The Hemp Beverage Industry: A Catalyst for Change Amidst Cannabis and Hemp's Tense Coexistence

Written by Holon Law Partners, Eric Postow with contributions from Jim Boland.


All Art Courtesy of Casey Renteria


For anyone who has navigated the tumultuous seas of the cannabis industry post-2018 Farm Bill, there is an obvious growing tension, a clash between hemp and regulated cannabis. It's a conflict rooted in regulatory discord, economic competition, and a shared ancestry that's been bureaucratically bifurcated. Yet, within this struggle, I perceive an unforeseen harbinger of change: the hemp beverage industry.

This segment, emerging under the Farm Bill's federal legality, carries the potential to act as a Trojan horse, ushering in critical structural shifts within the broader system of government-regulated cannabis. Its broad market appeal and compatibility with current legal frameworks position it uniquely to influence change.

In preparing for this article, I spent time thinking through the broader issues with my partner Jim Boland who leads our Cannabis Practice Group here at Holon Law Partners. Jim identified that regulating hemp and cannabis under separate frameworks leads to public confusion. A singular regulatory system could demystify the distinctions and aid consumer education, which is beneficial for both clarity and research progression.

The conflict isn't merely about hemp encroaching on cannabis territory. It's about the inadvertent competition fostered by a regulatory environment that has failed to fully comprehend the plant's nuances. Traditional cannabis businesses reel under stringent regulations and taxes, while their hemp counterparts, especially in the beverage sector, have historically enjoyed a more lenient landscape. This disparity isn't just unfair—it's unsustainable.

The importance of uniform standards cannot be under emphasized for the future of hemp products and specifically hemp beverages. A harmonized regulatory approach would guarantee quality and safety, thereby boosting consumer trust and resolving market confusion. The hemp beverage sector's growth is bolstered by its appeal to a wide audience, including working professionals and social drinkers, tapping into a market segment that traditional cannabis has not fully penetrated. A standardized approach could further solidify this industry's position by setting clear safety benchmarks. The industry itself needs to first agree that low dose is the way to go and then establish those standards and uniformity.

By setting clear standards for consumer safety and dosage, the hemp beverage industry can delineate itself from higher-dose cannabis products, thus easing the transition for consumers across the spectrum of cannabinoid experiences. These standards are not just about market differentiation; they're about building a framework for consumer trust and safety, which, in turn, can prompt regulatory bodies to reconsider the rigid boundaries currently in place.

The hemp beverage sector's ascendancy could be the force that compels a restructuring of regulatory approaches, advocating for a system that respects the plant's full potential and consumer choice. It's a chance to redefine the "handoff" between hemp and cannabis, not as competing entities, but as complementary counterparts within a coherent cannabis economy.

As we strive for a cohesive cannabis economy, the ascendancy of the hemp beverage industry stands out as a key agent of change. Its emergence transcends the introduction of a new product line; it represents a compelling argument for a unified regulatory framework that accommodates both hemp and cannabis under a single umbrella. The maturation of this industry could ignite essential reforms, laying the groundwork for standardized safety and dosage practices that may herald the advent of comprehensive regulations.

The commitment to establishing transparent, evidence-based standards, especially for low-dose products, anticipates a future where cannabis and hemp are not divided by competition but are integrated as cooperative components of a regulated market ecosystem. The decisions made in the present are crucial in forging a market that is equitable, transparent, and resilient for future stakeholders. Consequently, the hemp beverage industry is not a mere market fluctuation; it embodies the convergence of strategic collaboration and visionary policy-making that could sculpt a more enlightened and inclusive cannabis industry.

The trajectory ahead is not solely about the adoption of low-dose hemp beverages or the expansion of commercial footprints. It involves utilizing the distinctive position of the hemp beverage sector to instigate comprehensive systemic transformations. It entails championing policy initiatives that recognize the intricacies of the cannabis plant and uphold the informed choices of adult consumers. Stakeholders in this sphere should embrace a forward-looking vision, one that communicates a unified and deliberate narrative.

Having observed the cannabis industry's evolution, marked by innovation and wellness advancements, as well as its challenges, it is clear that if a coherent federal framework for Cannabis sativa L. is our goal, then an alignment of objectives and perspectives across the industry's diverse segments is imperative. Establishing this commonality is the cornerstone for advancing not just a segment but the entire cannabis industry towards a sustainable and prosperous future.

Previous
Previous

Brady Busby – Candidate for Arizona’s 2nd Congressional District

Next
Next

The Harmony of Cannabis & Music with Acid Tongue