San Antonio, November 28, 2025
A new federal ban targeting THC-infused beverages and snacks threatens to disrupt the $24 billion hemp industry, potentially resulting in significant job losses and decreased tax revenues. Set to take effect in November 2026, the ban aims to close a loophole from the 2018 Farm Bill that allowed these products to flourish in an unregulated market. Industry leaders are calling for regulations that ensure safety without causing economic harm, as various states implement their own measures to adapt. The potential loss of over 300,000 jobs and $1.5 billion in state tax revenue raises concerns about the future of the hemp industry.
San Antonio
Federal Ban Threatens THC-Infused Beverage and Snack Industry
A new federal ban, embedded in the recent government spending bill, is set to significantly impact the $24 billion hemp industry by targeting THC-infused beverages and snacks. Effective November 2026, this provision aims to close a loophole in the 2018 Farm Bill that allowed the sale of intoxicating products derived from hemp. The loophole permitted the production of items with forms of THC such as delta-8 and delta-10, leading to a largely unregulated market.
Industry Response and Economic Concerns
Industry leaders and some lawmakers advocate for regulation over prohibition, expressing concerns that the ban could result in the loss of over 300,000 jobs and $1.5 billion in state tax revenue. They emphasize the need for alternative policies to address safety and oversight without causing significant economic disruption.
State-Level Actions and Legislative Developments
In response to the federal ban, states have implemented varying regulations. For instance, Ohio has legalized THC-infused beverages containing up to 5 milligrams of THC per serving, allowing their sale through December 2026. This temporary measure provides a runway for beverage makers and sellers to operate in the state.
Background on the 2018 Farm Bill and Its Implications
The 2018 Farm Bill legalized the cultivation of industrial hemp, inadvertently creating a loophole that allowed the sale of THC-infused products. This led to the proliferation of unregulated items such as gummies, drinks, and vapes, raising safety concerns and prompting calls for stricter regulations.
Conclusion
The impending federal ban on THC-infused beverages and snacks is poised to reshape the hemp industry, prompting a reevaluation of regulatory approaches at both federal and state levels. Stakeholders continue to seek balanced solutions that address safety concerns while mitigating economic impacts.
Frequently Asked Questions (FAQ)
What is the new federal ban on THC-infused products?
The federal ban, effective November 2026, targets THC-infused beverages and snacks derived from hemp, aiming to close a loophole in the 2018 Farm Bill that allowed the sale of intoxicating products.
How does the federal ban affect the hemp industry?
The ban is expected to impact the $24 billion hemp industry by targeting THC-infused beverages and snacks, potentially leading to the loss of over 300,000 jobs and $1.5 billion in state tax revenue.
What are states doing in response to the federal ban?
States like Ohio have implemented temporary measures, such as legalizing THC-infused beverages containing up to 5 milligrams of THC per serving, allowing their sale through December 2026.
What was the 2018 Farm Bill’s impact on the hemp industry?
The 2018 Farm Bill legalized the cultivation of industrial hemp, inadvertently creating a loophole that allowed the sale of THC-infused products, leading to a proliferation of unregulated items and raising safety concerns.
Key Features of the Federal Ban on THC-Infused Products
| Feature | Description |
|---|---|
| Effective Date | November 2026 |
| Targeted Products | THC-infused beverages and snacks derived from hemp |
| Industry Impact | Potential loss of over 300,000 jobs and $1.5 billion in state tax revenue |
| State Responses | Temporary measures like Ohio’s legalization of THC-infused beverages through December 2026 |
| Background | 2018 Farm Bill legalized industrial hemp cultivation, creating a loophole for THC-infused products |
Deeper Dive: News & Info About This Topic
HERE Resources
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Austin’s Hemp Industry Faces Legislative Threat
Texas Senate Bill 3 Passes, Near-Total THC Ban Looms
Texas Senate Bill 3 Threatens the Hemp Industry
Texas Lawmakers Move to Ban THC-Infused Hemp Products
Texas Legislators Propose Changes for Hemp Industry Regulation
Houston Industry Faces Uncertain Future with New THC Ban
Author: STAFF HERE SAN ANTONIO WRITER
The SAN ANTONIO STAFF WRITER represents the experienced team at HERESanAntonio.com, your go-to source for actionable local news and information in San Antonio, Bexar County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Fiesta San Antonio, San Antonio Stock Show & Rodeo, and Dia de los Muertos. Our coverage extends to key organizations like the Greater San Antonio Chamber of Commerce and United Way of San Antonio and Bexar County, plus leading businesses in retail, insurance, and energy that power the local economy such as H-E-B, USAA, and Valero Energy. As part of the broader HERE network, including HEREAustinTX.com, HERECollegeStation.com, HEREDallas.com, and HEREHouston.com, we provide comprehensive, credible insights into Texas's dynamic landscape.
