HHS document shows recommendation to reschedule marijuana (OTCMKTS:GTBIF)

Marijuana should be rescheduled as a Schedule III drug as the plant does appear to have medical uses and is less dangerous than other drugs, according to a just made public HHS document.

Addressing a 252-page review, HHS Assistant Secretary for Health Rachel Levine wrote that based on evaluations from FDA scientists, cannabis should become a Schedule III substance. It is currently listed as a Schedule I drug, meaning it has no recognized medical uses.

Although the review is dated August 2023, it only came to light Friday evening thanks to attorney Matthew Zorn who sued for its release. It was first published on the website On Drugs.

In an introductory letter to DEA Administrator Anne Milgram, Levine noted that the National Institute on Drug Abuse agrees with her recommendation.

The review undertaken looked at eight factors that impact whether and the level of control a drug should have. This includes abuse potential and the likelihood of psychological or physiological dependence.

Although the review found mixed evidence for effectiveness in many medical conditions, the area where evidence was strongest for cannabis was for treating pain. There was also positive evidence for marijuana as effective for anorexia, as well as nausea and vomiting associated with chemotherapy.

And while marijuana dependence is a concern for some users, “the likelihood of serious outcomes is low,” according to FDA scientists.

The review and recommendation are sure to excite cannabis multi-state operators who have been pushing for legalization on the federal level as well as banking reforms for their industry.

The public release of the document came on the same day that a dozen state attorneys general asked the DEA to reschedule marijuana as a Schedule III substance.

Multi-state operators: MedMen Enterprises (OTCQB:MMNFF), Curaleaf Holdings (OTCPK:CURLF), Acreage Holdings (OTCQX:ACRHF), Cresco Labs (OTCQX:CRLBF), Green Thumb Industries (OTCQX:GTBIF), Trulieve Cannabis (OTCQX:TCNNF), Ayr Wellness (OTCQX:AYRWF), TerrAscend (OTCQX:TSNDF), Verano Holdings (OTCQX:VRNOF), and Ascend Wellness (OTCQX:AAWH).

Canadian licensed producers: Canopy Growth (CGC), Tilray Brands (TLRY), Cronos Group (CRON), Aurora Cannabis (ACB), SNDL Inc. (SNDL), OrganiGram Holdings (OGI).