03 Apr Is Big Alcohol Lobbying Against the Hemp Industry?
The hemp industry has been booming over the past few years. From wellness products to sustainable building materials and even recreational hemp-derived THC products like Delta-8, the space is expanding rapidly. But not everyone is cheering on hemp’s success—especially not the alcohol industry.
Why Would Alcohol Companies Care About Hemp?
On the surface, hemp and alcohol might seem like they serve totally different markets. One is plant-based wellness, and the other is, well… booze. But as hemp-derived cannabinoids like Delta-8, Delta-9, and THC-infused beverages rise in popularity, there’s a growing overlap in their audiences.
Younger consumers, wellness-minded folks, and even people who just want to relax without a hangover are starting to reach for a THC seltzer instead of a six-pack. And the alcohol industry has noticed.
The Lobbying Moves
In 2024 and rolling into 2025, there’s been an uptick in lobbying efforts from major alcohol players, and the messaging is pretty clear: “Hemp products are a public health risk.”
The Wine & Spirits Wholesalers of America (WSWA), one of the most powerful alcohol lobbying groups, openly urged Congress to crack down on hemp-derived intoxicants like Delta-8 THC. Their recommendation? Ban synthetically derived hemp compounds altogether and force regulation similar to alcohol laws.
Additionally, beer industry reps have been pushing for:
- Higher taxes on intoxicating hemp beverages.
- Requiring THC seltzers and similar products to be distributed only through alcohol wholesalers.
- Licensing requirements for hemp beverage sales that mirror liquor laws.
These measures may sound like public safety initiatives on paper, but many in the hemp industry see them for what they likely are—protectionism.
Florida’s Legislative Push to Regulate THC Beverages
In Florida, the burgeoning market for THC-infused beverages has attracted legislative attention, with lawmakers proposing stricter regulations on these consumable hemp-based products. The proposed Senate Bill 438 aims to mandate that THC-infused drinks be distributed exclusively by alcohol wholesalers and sold only by retailers possessing liquor licenses. Additionally, the bill seeks to cap the THC content in these beverages at 5 milligrams per serving.
Proponents of the bill argue that THC-infused beverages are intoxicating and should be regulated similarly to alcoholic beverages to ensure consumer safety. Senator Colleen Burton, the bill’s sponsor, emphasized that the legislation treats these products as intoxicating beverages, aligning their distribution with the state’s existing alcohol distribution system.
However, this approach has sparked debate within the hemp industry. Critics contend that such regulations could stifle a growing market and limit consumer access to hemp-derived products. Michael Smith, co-owner of Herban Flow, a specialty retailer in St. Petersburg, expressed concerns that the bill could inadvertently harm a regulated industry without significantly enhancing safety measures. He noted that the proposed 5-milligram THC limit is considerably lower than what consumers are accustomed to and could make Florida’s market one of the most restrictive in the nation.
The push for these regulations reflects a broader trend where traditional industries, such as alcohol, seek to influence the burgeoning hemp market. By advocating for distribution through existing alcohol channels and imposing stringent potency limits, these measures could be seen as efforts to integrate hemp-derived products into the current regulatory framework of the alcohol industry, potentially limiting competition and market diversity.
As the legislative process unfolds, stakeholders in both the hemp and alcohol industries, along with consumers, are closely monitoring the potential impacts of these proposed regulations on market dynamics and product accessibility in Florida.
What’s Really Happening
This isn’t the first time the alcohol industry has tried to limit the rise of plant-based alternatives. Similar tactics were used against cannabis legalization and even against the spread of kombucha when it briefly crossed into the “alcoholic” range.
It’s not about safety—it’s about market share.
The hemp beverage and edibles market threatens to cut into alcohol’s profits. So, some alcohol lobbyists are fighting to keep intoxicating hemp products either off the shelves or inside their own distribution networks, ensuring they profit from them.
What This Means for the Hemp Industry
The clash between hemp and alcohol is heating up and will likely influence upcoming legislation, including updates to the Farm Bill and state-level hemp regulations. It’s critical for hemp businesses, consumers, and advocates to stay informed, organized, and vocal.
If we don’t, hemp’s unique promise—**a healthier, plant-based alternative for relaxation, wellness, and recreation—**might get squeezed out by old-school, big-money interests.
No Comments