Missouri's cannabis market is facing a regulatory dilemma as hemp-derived THC products flood the state, often outpacing the regulated marijuana market in accessibility and sales.
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These products, which mimic dispensary-grade cannabis in appearance and effect, have proliferated due to a loophole in the 2018 Farm Bill that legalized hemp and its derivatives under federal law.
The Hemp Loophole
The Farm Bill allows hemp to be legally grown and sold if it contains less than 0.3% Delta-9 THC by dry weight. However, many businesses have exploited this definition, chemically converting non-psychoactive CBD into intoxicating compounds like Delta-8 and Delta-9 THC. These products, sold in unregulated settings like coffee shops, farmers markets, and gas stations, are often indistinguishable from marijuana in their effects.
Unlike state-regulated marijuana, these hemp-derived products lack consistent oversight for safety, potency, or age restrictions, creating concerns about consumer health and market equity.
Regulatory Challenges
Missouri's state-regulated marijuana market, established through a voter-approved program, is heavily monitored. Dispensaries comply with strict safety standards, licensing requirements, and age verification. In contrast, the hemp-derived product market operates without comparable regulation, leaving public health officials alarmed.
Amy Moore, director of Missouri's Division of Cannabis Regulation, highlighted the emergence of new, untested cannabinoids and the risks they pose. "We really have no idea what they do," she said, emphasizing the need for regulation to ensure safety.
Efforts to regulate or ban these products have so far failed. Governor Mike Parson's executive order banning intoxicating hemp products is currently stalled, and legislation aimed at addressing the issue has been repeatedly blocked, largely due to opposition from the politically powerful hemp industry.
Industry Perspectives
The conflict pits marijuana businesses, which follow strict regulations, against hemp producers who argue their products are legal under federal law. Hemp advocates have resisted bans, citing the economic impact on small businesses and accusing state-regulated marijuana operators of seeking monopolistic control. Conversely, marijuana industry leaders argue the unregulated hemp market undermines their compliance efforts and creates unfair competition.
Legislative Outlook
The upcoming legislative session is expected to bring renewed battles over how to regulate or restrict hemp-derived THC products. Proposals may include measures for product testing, clear labeling, and age restrictions. Meanwhile, the state is exploring rules to ban intoxicating hemp products from liquor retailers and seeking funding to expand enforcement efforts.
Shifting Market Trends
Some experts predict the hemp industry may move toward less controversial products like Delta-9 THC and THCA, which occur naturally in hemp and marijuana plants. These cannabinoids, proponents argue, offer a safer and more "natural" alternative to chemically synthesized compounds.
As Missouri grapples with these challenges, the broader cannabis industry across the U.S. faces similar conflicts, navigating a patchwork of state and federal laws while balancing economic interests and public health concerns.
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