{"id":84276,"date":"2025-11-12T12:39:15","date_gmt":"2025-11-12T20:39:15","guid":{"rendered":"https:\/\/cannabiscultivatornews.com\/home\/index.php\/2025\/11\/12\/minnesota-hemp-businesses-and-senators-say-federal-thc-ban-will-hurt-the-states-economy\/"},"modified":"2025-11-12T19:50:43","modified_gmt":"2025-11-13T03:50:43","slug":"minnesota-hemp-businesses-and-senators-say-federal-thc-ban-will-hurt-the-states-economy","status":"publish","type":"post","link":"https:\/\/cannabiscultivatornews.com\/home\/index.php\/2025\/11\/12\/minnesota-hemp-businesses-and-senators-say-federal-thc-ban-will-hurt-the-states-economy\/","title":{"rendered":"Minnesota Hemp Businesses And Senators Say Federal THC Ban Will Hurt The State\u2019s Economy"},"content":{"rendered":"<p><img loading=\"lazy\" src=\"https:\/\/cannabiscultivatornews.com\/home\/wp-content\/uploads\/2025\/11\/favicon-1.png\" width=\"180\" height=\"180\"> <\/p>\n<p><em>\u201cSenator Klobuchar voted against the hemp provision because she thought it would hurt the state\u2019s small businesses.\u201d<\/em><\/p>\n<p class=\"byline\"><strong>By Ana Radelat, MinnPost<\/strong><\/p>\n<p>Minnesota\u2019s booming industry of intoxicating products made by hemp, including beverages and gummies, is reeling\u00a0from the <a href=\"https:\/\/www.marijuanamoment.net\/senate-rejects-attempt-to-save-hemp-industry-from-thc-ban-in-key-spending-bill\/\" target=\"_blank\" rel=\"nofollow noopener\">ban on their products that is making its way through Congress<\/a> in a bill that would reopen the federal government.<\/p>\n<p>The bill gives the industry 365 days before all products that contain more than 0.4 milligrams of THC\u2014a trace amount\u2014are outlawed. Christopher Lackner, president of the Hemp Beverages Alliance, is hoping that gives the industry time to lobby against the provision, which he called \u201carbitrary\u201d and \u201cpunitive.\u201d<\/p>\n<p>He said he\u2019s betting on \u201ca pushback from consumers, suppliers and distributors and everyone else in the supply chain\u201d that will be impacted by the impending ban on hemp-produced THC-infused products.<\/p>\n<p>\u201cOur hope as an industry is that Congress will come back and meet with all of the stakeholders and <a href=\"https:\/\/www.marijuanamoment.net\/house-committee-blocks-vote-on-gop-lawmakers-amendment-to-stop-hemp-ban-while-senator-floats-regulatory-alternative\/\" target=\"_blank\" rel=\"nofollow noopener\">build a federal framework for hemp beverages that works<\/a>,\u201d Lackner said.<\/p>\n<p>The 2018 Farm Bill legalized hemp by removing it from the federal definition of marijuana under the Controlled Substances Act and treating it as an agricultural commodity. It also opened the door to the production of \u201cintoxicating\u201d products derived from hemp.<\/p>\n<p>Minnesota led the nation in taking advantage of the redefinition of hemp. Whitney Economics\u2019 <a href=\"https:\/\/whitneyeconomics.com\/reports\" target=\"_blank\" rel=\"nofollow noopener\">latest THC Beverage Report<\/a> estimated that total U.S. THC beverage sales topped $1.1 billion in 2024, with Minnesota being a key state in this growth.<\/p>\n<p>Success has come at a price, however. Competing industries, mostly the nation\u2019s nascent legal marijuana industry and, more recently, the <a href=\"https:\/\/www.marijuanamoment.net\/beer-industry-trade-group-calls-out-hemp-thc-sectors-bad-actors-for-allegedly-marketing-to-children\/\" target=\"_blank\" rel=\"nofollow noopener\">beer and spirits industries, lobbied furiously to close what they considered a \u201cloophole\u201d<\/a> in the 2018 Farm Bill that has led to the explosion of hemp-infused products.<\/p>\n<p>The marijuana and alcohol industries <a href=\"https:\/\/www.minnpost.com\/national\/washington\/2025\/11\/beer-industry-joins-renewed-push-for-feds-to-rein-in-thc-infused-drinks-threatening-lucrative-minnesota-industry\/\" target=\"_blank\" rel=\"nofollow noopener\">say<\/a> hemp products are largely unregulated and some contain dangerously high amounts of THC. They also say there are no labeling and marketing restrictions or efforts to keep THC-infused drinks and edibles from children.<\/p>\n<p>On Monday, the Beer Institute, the Distilled Spirits Council of the United States and other alcohol trade groups <a href=\"https:\/\/www.marijuanamoment.net\/trump-supports-hemp-thc-ban-thats-advancing-in-senate-white-house-says\/\" target=\"_blank\" rel=\"nofollow noopener\">sent a lobbying letter to members of Congress<\/a>, urging them to reject an amendment by Sen. Rand Paul, R-Ky., that would have stripped the language from the shutdown bill.<\/p>\n<p>\u201cManufacturers of beverage alcohol, one of the most highly regulated consumer products, urge the Senate to reject Paul\u2019s attempts to allow hemp-derived THC products to be sold devoid of federal regulation and oversight across the country,\u201d the letter said.<\/p>\n<p>Their argument won the day.<\/p>\n<p>The legislation that would end the shutdown contains three appropriations bills to fund several government agencies through fiscal year 2026, including the U.S. Department of Agriculture, and that\u2019s where the hemp provision was inserted. All other federal agencies would receive short-term funding\u2014until the end of January\u2014under a continuing resolution, or CR.<\/p>\n<p>While the hemp industry lost its lobbying fight, it did have supporters in the U.S. Capitol. Paul, for instance, prevented Senate GOP leaders from obtaining unanimous consent to fast-track the shutdown bill, which overcame a six-week Democratic filibuster Sunday evening on a 60-40 vote.<\/p>\n<p>The U.S. Senate voted to table\u2014or reject\u2014Paul\u2019s amendment, on a 76-24 vote. Minnesota Sens. Amy Klobuchar (D) and Tina Smith (D) were in the minority supporting the effort to strip out the hemp language.<\/p>\n<p>\u201cSenator Klobuchar voted against the hemp provision because she thought it would hurt the state\u2019s small businesses and believes efforts by Congress to regulate hemp products should account for states like Minnesota that already have strong regulations in place,\u201d a spokesman for Klobuchar said.<\/p>\n<p>Lackner also said that lawmakers in Congress were trampling on the rights of states to regulate intoxicating hemp products.<\/p>\n<p>\u201cThis is a slap in the face of states like Minnesota that have developed regulatory frameworks based on stakeholder input,\u201d he said.<\/p>\n<h3 class=\"wp-block-heading\"><strong>Hemp change \u2018wrong from every angle<\/strong>\u2018<\/h3>\n<p>Steve Brown, CEO of Nothing but Hemp, a company in northeast Minneapolis that makes THC-infused gummies and beverages, emulsions for breweries and many other hemp-based products, said the shutdown bill may drive him to cross over to the marijuana industry.<\/p>\n<p>That\u2019s because if the legislation is signed into law by President Donald Trump, as expected, the manufacture and sale of his products will be illegal under federal law, with a huge impact on his market.<\/p>\n<p>Brown said liquor stores could no longer offer his drinks on their shelves. Small breweries, which have tried to combat a drop in beer sales by offering THC-infused drinks that are more popular than alcohol among the young, would also be breaking federal law if they continued to offer those libations.<\/p>\n<p>And retail stores, including Target, would likely stop selling THC-infused beverages and other products because customers would no longer be able to pay for them with their credit cards due to federal banking regulations.<\/p>\n<p>Shipping THC-infused products across the state lines would also be against federal law.<\/p>\n<p>\u201cI think it\u2019s wrong from every angle,\u201d Brown said of the hemp provision in the shutdown legislation.<\/p>\n<p>Brown said he manufactures close to 2 million cans of beverages a year and that his operation of THC-infused drinks is small compared to other companies in Minnesota.<\/p>\n<p>He said he started his business at a kiosk with a sign that said \u201cTry CBD,\u201d a hemp component that is not intoxicating and is touted for its medicinal value. If hemp-infused drinks and edibles are outlawed, Brown says he\u2019s preparing to turn Nothing but Hemp, which has 60 employees,\u00a0into a marijuana business.<\/p>\n<p>Jim Taylor, spokesman for the Minnesota Office of Cannabis Management, said it \u201cis reviewing any draft or proposed [hemp] language for its impact on Minnesota.\u201d<\/p>\n<p>\u201cThis is a complex policy issue, and we are reviewing it with the Attorney General,\u201d Taylor said.<\/p>\n<p>Minnesota Attorney General Keith Ellison recently signed <a href=\"https:\/\/www.naag.org\/wp-content\/uploads\/2025\/10\/NAAG_Hemp-letter-to-Congress-2025.10.24.pdf\" target=\"_blank\" rel=\"nofollow noopener\">a letter<\/a> with 38 other attorneys general that said unregulated THC products pose a threat to the general public.<\/p>\n<p>David Ladd, president of the Minnesota Industrial Hemp Association, said his group has tried to stay as neutral as possible on the issue. But he said the state\u2019s hemp growers also do not want to \u201cstifle innovation and investment\u201d in hemp, which can be used to produce a wide variety of products, including biofuels, paper and textiles.<\/p>\n<p>\u201cI get regulations and guard rails for hemp products,\u201d Ladd said. \u201cBut an arbitrary change in the definition of hemp is not a substitute for measured regulation.\u201d<\/p>\n<p>The U.S. Senate gave final approval of the shutdown bill late Monday. Now the legislation heads to the U.S. House, where Minnesota\u2019s Democratic House members are expected to join the state\u2019s two Democratic senators\u2014Klobuchar and Smith\u2014in rejecting the legislation.<\/p>\n<p>So the longest government shutdown is on the way to an end after eight moderate Democrats in the U.S. Senate dropped their opposition to the bill. They said GOP leaders offered a fair deal because the legislation would protect programs from Trump budget cuts and Senate Leader John Thune (R-SD) promised a vote on the extension of Affordable Care Act subsidies Democrats had sought to in return for their votes to reopen the government.<\/p>\n<p>That provoked an onslaught of criticisms from Democratic colleagues\u2014and Democratic voters.<\/p>\n<p>Rep. Angie Craig, D-2nd District, for instance, posted on social media that\u00a0\u201dif people believe this is a \u2018deal,\u2019 I have a bridge to sell you.\u201d<\/p>\n<p>This <a href=\"https:\/\/www.minnpost.com\/national\/washington\/2025\/11\/minnesotas-hemp-produced-thc-beverage-and-edible-industry-reels-from-provision-to-outlaw-products-in-shutdown-bill\/\" target=\"_blank\" rel=\"noopener\">article<\/a> first appeared on <a href=\"https:\/\/www.minnpost.com\" target=\"_blank\" rel=\"noopener\">MinnPost<\/a> and is republished here under a <a href=\"https:\/\/creativecommons.org\/licenses\/by-nd\/4.0\/\" target=\"_blank\" rel=\"noopener\">Creative Commons Attribution-NoDerivatives 4.0 International License<\/a>.<img style=\"width: 1em;height: 1em;margin-left: 10px\" src=\"https:\/\/cannabiscultivatornews.com\/home\/wp-content\/uploads\/2025\/11\/favicon.png\" \/><img id=\"republication-tracker-tool-source\" style=\"width: 1px;height: 1px\" src=\"\" \/> PARSELY = { autotrack: false, onload: function() { PARSELY.beacon.trackPageView({ url: &#8220;https:\/\/www.minnpost.com\/national\/washington\/2025\/11\/minnesotas-hemp-produced-thc-beverage-and-edible-industry-reels-from-provision-to-outlaw-products-in-shutdown-bill\/&#8221;, urlref: window.location.href }); } }  <\/p>\n<p>The post <a href=\"https:\/\/www.marijuanamoment.net\/minnesota-hemp-businesses-and-senators-say-federal-thc-ban-will-hurt-the-states-economy\/\" target=\"_blank\" rel=\"nofollow noopener\">Minnesota Hemp Businesses And Senators Say Federal THC Ban Will Hurt The State\u2019s Economy<\/a> appeared first on <a href=\"https:\/\/www.marijuanamoment.net\" target=\"_blank\" rel=\"nofollow noopener\">Marijuana Moment<\/a>.<\/p>\n<p>&#013;<br \/>\n&#013;<br \/>\nRead More: <a href=\"https:\/\/www.marijuanamoment.net\/minnesota-hemp-businesses-and-senators-say-federal-thc-ban-will-hurt-the-states-economy\/\" target=\"_blank\" rel=\"nofollow noopener\">Minnesota Hemp Businesses And Senators Say Federal THC Ban Will Hurt The State\u2019s Economy<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>\u201cSenator Klobuchar voted against the hemp provision because she thought it would hurt the state\u2019s small businesses.\u201d By Ana Radelat, MinnPost Minnesota\u2019s booming industry of intoxicating products made by hemp, including beverages and gummies, is reeling\u00a0from the ban on their products that is making its way through Congress in a<span class=\"more-link\"><a href=\"https:\/\/cannabiscultivatornews.com\/home\/index.php\/2025\/11\/12\/minnesota-hemp-businesses-and-senators-say-federal-thc-ban-will-hurt-the-states-economy\/\">Continue Reading<\/a><\/span><\/p>\n","protected":false},"author":457,"featured_media":84277,"comment_status":"false","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[81],"tags":[],"_links":{"self":[{"href":"https:\/\/cannabiscultivatornews.com\/home\/index.php\/wp-json\/wp\/v2\/posts\/84276"}],"collection":[{"href":"https:\/\/cannabiscultivatornews.com\/home\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cannabiscultivatornews.com\/home\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cannabiscultivatornews.com\/home\/index.php\/wp-json\/wp\/v2\/users\/457"}],"replies":[{"embeddable":true,"href":"https:\/\/cannabiscultivatornews.com\/home\/index.php\/wp-json\/wp\/v2\/comments?post=84276"}],"version-history":[{"count":1,"href":"https:\/\/cannabiscultivatornews.com\/home\/index.php\/wp-json\/wp\/v2\/posts\/84276\/revisions"}],"predecessor-version":[{"id":84278,"href":"https:\/\/cannabiscultivatornews.com\/home\/index.php\/wp-json\/wp\/v2\/posts\/84276\/revisions\/84278"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cannabiscultivatornews.com\/home\/index.php\/wp-json\/wp\/v2\/media\/84277"}],"wp:attachment":[{"href":"https:\/\/cannabiscultivatornews.com\/home\/index.php\/wp-json\/wp\/v2\/media?parent=84276"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cannabiscultivatornews.com\/home\/index.php\/wp-json\/wp\/v2\/categories?post=84276"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cannabiscultivatornews.com\/home\/index.php\/wp-json\/wp\/v2\/tags?post=84276"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}