The 2022 legislative session in Maryland began on a positive note, filled with hope and excitement for the future of the state's hemp industry. HB1204, introduced early in the session, promised to create new opportunities for hemp-related businesses in the state. However, this optimism quickly turned into concern as the Cannabis Reform Bills (SB0156 and HB0556) were introduced, containing language that raised significant challenges for the industry.
At the start of the legislative session, industry stakeholders were optimistic about the potential growth and expansion of the Maryland hemp market with the introduction of HB1204. The bill aimed to open doors for hemp-derived products, paving the way for exciting prospects and economic growth in the state.
The Concerning Language
Unfortunately, the enthusiasm soon waned as the Cannabis Reform Bills were unveiled. Among the language that caused alarm was the stringent cap on the allowable THC content in cannabis products sold without a cannabis license. Specifically, the bills restricted THC levels to 0.5 mg per serving and 2.5 mg per package, even for hemp-derived products.
Initially, many believed that this language would only affect hemp-derived products containing Delta-8, Delta-9, and Delta-10 THC. However, it became apparent that the restrictions also extended to consumable CBD full spectrum products like edibles and vapor products. This unforeseen consequence had a far-reaching impact on various businesses within the industry.
Despite efforts from the Maryland Hemp Coalition (MHC) to lobby for revisions to the concerning language, the legislature only made one change - an exception for CBD Full Spectrum tinctures. This was a disappointing outcome for the industry, as other crucial products remained restricted under the new law.
On May 3, 2023 Governor Moore signed the Cannabis Reform Bills into law, and they officially took effect on July 1, causing immediate challenges for the hemp industry in Maryland.
Legal Action by MHC
In response to the negative impact of the new law, the Maryland Hemp Coalition took a proactive approach and initiated legal action against what they considered an unconstitutional law. The MHC aimed to protect the interests of stakeholders within the Maryland Hemp Industry. Here is a link to the filed complaint -
ATCC Enforcement Begins
On August 1, the Maryland Alcohol, Tobacco, and Cannabis Commission (ATCC) began enforcing the new law. Reports emerged from retailers who claimed that enforcement agents visited their establishments and issued warnings. The ATCC warned that citations and charges would soon follow for the sale of products violating the new regulations. Click the link below to view the enforcement letter -
Ensuring Compliance and Support
To safeguard their businesses from enforcement actions, industry stakeholders are advised to remove any products that violate the new law from their establishments. This includes CBD full spectrum consumables like hemp flower, pre-rolls, gummies, vapor products, and any hemp-derived products containing delta-8, 9, 10 THC.
The Maryland hemp industry began the 2022 legislative session with high hopes for growth and expansion. However, the introduction of the Cannabis Reform Bills brought challenges and restrictions that had unintended consequences for various businesses. Despite efforts by the Maryland Hemp Coalition, the law went into effect, and enforcement actions have already commenced. As stakeholders continue to grapple with the impacts, staying informed through the MHC's newsletter and supporting their efforts is essential for ensuring a brighter future for the Maryland Hemp Industry.
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