The production lines at Indeed Brewing in Minneapolis are now filling cans not with beer, but with THC-infused seltzer—a product that has seen a lifeline amid a decline in alcohol sales. However, the ongoing boom faces a significant challenge following a recent federal provision that aims to ban such products by late 2026, placing a looming threat over the $24 billion hemp industry.
Industry experts, including Indeed’s chief business officer Ryan Bandy, see the provision as a major setback for both the breweries relying on new THC products and customers who enjoy these beverages. The proposed ban is expected to come into effect alongside new regulations targeting other edible and drinkable hemp products deemed impairing. This legislation follows reports of increases in THC use-related incidents, particularly among minors.
Marijuana and hemp share biological similarities, yet their domains have been delineated in legislative contexts. In 2018, Congress legalized industrial hemp cultivation, generating a new cash crop primarily in states like Kentucky. Nevertheless, the ambiguous wording allowed businesses to create products with psychoactive effects by manipulating compounds within the hemp plant.
The resultant unregulated – sometimes potent – products like vape oils and THCs were made easily accessible, presenting potential risks, especially to younger populations. Some states, such as California and Texas, have begun enacting laws to manage such goods amidst concerns about child safety and product regulation.
Senator Mitch McConnell’s resolution to curb the industry comes from a desire to eliminate these loopholes and reduce the number of unregulated products that could pose health risks. Proponents argue it’s a necessary step to protect public health, while opponents fear it could cripple small businesses and eliminate jobs in the burgeoning sector.
With fears of job losses and a substantial economic impact, the industry is advocating for a more nuanced approach. Optimists like Jonathan Miller of the U.S. Hemp Roundtable push for regulations that target synthetic THCs and require age restrictions without completely eradicating the hemp market. As political discussions continue, the hemp industry must navigate an uncertain future and strive towards collaborative regulatory resolutions, possibly even modeling frameworks after existing state laws.
