A bipartisan proposal introduced in an at-recess Congress on Monday would exempt hemp-derived THC beverages from a looming federal hemp cannabinoid-product ban.
Coupled with senators’ vocal support for popular hemp beverages, this latest bill, cosponsored by Texas Republican U.S. Rep. Beth Van Duyne and Ohio Democratic U.S. Rep. Greg Landsman, is fueling hopes that Congress will keep hemp THC beverages legal even as it moves to recriminalize intoxicating products like THCA flower.
The estimated $28 billion hemp sector has been living in a state of limbo all year long ahead of a looming federal redefinition of hemp that promises to end Farm Bill protections for most hemp-derived cannabinoid products starting on Nov. 12.
While the Senate adjourned for its August recess with a proposal to delay the ban until December intact, both the House and President Donald Trump must take action to reverse last year’s decision to criminalize hemp products with 0.4 milligrams of THC or more starting in November.
That raises serious questions about the fate of the popular hemp beverages sold at retailers like Target and at events such as the Lollapalooza music festival.
Are hemp beverages going to remain legal?
In response, if passed, the Beverage Regulatory Parity Act would:
- Impose a so-called “three-tier distribution system” that would require hemp beverages to be distributed like alcohol
- Impose a per-milligram excise tax on THC
- Ban synthetically derived cannabinoids like most delta-8 THC
- Impose national age restrictions limiting sales to adults 21 and over
It’s the latest proposal to be floated in Congress that would rescue hemp products from the looming ban, but the first to focus specifically on hemp-derived THC beverages.
Beverages are a proven winner with retailers and hospitality operators such as bars, breweries and restaurants. However, in response to the federal ban, many states are taking independent action to restrict or ban the products.
That includes Ohio, where a recent change in state law forbids the sale of hemp THC products outside of regulated cannabis stores.
“There are people all over Southwest Ohio who have invested significantly in these products, and they’ve done so safely,” Landsman said in a statement. “Now the federal government is telling them they can’t sell these products anymore.”
“Our bill is bipartisan and very straightforward,” he added. “It will keep people safe and let these folks stay in business.”
Does the cannabis industry want to keep hemp THC beverages legal?
Supporters include lobbies representing the alcohol industry as well as hemp operators.
“We urge Congress to act before the November 12 deadline eliminates responsible options from the marketplace entirely,” Dawson Hobbs, the executive vice president of government affairs at the Wine & Spirits Wholesalers of America, said in a statement.
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In a statement provided to MJBizDaily, Jake Bullock, cofounder and CEO of hemp beverage company Can, called the bill “a significant and encouraging step toward replacing the looming federal ban with a permanent framework for low-dose hemp beverages.”
However, cannabis lobbyists have vowed to fight efforts for a hemp product carve-out.
