Banning Hemp Drinks Threatens To Undermine The Growing Normalization Of Cannabis (Op-Ed)

*“For many adults, a hemp-derived THC beverage is their first cannabis
product.”*

*By Joe Gerrity, Crescent Canna*

Three years ago, hemp-derived THC beverages were a regulatory curiosity—a
byproduct of the 2018 Farm Bill that few outside the cannabis world noticed.

Today, they represent a multibillion-dollar national market, sold in
mainstream retail alongside beer and hard seltzer, and widely viewed as the
fastest-growing segment of the broader cannabis industry.

That growth is now on the verge of being erased.

Congress recently voted to prohibit hemp-derived THC products
nationwide—not through comprehensive cannabis legislation, but through
language inserted into a federal appropriations bill. Unless lawmakers
reverse course, products that have been federally legal for years will
become illegal this November, dismantling an industry Congress itself
enabled in 2018.

Hemp beverages are no longer fringe. They are a visible bridge between the
regulated marijuana industry and everyday consumer retail.

*From Niche to National Footprint*

In just a few years, hemp THC drinks have moved from specialty shelves to
prominent placement in national chains. Retailers now dedicate full cooler
sets and endcaps to the category. In states like Minnesota, some liquor
stores report hemp beverages accounting for an estimated 15 percent to 20
percent of sales.

NielsenIQ’s decision to formally track the segment marked a turning point:
hemp-derived THC beverages are now measured like major consumer packaged
goods—because that’s what they have become.

For many retailers, these products are not novelty items. They drive repeat
traffic, attract new shoppers and sit at the intersection of cannabis
demand and conventional retail access.

This is the first time cannabis products have scaled nationally through
traditional distribution channels without relying on the state-licensed
marijuana system.

*A Gateway to Mainstream Cannabis Consumption*

Consumer behavior helps explain the rise.

Alcohol consumption trends have softened, while interest in alternative
forms of social drinking has grown. Hemp-derived THC beverages offer
familiar formats, predictable dosing and an entry point for adults who may
not visit dispensaries. A recent survey of our customers found that 77
percent have reduced alcohol use since trying THC drinks.

More importantly for the cannabis industry, THC beverages normalize
cannabinoid consumption in settings where cannabis historically had no
presence—grocery stores, music venues, bars and restaurants.

For many adults, a hemp-derived THC beverage is their first cannabis
product.

That matters. It expands the total addressable market for cannabinoids,
introduces new demographics to THC and helps destigmatize cannabis use in
everyday social settings. Hemp beverages have functioned as a national
market-expansion channel for the cannabis sector.

This traces directly to the 2018 Farm Bill, which legalized hemp without
distinguishing between intoxicating and non-intoxicating cannabinoids
derived from compliant plants. Businesses built supply chains, compliance
programs and distribution networks based on that framework.

*The Policy Reversal*

The appropriations bill passed in November 2025 alters the federal
definition of hemp in a way that would outlaw most hemp-derived products,
including all THC beverages currently sold in regulated retail
environments. The provision advanced through the spending process without
any public hearings or debate.

The economic stakes are significant. Analysts estimate hundreds of
thousands of jobs and tens of billions in market activity tied to the
broader hemp economy. Unlike state-licensed marijuana operators, hemp
businesses operate under federal legality, investing in the category with
the understanding that Congress had already spoken.

Many states, like Louisiana, have established regulated markets for
hemp-derived THC products—including age restrictions, potency limits,
testing requirements, packaging standards and more. The new federal
language would override and completely dismantle those state systems.

*Why This Matters for the Cannabis Industry*

Hemp beverages have accelerated the cultural and commercial normalization
of THC in ways the marijuana industry has long sought but struggled to
achieve under federal prohibition. They have expanded where cannabis
products are sold, who uses them and how they are socially integrated.

Eliminating this segment would further fragment the cannabis industry and
send a destabilizing message: business models built under one federal
framework can be undone through appropriations language without a
comprehensive policy transition.

If policymakers outlaw the regulated market for federally legal,
low-potency hemp THC products, what chance is there for broader cannabis
legalization?

A regulatory structure—not prohibition—is what aligns with how states
already manage both marijuana and hemp products.

*Rescheduling vs. Hemp Prohibition*

At the same time the Trump administration is pursuing Schedule III
rescheduling for marijuana, Congress is moving to prohibit hemp-derived THC
that was explicitly legalized under federal statute.

The contrast is sharp: one pathway expands legitimacy for state-legal
cannabis, while another removes it from a federally lawful and widely
accessible consumer market.

For operators and investors, that contradiction creates uncertainty across
the entire cannabis landscape, not just the hemp segment.

*What Happens Next*

The future of hemp beverages depends on whether lawmakers revisit the issue
and replace prohibition with a regulatory model that acknowledges both
consumer demand and existing state frameworks.

The question isn’t whether adults want these products. It’s whether federal
lawmakers will allow them to keep accessing them.

The answer will shape not just one product category, but the trajectory of
cannabis normalization in the United States.

*Joe Gerrity is CEO & co-gounder of Crescent Canna.*

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Normalization Of Cannabis (Op-Ed) appeared first on Marijuana Moment.