Senators Urge Protection of Hemp Legalization in Government Funding Bill

Strategic Insights -

Senators Ron Wyden, Jeff Merkley, and their colleagues are urging Senate leaders to protect hemp legalization in the government funding bill. The senators argue that re-criminalizing hemp products would decimate the American agricultural hemp industry and imperil states' ability to prevent unsafe hemp-derived cannabinoid products from getting into the hands of children. Instead, they suggest considering legislation to establish a hemp-derived cannabinoid product framework that regulates packaging, labeling, and testing.

Key Takeaways:

  • The senators, led by Ron Wyden and Jeff Merkley, are opposing language in the FY26 Agriculture-FDA Appropriations Bill that would re-criminalize hemp products and imperil the American agricultural hemp industry.
  • The hemp industry supports 320,000 American jobs, generates $28.4 billion in regulated market activity, and produces $1.5 billion in state tax revenue.
  • The senators propose a regulatory framework that restricts the sale and possession of hemp products to adults over age 21, standardizes packaging and labeling, prohibits synthetic or artificially derived products, and requires independent third-party laboratory tests for consumable hemp-derived cannabinoid products.
  • Over 70% of hemp acreage is dedicated to cannabinoid production, according to the latest USDA data.
  • Hemp yields higher profits for farmers compared to corn or soybeans.
  • The senators are urging Senate leaders to work with them to regulate hemp-derived cannabinoid products instead of passing language that would re-criminalize the industry.
  • The senators believe that re-criminalizing cannabinoid products would cut off one leg of the hemp market's stool and jeopardize tens of billions of dollars in economic activity.

Statistics:

  • The hemp industry supports 320,000 American jobs.
  • The hemp industry generates $28.4 billion in regulated market activity.
  • The hemp industry produces $1.5 billion in state tax revenue.
  • Over 70% of hemp acreage is dedicated to cannabinoid production.
  • Hemp yields higher profits for farmers compared to corn or soybeans.

Sources:

  • Merkley, J. A., & Wyden, R. (2023, September 16). Wyden, Merkley Lead Colleagues in Calling on Senate Leaders to Protect Hemp Legalization in Government Funding Bill. Merkleysenate.gov.
  • Wyden, R., Merkley, J. A., Alsobrooks, A. D., Hickenlooper, J., Booker, C. A., Heinrich, M., Bennet, M. F., Van Hollen, C., Thune, J., & Schumer, C. (2023, September 16). Wyden, Merkley, and Colleagues to Senate Leaders: Protect Hemp Legalization in Government Funding Bill. Wydensenate.gov.