Bob Hoban – Forbes: McConnell’s Hemp Ban & The Schedule III Mirage: A Lesson In Cannabis Industry Myopia | Cannabis Law Report | How to buy Skittles Moonrock online

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DEA and FDA regulatory rules for Schedule III substances are neither simple nor immediate. While rescheduling may theoretically permit research, interstate commerce, and pharmaceutical-grade oversight, the existing regulations remain in place, and new rules would take years to develop, if they are ever developed. We know the existing Schedule II framework…because it already exists; nothing new will save the marijuana sector in the event of rescheduling; and the existing Schedule III standards and regulations are not friendly to the manner in which the marijuana sector is currently structured; maybe even prohibitive. Manufacturers, cultivators, and researchers may eventually benefit, but dispensaries — the front-line retail operators — likely will not. I have examined the legal issues thoroughly and a cultivator and/or manufacturers could arguably qualify for Schedule III registration and compliance, but a dispensary model does not fit there…at all.

Hoban writes

**McConnell’s hemp ban risks wiping out most U.S. hemp-derived products, while MSOs pin hopes on Schedule III rescheduling that may not deliver.

It’s rare that our Congress in Washington, D.C. moves fast…And very rare that it moves so swiftly that the cannabis industry barely has time to exhale. Yet here we are. In the closing hours of a must-pass government spending bill, language quietly and undemocratically inserted into federal legislation has fundamentally altered the legal status of hemp in the United States.

Congress, in this case and on this policy issue, led by Sen. Mitch McConnell, has inserted a sweeping amendment into the federal spending bill aimed at closing what he calls the “hemp loophole.” *Note: I reached out to Senator McConnell’s office for comment, but had not received a reply prior to the publication of this article. The 2018 Agriculture Improvement Act of 2018 defined hemp as cannabis sativa with less than 0.3% delta‑9 THC by dry weight. Under the new federal language, the definition of hemp would shift from the existing 0.3 % delta‑9 THC limit by dry weight to a far stricter metric that accounts for all tetrahydrocannabinol‑class cannabinoids in a product, including delta‑8, delta‑9, THCA, and others.

Rather than measuring THC as a percentage of the plant material or product medium, regulators would calculate “total THC per container” for consumables, capping it at as little as 0.4 milligrams, effectively eliminating nearly all current infused products such as gummies, beverages, and vapes. This method treats every cannabinoid with psychoactive potential as an additive, meaning that even products compliant under the 2018 Farm Bill could exceed the new threshold simply by combining different THC‑class compounds. The change would also extend to synthetic or semi-synthetic cannabinoids derived from hemp, creating a regulatory framework that transforms the plant from a broadly permissible agricultural crop into one whose intoxicating derivatives are virtually banned at the consumer level.

This provision would essentially outlaw most hemp‑derived intoxicating products (gummies, vapes, beverages) that currently rely on the existing regulatory definition. Industry groups warn that up to 95 % of the current hemp‑cannabinoid product market could vanish.

Supporters have generally argued the change is needed to protect public health and clamp down on unregulated “intoxicating hemp” products that resemble candy and are sold in convenience stores and online. Opponents — including the hemp industry, many farmers, and state regulators — generally contend the language is less about regulation and more about prohibition, saying it threatens an agricultural economy built around fiber, seed, CBD and wellness products. Notably, Whitney Economics (WE) provides several notable estimates for the U.S. hemp and hemp‑derived cannabinoid industry in its U.S. National Cannabinoid Report and submits that total hemp‑derived cannabinoid sales are in excess of $28 billion, supporting over 325,000 workers, and earning more than $13.2 billion in wages. All of this infrastructure, investment, and the jobs will indeed suffer from the actions of Senator McConnell and his D.C. collaborators. To put it simply, things went down we don’t understand, but I think in time we will.

Read full article at

https://www.forbes.com/sites/roberthoban/2025/11/13/mcconnells-hemp-ban–the-schedule-iii-mirage-a-lesson-in-cannabis-industry-myopia/