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What a Federal Ban on THC-Infused Drinks and Snacks Could Mean for the Hemp Industry

The ban targets intoxicating hemp-derived THC products to close a legal loophole, risking over 300,000 jobs and $1.5 billion in state tax revenue, industry groups say.

  • On Nov. 10, the U.S. Senate approved a provision inserted into the funding bill that bans intoxicating hemp THC products, set to begin in November 2026, leaving the industry scrambling.
  • The 2018 farm bill defined hemp by a delta-9 THC threshold of 0.3%, a loophole Congress legalized to aid farmers that Sen. Mitch McConnell later sought to close with a federal ban.
  • Unregulated hemp products have spread nationwide, with beverages and snacks like vape oil, gummy candies, chips, cookies, and sodas appearing in gas stations and convenience stores, while THC drinks support small breweries including Indeed Brewing and Bauhaus Brew Labs.
  • Growers report uncertainty ahead of planting season, with licensed hemp growers’ counts falling from 220 to 42, and industry groups warn the ban would jeopardize more than 300,000 jobs and $1.5 billion in tax revenue.
  • A number of lawmakers are now exploring options after an amendment to strip the hemp language failed 76-24, with senators including Amy Klobuchar and Tina Smith considering regulatory fixes, industry groups say they hope for calmer negotiations.
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Action News Now broke the news in on Friday, November 28, 2025.
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