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The Farm Bill draft includes restrictions on hemp-derived THC products. What would it mean for the Minnesota market?

MINNEAPOLIS— A proposal passed by Congress could crack down on products derived from hemp — marijuana’s cannabis cousin — that can cause a high.

Late last week, a key committee in the U.S. House of Representatives approved an amendment to the 2024 Farm Bill to support agricultural and federal nutrition programs targeting hemp THC-infused products, which have created a growing market since lawmakers passed the legalized the hemp plant in the 2018 version of the Farm Bill by removing it from the list of controlled substances, as long as the plant does not contain more than 0.3% THC on a dry weight basis. Anything more is considered marijuana.

THC is the psychoactive compound in both cannabis plants.

Supporters of the changes are trying to close a loophole in the definition of hemp to restrict the products.

The sector operates in a legal gray area. But over the past two years, Minnesota lawmakers have established their own rules and regulations for hemp-derived edibles with low doses of THC, creating a robust market that has recently exploded. Consumers can purchase hemp-THC drinks at liquor stores, and some breweries make their own drinks.

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Leili Fatehi, a partner at cannabis consulting firm Blunt Strategies and a key advocate who worked to legalize marijuana in the state last year, said the proposed change would bring the federal definition in line with Minnesota’s definition of legal hemp products.

She believes that if the bill is passed and signed into law – and the bill still has a long way to go and will likely be subject to many changes – it would have little impact on the legal hemp market here.

Some of the state’s hemp product regulations include packaging, labeling and testing requirements. They should not contain cartoonish characters or other elements that appeal to children.

“What we have seen is that there is a need for regulation around the market for hemp-derived products,” Fatehi said. “The definition change that implements an overall THC limit to distinguish between marijuana and hemp-derived products does not endanger things like edible THC products, as long as the THC in those products comes from hemp and not marijuana. “

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“But we do see this as a definitional change that would call into question the legal status of things like the THC-A flower, which from a total THC standpoint really just gets cute with the definitions of marijuana,” she added .

Minnesota last year legalized marijuana for recreational use by adults 21 years and older, but left the hemp regulations in place so the market can still thrive. Marijuana is still illegal at the federal level, although the US Department of Justice is taking action to reclassify it from a Schedule I substance to Schedule III.

Bob Galligan, director of government and industry relations for the Minnesota Craft Brewers Guild, said some of his members were initially concerned about the impact of the proposed change in the Farm Bill draft because hemp-derived THC drinks have been a boon for business.

He noted that a lot could change in the process of making this law, and he believes the Minnesota delegation in Congress will be responsive to their concerns.

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“I think what many federal legislators are ultimately asking for is more regulation around these products, not necessarily banning them, but more regulation,” Galligan said. “And in that respect, Minnesota was really the first to do that seriously. And because of that, we’ve become kind of an example for every other state to follow.”

The amendment with the hemp language passed the House Agriculture Committee last week.

Congresswoman Mary Miller, an Illinois Republican, offered it “to close the loophole that allows drug-infused THC products like Delta-8 to be sold to teens in packaging that resembles candy,” according to a press release.

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