Nutritional High Comments on Results of Midterm Elections and Key Regulatory Developments in US Cannabis Industry
TORONTO, Nov. 08, 2018 (GLOBE NEWSWIRE) — Nutritional High International Inc. (“Nutritional High” or the “Company“) (CSE: EAT, OTCQB: SPLIF, FRANKFURT: 2NU) wishes to provide comments on the results of the Midterm Elections and key regulatory developments in the US.
US voters delivered a split verdict in midterm elections for Congress yesterday evening. The Democrats secured a majority in the House of Representatives while Republicans have further expanded their majority in the Senate. Overall, Democrats have surpassed the 218 seats needed for a House majority while the Republicans increased their seats in the Senate with 51 seats out of 100.
A Good Result for the Cannabis Sector
Senior management at Nutritional High view the results as catalyst for the cannabis sector to reinforce the notion that cannabis in the US has the tipping point on its way to eventual full legal status. Clarity on “banking rules”, according to Bloomberg, could help to close the valuation gap between US stocks and their Canadian counterparts. On the other hand, pro-cannabis legislation would still have to pass the Senate and the Executive Branch but now with recently embattled Attorney Jeff Sessions resigning under pressure from Trump, it seems the path to legalization just got a little clearer.
The STATES Act and Opportunities for Continued Growth
With divided congressional power, there will be opportunity for bi-partisanship on a number of issues including the Strengthening the Tenth Amendment Through Entrusting States Act, S. 3032 (the “STATES Act“), This long-awaited piece of legislation would protect individuals working in cannabis sectors from federal prosecution. The STATES Act was introduced in June 2018 through bi-partisan efforts initiated by Senator Cory Gardner (Republican from Colorado) together with Senator Elizabeth Warren (Democrat from Massachusetts). Senator Elizabeth Warren won re-election which ensures she will push the change to federal law regarding cannabis.
In addition, constituents of Michigan voted to legalize recreational marijuana, making Michigan the first state in the Midwest to do so and the 10th in the US overall demonstrating growing sentiment amongst Americans towards legalization. Voters in Missouri and Utah approved ballot measures legalizing cannabis for medical use, making their states the 31st and 32nd to do so giving confidence to other states to follow suit. However, voters in North Dakota did not pass an initiative to legalize recreational use. The results are largely positive, indicating continuing and growing opportunities the US.
“With development and existing presence in our targeted states of CA, NV, CO, OR and WA, we are excited about the regulatory-positive catalysts and looking forward to deepening Nutritional High’s presence in these markets and seeking ways to leverage our expertise into the new markets,” commented Jim Frazier, CEO of Nutritional High.