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Recently, Congress passed emergency legislation to reopen the federal government. Deep within that bill was a drastic policy change that threatens to wipe out Kentucky’s legal hemp industry. The provision was included in a must-pass spending bill and became law.
The new law will limit the amount of tetrahydrocannabinol, or THC, to just 0.4 milligrams per container in any hemp product.
Right now, hemp products are allowed to contain a tiny trace of THC as long as it stays under 0.3% by dry weight. That has been the federal standard since 2018.
The new law will treat safe, well-made CBD products the same as unregulated, potentially risky synthetics that were never meant to be legal. Right now, products like Delta-8 or THCa, which are lab-made forms of THC, are being sold with no testing, no labeling, and no age limits. Many are imported and made in unregulated labs.
This law does not address the real issue: the lack of enforcement against unsafe synthetic knockoffs. Instead, it would punish legal hemp businesses, including Kentucky farmers, who are a vital part of the agricultural economy and not the source of the problem.
According to the Courier Journal, only 2.5% of Kentucky’s current hemp acreage would remain legal under the new federal restriction. That means 97.5% of the industry would be shut down, despite years of compliance with federal and state law.
Kentucky’s hemp sector has become a national model, built on bipartisan cooperation and guided by regulatory oversight from the Department of Agriculture. This provision puts all of that at risk.
Kentucky federal delegates from both parties have recognized the concern. They’ve warned that the provision threatens to destroy years of progress. Thousands of legal businesses, jobs, and investments are now exposed to immediate risk, as is the public’s access to products they’ve grown to trust and rely on over the years, without having to turn to unnecessary medical interventions or prescription drugs.
One of the fastest-growing areas of these safe and natural hemp products is providing relief to pets who suffer from anxiety. Consumers stand to lose access to all of these products.
The law allows for a 364-day grace period, which was included in this provision. If the provision stands, it currently offers no relief for farmers with loans, equipment leases, or investor-backed production lines. Further, there is no compensation for lost crops or unsellable inventory. Many small operators will be left with debt they cannot repay.
At the same time, marijuana is now legal in more than 30 states, but still illegal under federal law. Kentucky legalized medical cannabis in 2023. That law allows cannabis flower with up to 35% THC, with concentrates up to 70%. This is a stark and inexplicable policy contrast and inconsistency.
Congress did not address the real source of harm. Instead, it hurts small farmers, processors, and family-run companies who followed the law. There’s still time to reverse the course.
The future of Kentucky’s hemp economy is at stake.
Jimmy Higdon is a Kentucky State Senator representing the 14th district.