New report estimates 68% of US hemp businesses would shutter if ban stays in place
Congress passed a continuing resolution extending the federal hemp ban to December 11th, signed by Trump on Sept 2. This delay gives the industry time to advocate for regulation over a ban. Without an agreement or regulating bill, federal rules will cap THC at 0.4mg per container, effectively banning intoxicating hemp products.
This delay provides temporary relief, but no standalone bill regulating hemp has gained traction, and the Nov 12 deadline for non-naturally occurring cannabinoids remains.
Regulatory uncertainty is severely impacting the industry. Square is closing CBD and hemp accounts by Nov 5, while a new Whitney Economics report estimates the hemp-derived cannabinoid market at $30.2–$38.7 billion. The report warns that a full ban could cost 225,861 jobs and $1.54 billion in state sales tax revenue, while cutting off consumer access to products used for health and wellness.
Read more
- Square Tells Businesses To Stop Selling Hemp And CBD Products In Light Of Upcoming Federal Ban
- Changes to the Statutory Definition of Hemp and Implications for Agricultural Policy | Congress.gov
- Hemp ban would shut down 68% of US industry, report finds - Denver Gazette
- Insights & Reports - Whitney Economics
- 29 More Days Isn’t a Business Plan (Opinion)
- Senate Votes To Delay Hemp Ban, Giving Lawmakers More Time To Craft Regulations To Keep THC Products Legal - Marijuana Moment
- Trump Signs Bill Delaying Hemp THC Ban Until December
- President Trump Signs Spending Bill Delaying Federal Hemp Restrictions Until December 11
- Impending Hemp Regs ‘a Rattling Shock to the Backbone of the Cannabis Seed Industry’
- Congress Can’t Agree on What Hemp Should Be