On January 6, 2020, Yunnan Jinye Biotechnology Co., Ltd. (hereinafter referred to as Jinye Co.) held an annual meeting and a new product launch of "HEMP BEER" to publicize the so-called "industrial hemp beer" products on the market, and carried out live broadcasting through the Internet, causing social concern and adverse effects.
According to the relevant clues, Yunnan Drug Control Office quickly deployed public security organs in Kunming, Yuxi and other places, and took the initiative to check Jinye Co. with the local market supervision and management department.
The Market Supervision and Management Department of Panlong District, Kunming City, through the investigation, found that Yunnan Co.. marked "industrial hemp enterprise" on its beer products, and falsely publicized an enterprise without industrial hemp planting and processing license into an enterprise with legal qualification. The "HEMPER" brand beer packaging deliberately highlighted the hemp pattern and logo, which objectively confused the concept of industrial hemp and drug marijuana, and caused extremely bad misleading to consumers, which was contrary to China's anti-drug concept and social justice and good customs with Chinese characteristics in the new era.
Because of the fact that Jinye Co. has violated the relevant provisions of Anti Unfair Competition Law of the people's Republic of China and Yunnan anti unfair competition regulations, the market supervision and Management Department of Panlong District ordered Jinye company to stop the illegal activities immediately.
In view of the fact that the company has removed the label of "industrial hemp enterprise" on beer products after receiving the notice of correction, and the canned beer produced has not been sold, it can be recognized that the party concerned has taken the initiative to eliminate or reduce the harmful consequences of illegal acts.
According to the provisions of Article 25 of the Anti Unfair Competition Law of the people's Republic of China, the Market Supervision and Administration Department of Panlong District imposed a fine of 200,000 yuan on the company. At present, the fine of 200,000 yuan has been fully implemented.
Interpretation of Laws of Yunnan Industrial Hemp
In October 2009, the People's Government of Yunnan Province promulgated The Provisions On Industrial Hemp Planting And Processing License In Yunnan Province (hereinafter referred to as "Yunnan Provisions"), which was officially implemented in the province from January 1, 2010. This is the first local government regulation to regulate the cultivation and processing of industrial hemp in China, which clarifies the legality of industrial hemp industry in Yunnan from the legal level. According to Yunnan regulations, industrial hemp refers to the original hemp plants and their extracted products with THC content less than 0.3%.
The products with THC content higher than 0.3% extracted from industrial hemp leaves should be subject to drug control laws. Units or individuals engaged in the cultivation and processing of industrial hemp within the administrative region of this province shall obtain the industrial hemp planting license and the industrial hemp leaf processing license. Besides, in order to ensure that the industry is safe and controllable and does not involve drugs, relevant enterprises should act in accordance with the law. Whether it is research, production, application, or product storage, transportation and sales, it should strictly grasp and abide by the relevant domestic and international legal norms and application.
The Drug Control Departments at all levels in Yunnan will, in accordance with the relevant requirements of the National Narcotics Control Commission, prudently examine and approve industrial hemp planting and processing activities, strengthen the whole process supervision of the legality of industrial hemp planting and processing, coordinate relevant departments to urge industrial hemp enterprises to enhance industry self-discipline, so as to ensure that the industrial hemp industry is not illegal and drug-related. The healthy, safe and orderly development of hemp industry will help to create a good social atmosphere and investment environment.