Summary
Congress included a rule in a new spending bill that makes many hemp products illegal. This affects businesses and state programs that depend on hemp sales. The change will be enforced starting in late 2026, giving time for adjustments.
Key Facts
- Congress passed a spending bill that ended a government shutdown but included a rule against hemp products.
- The rule makes many hemp-derived products with THC illegal, reversing some parts of the 2018 Farm Bill.
- The hemp industry is valued at around $28 billion and provides about 300,000 jobs.
- Some states use taxes from hemp to support public services like addiction treatment and health programs.
- There is a one-year delay before the hemp ban takes effect to allow for regulation and debate.
- Sen. Rand Paul opposed the rule, saying it harms businesses and farmers.
- Since 2018, hemp-based beverages sales are set to grow significantly, according to industry estimates.
- The hemp ban could impact small businesses and industries that have relied on these products.
