Investors in psychedelic drugs and cannabis often get excited about their chances to get a piece of the over $20 billion market share for opioids while, on the other hand, trying to fix the societal addiction menace.
Recent Kratom Regulatory Wins Could Lead to a Bigger Market for the Medicine
A previously unknown drug has been added to the list of next game changers. It has already piqued the interest of biopharmaceutical companies like Atai Life Sciences.
The firm is known for testing psychedelic chemicals through clinical trials. The most recent decision by the World Health Organization could also help it become even more popular.
Kratom, a Southeast Asian plant, is the drug. The drug is made from the ground leaves of the kratom plant. As in the American Kratom Association‘s report, currently kratom is a $1.3 billion business in the U.S. People buy it in smoke shops and online. When it comes to “new” drugs, it is one of the most commonly seized drugs around the globe.
Government agencies have tried for years to make kratom illegal in the US. However, several members of Congress, including Democrats Cory Booker and Ron Wyden, fought back against the move. It’s also known for kratom enthusiasts to write to their Washington lawmakers concerning kratom use.
Even though kratom isn’t illegal in the United States, many states have laid down their legal frameworks, and the FDA is on record several times for seizing kratom dietary supplements.
Kratom State Bans
In the United States, kratom use is banned in six jurisdictions (states) despite being Federally unregulated.
Green: States that embrace the KCPA bills.
Red: States where kratom is outrightly illegal. In all other states, kratom use is not yet regulated.
Kratom’s Consumer Act protects kratom’s legal status in some states. Through it, regulators may set local requirements for kratom use, like age and conditions for use.
Four states have put the KCPA bills into law.
Recently, a WHO panel decided that kratom does not need a “critical examination,” which might have fueled a federal ban and UN regulations on kratom.
In the panel’s findings, one cannot link overdose deaths to kratom use despite kratom’s potential toxicity when ingested in high doses.
What Effects Do WHO’s Findings Have on Kratom Use?
Kratom activists and enthusiasts equally believe that the ruling should help people feel less stigmatized and, on the other hand, open up more business opportunities.
Currently, there is a significant rise in the number of venture capitalists interested in investing in kratom companies.
According to a New York Uni. In a year, at least two million Americans use kratom. As well, a majority of the kratom users are opiate users. Hence, WHO’s decision opened doors for clients who might have been hesitant to use the drug because of kratom’s pending assessment.
Regulatory concerns have kept most companies from getting on the kratom canoe for a ride in the past. Most of the kratom sold in the United States is sourced from countries in Southeast Asia, like Thailand and Indonesia. The FDA has the power to seize shipments, which poses a significant risk to the supply chain.
In the past, 75,000 pounds of kratom were intercepted. However, the kratom business continues to attract more investors.
Take Away
The risks with kratom haven’t stopped small businesses from exploring the kratom market.
As public acceptance grows, kratom will follow the same path as cannabis: first, states will regulate it, then the federal government will get involved. Indeed, kratom is a venture worth investing in. You can as well be part of the kratom movement!