WASHINGTON — A major shift in federal marijuana policy could have wide-ranging impacts, from expanding medical research to improving the financial outlook for cannabis businesses.

The federal government is moving to reclassify marijuana from Schedule I— alongside drugs like heroin, which are considered to have no accepted medical use— to Schedule III, a category that acknowledges medical benefits and allows for broader research.

For researchers like Ryan Vandrey at Johns Hopkins University, the change could be significant.

“It basically pulls all of the state regulated cannabis access programs and makes them legal at the federal level, which allows me to use federal funds to purchase those products for research,” Vandrey said.

That means scientists would be able to study cannabis products currently sold in state-legal markets, including analyzing their chemical makeup and safety.

“Is it what they say it is? Are there contaminants? What are the different ratios of cannabinoids and terpenes?” Vandrey said.

Researchers say that kind of testing is critical as they explore how cannabis may help treat a range of conditions, including chronic pain, Crohn’s disease, PTSD and aspects of cancer treatment.

Advocates say the policy shift is also symbolically important.

“That cannabis does have medical value,” said Morgan Fox, a policy advocate with The National Organization for the Reform of Marijuana Laws (NORML).

The change could also bring financial relief to the cannabis industry, which has long faced heavy tax burdens under federal law.

“It will allow state-licensed cannabis businesses to be able to start taking deductions on their federal taxes like any other industry,” Fox said.

Currently, many cannabis businesses are struggling to stay profitable.

“Just over 25% of cannabis businesses are actually operating in the black, everybody else is operating at a loss,” Fox said.

Fox said the reclassification could even open the door to retroactive tax relief, which could benefit nearly 200 dispensaries across Washington, D.C., Maryland and Virginia.

As federal policy continues to evolve, both researchers and business owners say they are watching closely to see how the changes are implemented, and what comes next.