Lawmakers in Congress created a problem with the passage of the bipartisan 2018 Farm Bill, also known as the Agricultural Improvement Act. With a provision tucked into the funding bill intended to end the government shutdown, the Republican-led Senate is looking to solve the issue. However, turning a proposed hemp ban into federal law has caused many in the hemp industry to call it a death knell that will cause even further hardships for farmers already reeling from the effects of President Donald Trump’s tariffs.
The Farm Bill, seeking to provide a boost to non-intoxicating hemp products and hemp businesses, legalized industrial hemp. In doing so, it created a legal loophole allowing the sale of hemp-derived THC products. While the concentration of tetrahydrocannabinol (THC) is much lower in hemp than in marijuana, manufacturers have managed to create a synthetic version that is often more powerful and, unlike cannabis, completely unregulated by the federal government. This led to a THC ban on intoxicating hemp products like Delta 8, Delta 9, THC beverages, edibles, and vape cartridges.
The inclusion of the hemp provision in the spending bill is an unpleasant surprise for the hemp market. Hemp farmers in Kentucky had relied on Senators Mitch McConnell (R-KY) and Rand Paul (R-KY) to protect their livelihoods, but disagreements between the two scuttled any legitimate chance for success. A last-ditch Senate vote on a Paul amendment on November 10, 2025, garnered votes from only Paul and Ted Cruz (R-TX).
On the other hand, the impending extinction of the THC-infused hemp market is likely a source of relief for the 39 attorneys general who clamored for the U.S. Senate to close the loophole. Count the expanding but heavily regulated and taxed legal marijuana industry as more than happy to lose a competitor.
Where There’s a Weed, There’s a Way
Hemp and marijuana come from the same species of Cannabis Sativa. The plants are grown differently and vary in the amount of THC, the psychoactive compound found in the cannabis plant. A legal definition of hemp states that the plant can have no more than 0.3% THC by dry weight. Both also contain cannabinoids (CBD), which can provide aid for some ailments but are not intoxicants. Marijuana possession, use (medical and/or recreational), and cultivation are legal in a number of states but remain illegal and classified as a Schedule I drug on a federal level under the Controlled Substances Act of 1970.
The legalization of hemp was done with the best of intentions, a move to bolster a crop for farmers and offer a new industry for small businesses to thrive in. Legal hemp has a variety of uses, including as food, rope, yarn, insulation, paper, and more. However, it was also exploitable through the loophole in the Farm Bill to create THC-infused products. Without regulation, products can widely vary in THC strength and be marketed with colorful packaging designed to attract teens and even younger children. This has stoked the (perhaps unfounded) fear of kids dying from eating a THC product they thought was candy or a regular snack.
CBD You Later
Paul’s attempt to get language concerning a hemp ban stripped out of the government funding package on the Senate floor would have left the hemp loophole largely intact. As much as the hemp industry would have preferred that outcome, Paul’s fellow Senators, perhaps weary of hearing complaints about Delta-9 THC products on the shelves of convenience stores and gas stations from their constituents, were not moved by his pleas. The provision by the Senate Appropriations Committee prevents the unregulated sale of intoxicating hemp-based or hemp-derived products.
With a need to get agencies like the Food and Drug Administration (FDA) funded again and the White House demanding an end to the shutdown, THC hemp’s chances for a stay of execution was unlikely. What’s going to happen to the $30 billion hemp industry and the farmers who face a decreased need for their hemp crops is apt to be less than a pleasant buzz.
Related Resources
- Pot or Hemp? It May Be Difficult To Tell (FindLaw’s Learn About the Law)
- The Legal Battles Over DOGE’s Power and Federal Spending (FindLaw’s Federal Courts)
- Is CBD Legal? (FindLaw’s Criminal Law Basics)
