BALTIMORE, MD (September 1, 2023) – The Maryland Wholesale Cannabis Trade Association (CANMD) applauds the Department of Health and Human Services (HHS) recommendation to reclassify cannabis as a Schedule III drug from its current classification as a Schedule I drug under the Controlled Substances Act (CSA). This recommendation signifies that HHS no longer considers cannabis a drug with high abuse potential and no medical value. 

“The reclassification recommendation by the Department of Health and Human Services is a monumental step in the right direction by the federal government,” said Joy A. Strand, Executive Director of CANMD. 

The HHS recommendation was preceded by a scientific review into the classification of cannabis, initiated by a directive from the Biden administration. The Drug Enforcement Administration (DEA) will review the recommendation as they have the final say on drug reclassification. If cannabis is reclassified as a Schedule III drug, it will reduce barriers to research and allow cannabis businesses to make federal tax deductions. 

“We encourage the DEA to embrace the recommendation and begin the official reclassification process,” said Joy A. Strand. “It is time for the federal government to recognize the value of state cannabis markets and allow scientific research to further our knowledge of benefits and adverse outcomes of this plant.” 

While medical and adult-use cannabis are legal in the State of Maryland, cannabis is still illegal and classified as a Schedule I drug by the federal government. This poses multiple barriers to the vitality of the Maryland cannabis industry, as well as the other 38 states with medical cannabis programs and 20 states that allow adult-use cannabis. Reclassifying cannabis as a Schedule III drug would unlock beneficial tax opportunities for Maryland cannabis businesses, remove barriers to research, and symbolize the federal government’s evolving view of the cannabis industry. 

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