{"id":567015,"date":"2026-07-25T03:55:26","date_gmt":"2026-07-25T03:55:26","guid":{"rendered":"https:\/\/www.newsbeep.com\/ie\/567015\/"},"modified":"2026-07-25T03:55:26","modified_gmt":"2026-07-25T03:55:26","slug":"major-alcohol-industry-lobby-backs-bill-to-keep-hemp-thc-drinks-legal-but-it-wants-more-discussion-on-tax-rate","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ie\/567015\/","title":{"rendered":"Major Alcohol Industry Lobby Backs Bill To Keep Hemp THC Drinks Legal, But It Wants More ‘Discussion’ On Tax Rate"},"content":{"rendered":"

An alcohol industry trade association is endorsing a newly filed bill in Congress that would allow continued sales of certain hemp-derived THC products<\/a>, partially scaling back a broad ban that is scheduled to take effect later this year. The group, however, says that the measure\u2019s tax provisions require \u201ccontinued discussion.\u201d<\/p>\n

The\u00a0Wine & Spirits Wholesalers of America (WSWA) is particularly applauding the legislation\u2019s provisions that would created a three-tier framework for sales of cannabis-infused beverages, modeled on the system that is currently in place for alcohol.<\/p>\n

The new Lawful Hemp Protection Act, introduced by Reps. Andy Barr (R-KY) and Angie Craig (D-MN), would put in place a number of regulations for manufacturing, labeling, sales and taxation of hemp-derived products, including an age limit of 21, which WSWA says\u00a0 \u201cmoves the marketplace away from uncertainty and toward clear, enforceable rules that protect consumers, support compliant businesses and preserve state regulatory authority.\u201d<\/p>\n

Hemp derivatives with less than 0.3 percent delta-9 THC on a dry-weight basis were federally legalized under the 2018 Farm Bill that President Donald Trump signed during his first term in office. But late last year, Trump signed new legislation containing provisions that will redefine hemp to make it so only products with 0.4 milligrams of total THC per container will remain legal after November 12\u2014though he has since called on Congress to scale back the scope of the forthcoming restrictions.<\/p>\n

The new 60-page bill, which a press release from Barr\u2019s office says is supported by the White House, would keep many hemp products that are now on the market legal for people over the age of 21, again changing the definition of hemp to allow concentrations of up to 1 percent total THC on a dry-weight basis.<\/p>\n

\u201cThis legislation takes an important step by recognizing that hemp-derived beverages can be regulated using the principles of the three-tier system that has governed beverage alcohol safely and successfully for more than 90 years,\u201d Dawson Hobbs, WSWA\u2019s executive vice president of federal affairs, said in a press release.<\/p>\n

\u201cWSWA commends the bill\u2019s distinct treatment of hemp beverages as a unique category with an established regulatory model,\u201d he said. \u201cBy subjecting these beverages to federal licensing, labeling standards, mandatory age verification, independent testing, excise taxation and state regulatory authority similar to beverage alcohol, Congress can protect consumers and communities.\u201d<\/p>\n

The proposal as introduced would set a tax on hemp beverages of 5 cents per milligram of THC in addition to a tax on hemp product manufacturers in the amount of 5 percent of their annual sales revenue\u2014a provision that WSWA isn\u2019t exactly endorsing. The group \u201clooks forward to continued discussion about a tax rate that promotes parity with beverage alcohol and supports effective oversight,\u201d it said.<\/p>\n

\u201cWe don\u2019t need to reinvent the wheel,\u201d Hobbs said<\/a>. \u201cThe beverage alcohol model has worked for more than 90 years. These beverages are intoxicating products and should be treated like beverage alcohol.\u201d<\/p>\n

Under the legislation, there would be a three-tier system for hemp-derived beverages, separated into manufacturers, wholesalers and retailers. No entity could hold a direct or indirect interest in more than one tier\u2014a separation the legislation says will be \u201cstrictly maintained.\u201d<\/p>\n

Among other provisions, the new legislation would also direct federal officials to set potency limits for hemp products and prohibit synthetically produced cannabinoids. It would additionally require that hemp cannabinoid products introduced into interstate commerce would need to be derived exclusively from hemp cultivated, processed, finished, packaged and labeled within the U.S.<\/p>\n

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In May, WSWA criticized the House of Representatives for passing an updated Farm Bill without including provisions to prevent the federal recriminalization of hemp THC products<\/a>, saying it represents a \u201cmissed opportunity.\u201d<\/p>\n

Earlier this year, WSWA launched a campaign pushing Congress to call off the scheduled ban on hemp THC beverages<\/a>\u00a0and instead regulate the products for consumer access.<\/p>\n

The efforts includes an educational microsite on the issue that offers resources on the issue and argues that \u201cthe same regulatory system that has worked for alcohol should be applied to intoxicating hemp products.\u201d<\/p>\n

In an op-ed for Marijuana Moment last year, WSWA\u2019s president and CEO argued that\u00a0regulation of hemp products is superior to prohibition<\/a>.<\/p>\n

A separate newly launched group, the Beverage Alcohol Merchants Coalition (BAMCO), is also\u00a0pushing for a delay in the federal recriminalization of hemp THC products<\/a>. Its founding members include Total Wine & More, BevMo! by Gopuff, ABC Fine Wine & Spirits, Spec\u2019s Wine and Spirits & Finer Foods, as well as a group of hemp product wholesalers.<\/p>\n

Barr, the sponsor of the newly filed hemp regulation bill, spoke at a meeting with hemp industry operators earlier this year and previewed the legislation\u2014saying it faces opposition from a coalition of strange bedfellows including sectors of the alcohol industry, marijuana businesses and cannabis legalization opponents<\/a>.<\/p>\n

Trump and White House officials have in recent weeks repeatedly called on Congress to delay, alter or reverse the ban.<\/p>\n

In a letter to House Speaker Mike Johnson (R-LA) last month, for example, White House Office of Management and Budget (OMB) Director Russell Vought said the Trump administration wants lawmakers to \u201censure the fair treatment of hemp products\u201d<\/a>\u2014specifically citing Barr\u2019s earlier amendment to keep many hemp products legal while adding regulations and taxes.<\/p>\n

The administration \u201cwelcomes the opportunity to work with the Congress to, at a minimum, update the statutory definition of final hemp-derived cannabinoid products<\/a>\u00a0to allow Americans to benefit from access to appropriate full-spectrum CBD products,\u201d OMB separately said last month, \u201cwhile preserving the Congress\u2019s intent to restrict the sale of products that pose serious health risks.\u201d<\/p>\n

In April, the\u00a0president himself urged congressional lawmakers to again redefine hemp<\/a>\u00a0to avoid recriminalization of full-spectrum CBD products.<\/p>\n

Sen. Tim Sheehy (R-MT) recently cited hemp legislation as an area where Republicans and Democrats can work together<\/a> in an otherwise \u201chyperpartisan time.\u201d<\/p>\n

Sen. Ted Cruz (R-TX), however, predicted that it will be an \u201cuphill path\u201d to avert the scheduled federal recriminalization of hemp<\/a> THC products this year.<\/p>\n

The National Restaurant Association recently sent a letter urging congressional leaders to delay the federal recriminalization of hemp THC beverages<\/a> and replace it with a regulatory framework that \u201censures consumer safety while meeting growing market demand\u201d for the products as an alternative to alcohol.<\/p>\n

Major retailer\u00a0Target, meanwhile, recently moved to expand its sales of hemp THC drinks<\/a>\u00a0into more states.<\/p>\n

Marijuana Moment is made possible with support from readers. If you rely on our cannabis advocacy journalism to stay informed, please consider a monthly Patreon pledge.<\/p>\n

\"Become<\/a>\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/p>\n","protected":false},"excerpt":{"rendered":"An alcohol industry trade association is endorsing a newly filed bill in Congress that would allow continued sales…\n","protected":false},"author":2,"featured_media":567016,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[72,204,61,60],"class_list":["post-567015","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","tag-business","tag-featured","tag-ie","tag-ireland"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/567015","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/comments?post=567015"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/567015\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media\/567016"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media?parent=567015"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/categories?post=567015"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/tags?post=567015"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}