products on the market.
The FSA also issued new guidelines on the consumption of CBD products, saying healthy adults should ideally consume no more than 70 milligrams per day.
Sativa said it welcomed “the clarity of a regulatory framework as an important step leading to the development of a safe and legal market in the UK for CBD”, adding that products sold under its Goodbody Botanicals, Goodbody Wellness, Tessellate and GB brands were all in-line with FSA guidelines.
"This guidance from the FSA will reassure our customers and distribution partners that Sativa is at the forefront of building a sustainable CBD wellness industry”, said Sativa chief executive Henry Lees-Buckley.
“Sativa, incorporating its Phytovista Laboratory, Home Office licences for research with King's College London, and Scientific Advisory Board, continues to invest in the infrastructure to ensure we are fully compliant with industry regulation", he added.
In late afternoon trading on Friday, Sativa shares were trading around 2.6p on the NEX Exchange.