In a significant move that could reshape the landscape of the hemp industry in Tennessee, lawmakers are pushing for stringent regulations aimed at controlling hemp-derived products, particularly focusing on THCA (tetrahydrocannabinolic acid). House Majority Leader Rep. William Lamberth (R-Portland) has sponsored a bill that seeks to impose a ban on hemp products containing more than 0.1% THCA, igniting a contentious debate among industry stakeholders who argue that such measures could devastate the burgeoning hemp market in the state.
The backdrop for this legislative push is a lawsuit filed by hemp industry representatives against the Tennessee Department of Agriculture (TDA) last December. This lawsuit challenged earlier rules that aimed to prohibit hemp products with more than 0.3% THCA, a threshold that industry experts argued would essentially wipe out hemp flower sales, which constitute over 70% of their revenue. As it stands, the proposed legislation would not only regulate the manufacturing, distribution, and retail of hemp but would also create a complex framework of licensing, packaging, and testing requirements, along with penalties for non-compliance.
During a hearing in the House Criminal Justice Subcommittee, industry experts provided compelling testimony against the bill, emphasizing that the proposed 0.1% THCA limit is even stricter than federal regulations. John Kerns, co-founder of New Bloom Labs, warned that this new standard would effectively eliminate hemp agriculture in Tennessee. “This bill calls for a new, unheard of legal standard for THCA concentration that of 0.1%, and it will put an end to hemp cultivation in this state,” Kerns asserted.
Devin Aracena, owner of CANVAST Supply Co., also raised alarms about the broader implications of the proposed law. He pointed out that the legislation would not only impact THCA but would also have unintended consequences for other cannabinoids such as CBD (cannabidiol) and CBG (cannabigerol), as well as for fiber products. “This new law proposed as it is with the 0.1%, it wouldn’t just affect THCA; it would affect CBD, CBG, and fiber, something people aren’t consuming to have a feeling from,” Aracena stated.
Despite the pushback, Rep. Lamberth defended the need for regulation, asserting that the current state of the hemp market resembles a “wild west” scenario where consumers cannot be assured of the products they are purchasing. He emphasized the need for clarity and safety, drawing analogies to the alcohol industry by stating, “If you buy a Sprite, you get a Sprite, you buy a beer, you get a beer… I want to make sure folks know what they’re getting when they buy hemp.”
Lamberth cited a memo from the Department of Justice that classified THCA as a “controlled substance” and equated it with marijuana, which remains illegal in Tennessee. He challenged industry representatives on the heating process that converts THCA into THC, stating, “Surely you would agree that if it is heated, even a little bit, in essence, it turns into Delta 9 THC.”
In response, Michael Soloman, a hemp business owner, argued that this reasoning is flawed. He noted that just as improperly stored grapes can ferment into wine, it is not logical to ban grapes themselves due to their potential to transform into an alcoholic beverage. “You’d want to regulate that but not the grape; not the THCA,” Soloman countered.
The bill has already passed through both the House Criminal Justice Subcommittee and the Senate State and Local Government Committee, indicating a strong legislative momentum. However, the battle is far from over, as a Nashville judge is expected to rule on the existing TDA regulations in June.
As Tennessee stands on the brink of significant changes to its hemp industry, the outcome of this legislative push will have profound implications for farmers, producers, and consumers alike. The hemp community’s concerns highlight a growing tension between the regulatory imperative for consumer safety and the need to nurture a nascent industry that has the potential to contribute significantly to the state’s economy. The coming months will be crucial as stakeholders await judicial rulings and continue to advocate for a balanced approach to hemp regulation that fosters growth while ensuring safety.
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