Missouri Cracks Down on Unregulated THC Beverages
JEFFERSON CITY, MO – The state of Missouri is initiating a significant crackdown on the burgeoning market of unregulated, hemp-derived THC beverages, citing major public safety concerns and the products' potential appeal to minors. Attorney General Andrew Bailey announced his office's intent to take decisive action against what he described as "dangerous" and "intoxicating" products that have proliferated in gas stations and retail stores across the state [Source 1].
The move places Missouri at the forefront of a national debate surrounding a legal gray area created by the 2018 Farm Bill. While the federal law legalized hemp by defining it as a cannabis plant containing less than 0.3% delta-9 THC by dry weight, it inadvertently opened a loophole for manufacturers to produce intoxicating products by extracting and concentrating cannabinoids from the legally grown plant.
"A Threat to Public Safety"
In a firm declaration, Attorney General Bailey positioned the crackdown as a necessary measure to protect Missourians, especially children. He argued that these hemp-derived THC drinks are being sold without the stringent regulations, age verification, and testing requirements that govern Missouri's voter-approved adult-use marijuana market.
"We are taking action to get these dangerous, unregulated products off of market shelves," Bailey stated, emphasizing the risk they pose.
The core of the Attorney General's argument rests on several key points:
- Lack of Regulation: The products exist outside the state's comprehensive cannabis regulatory framework, meaning they are not subject to mandatory laboratory testing for potency, purity, or contaminants like heavy metals and pesticides.
- Accessibility to Minors: Sold in locations like convenience stores and smoke shops, these beverages are often placed alongside conventional sodas and energy drinks, making them easily accessible to individuals under the legal age of 21.
- Deceptive Marketing: Bailey's office has highlighted concerns about packaging and marketing tactics that appear to target a younger audience, using bright colors, cartoon-like imagery, and fruity flavors that mimic non-alcoholic beverages.
- Consumer Confusion: Many consumers may be unaware that these products contain intoxicating levels of THC and can cause significant impairment, posing risks related to driving and other activities requiring full attention.
The action aims to halt the sale of these products, which have created a parallel, unregulated cannabis market that directly competes with licensed dispensaries operating under Missouri law.
Navigating a Legal Loophole
The controversy stems from the complex interplay between federal and state law. The 2018 Farm Bill was intended to create a national industry for non-intoxicating hemp products like textiles, food, and CBD oils. However, the bill's "by dry weight" definition of hemp has proven to be a critical loophole.
Producers can legally cultivate hemp plants that comply with the 0.3% THC threshold. They then process large quantities of this plant material to extract and concentrate cannabinoids, including delta-9 THC, delta-8 THC, and other synthetically-derived variants. By infusing these concentrates into beverages, gummies, and other edibles, they can create products with intoxicating effects that far exceed what one might expect from a "hemp" product.
For example, a 12-ounce beverage can contain a significant milligram amount of THC while the original hemp biomass used to produce it remained under the legal limit. This has led to a flood of products that offer a legal high, often for a lower price and with fewer purchasing barriers than products sold in the state-licensed marijuana market. This situation has been a source of frustration for both state regulators and the licensed cannabis industry, which invests heavily in compliance and public safety measures.
Industry Impact and Market Dynamics
The impending crackdown is expected to have a seismic impact on Missouri's cannabis and hemp industries, drawing clear lines between the regulated and unregulated sectors.
For the operators of the more than 200 state-licensed dispensaries, the move is a welcome development. These businesses argue that the unregulated hemp market creates an unfair competitive landscape. Licensed retailers are subject to:
- Strict seed-to-sale tracking of all products.
- Mandatory third-party lab testing.
- Child-resistant packaging requirements.
- Rigorous age verification at the point of sale.
- Significant state and local taxes.
Unregulated hemp sellers, by contrast, have operated with minimal oversight and none of these associated costs, allowing them to undercut the regulated market. MoCannTrade, the state's leading cannabis industry trade association, has been a vocal proponent of addressing this issue, advocating for consumer safety and a level playing field for licensed businesses that adhere to the will of Missouri voters who passed Amendment 3.
Conversely, for the businesses built around these hemp-derived beverages-from manufacturers to distributors and retailers-the crackdown represents a direct threat to their livelihood. Many argue they are operating legally under the provisions of the 2018 Farm Bill and that the state is overstepping its authority. The coming weeks will likely see legal challenges from the hemp industry as it fights to keep its products on shelves.
The Path Forward
Attorney General Bailey's plan involves a coordinated effort with law enforcement agencies across Missouri to ensure these unregulated products are removed from sale. While specific tactics have not been fully detailed, actions in other states have included sending cease-and-desist letters to businesses, seizing products, and pursuing legal action against non-compliant entities.
This enforcement action in Missouri reflects a growing trend, as regulators nationwide grapple with the unintended consequences of the 2018 Farm Bill. States like New York, Virginia, and Colorado have already taken legislative or regulatory steps to close the loophole and bring all intoxicating THC products under a single, unified regulatory system.
As Missouri moves forward with its crackdown, the focus will remain on the legal and regulatory battles ahead. The outcome will not only reshape the state's cannabis marketplace but also serve as a key test case in the ongoing national effort to define the boundaries between legal hemp and intoxicating cannabis.