Congress Targets Full‑Spectrum Hemp CBD, Threatening $28 Billion Market
Congress slipped a narrow definition of hemp into H.R. 5371, a funding bill that could shut down most full‑spectrum CBD products, even those legally sold in states like Rhode Island.
The bill caps THC or THCA at 0.4 mg and bans extracts made outside the plant, targeting ethanol distillation and other standard processes, according to the legislation text.
All cannabis plants produce trace THC; zero‑THC hemp is practically impossible, making full‑spectrum products reliant on natural THC levels that are non‑intoxicating, industry experts say.
Analysts estimate that tens of thousands of compliant hemp businesses could lose jobs, translating to 300,000 positions and a $28 billion market at risk, building on a loss of over 11,000 jobs per week reported by Reuters in October.
Farmers need months to purchase seed in March, plant in April and harvest in October; a one‑year enforcement delay is insufficient for agricultural planning, the USDA notes.
Rhode Island already requires lab testing, child‑resistant packaging, 21+ age verification and labeling mirroring its medical program, yet Attorney General Peter Neronha signed a letter calling the industry “unregulated” and “marketed to children,” claims contradicted by state law, according to a review of the letter.
The letter asserts hemp‑derived gummies and drinks “kill children,” but only two isolated case reports link child deaths to cannabis, all involving illicit products and additional substances such as fentanyl, experts say.
A ban would push the market underground, increasing risk; no child cannabis‑related deaths have been recorded in Rhode Island, state health data show, according to public records.
Rhode Island Senators Jack Reed and Sheldon Whitehouse supported the ban language citing Neronha’s letter, while Representatives Seth Magaziner and Gabe Amo opposed the House version, as reported by local news outlets.
Farmers and small business owners have called for a 720‑day enforcement delay to align with agricultural cycles and push for evidence‑based legislation, a stance echoed by bipartisan lawmakers across the aisle, the groups say.
