Big Alcohol Is Now Fighting to Keep Hemp THC Drinks Legal

For years, the alcohol industry tracked hemp and cannabis beverages as a competitive threat. Analysts debated how much market share these products might capture, and whether a new generation of consumers would swap their six-packs for hemp seltzers. Now, some of the biggest names in beverage retail are doing something that reframes that entire conversation: lobbying to keep hemp THC drinks on shelves.

The Beverage Alcohol Merchants Coalition, better known as BAMCO, released a statement Monday, praising the Senate’s inclusion of a hemp delay provision in its continuing resolution. The coalition represents major retailers including Total Wine & More, BevMo! by Gopuff, ABC Fine Wine & Spirits, and Spec’s Wine, Spirits & Finer Foods.

Their position is straightforward: low-dose hemp THC beverages belong in the established three-tier alcohol distribution system, not on a prohibited substances list. The fact that they’re willing to say so publicly says a lot about where this category is headed.

The Senate Continuing Resolution creates an important opportunity to achieve meaningful hemp regulation.

We commend the Senate, the White House, and congressional leadership for their commitment to finding a consumer-focused solution.

While significant work remains, BAMCO is…

— BAMCO (@BAMCOpolicy) August 3, 2026

What Did the Senate Actually Do on Hemp THC Beverages?

Senate Appropriations Committee leaders released a continuing resolution on August 2nd, that includes Section 2019, a provision that would delay the federal hemp THC ban from November 12 to December 11, 2026. The underlying law, Section 781 of Public Law 119-37, redefined hemp so that only products containing 0.4 milligrams of total THC per container remain federally legal after November 12. That threshold is a significant drop from the 2018 Farm Bill standard, which allowed hemp derivatives containing less than 0.3 percent delta-9 THC on a dry-weight basis.

The Senate delay applies to most plant-derived hemp cannabinoid products. It does not cover synthetic cannabinoids that the Cannabis sativa L. plant cannot naturally produce. Those still face recriminalization on November 12 regardless of how the vote turns out.

Twenty-nine days is not a permanent solution. But it buys Congress time to negotiate something more durable, and that is exactly what BAMCO is pushing toward.

Why Would Alcohol Retailers Back Hemp THC Drink Regulation?

This is the part that raises eyebrows, and for good reason. The same retail sector that once monitored cannabis beverage sales as a threat to its customer base is now actively lobbying to keep those products accessible. That shift does not happen by accident.

The simpler explanation is that customers already made the decision.Licensed retailers that sell alcohol began stocking hemp THC drinks, and consumers took notice. Retailers did not manufacture that demand. They adapted to it. At this point, supporting federal regulation of hemp THC beverages is less of an ideological stance and more of a response to what their customers are already doing.

BAMCO spokesman Jonathan Grella stated: “Responsible retailers have earned the public’s trust by safely selling age-restricted products for generations. Low-dose hemp beverages belong in that proven system, where consumers can have confidence that products are sold responsibly under clear and enforceable rules.”

The coalition has been consistent about the kind of regulation it wants: adult-only sales, low-dose serving limits, mandatory testing and labeling, distribution through licensed wholesalers and retailers, appropriate taxation, and flexibility for states within a clear federal structure.

How Big Is the Hemp THC Beverage Market Being Discussed Here?

Industry groups estimate the hemp-derived cannabinoid market hit approximately $11 billion in 2025, with analysts projecting growth toward $47 billion by 2032, before the new restriction became law. The same groups estimate approximately 95 percent of hemp-derived cannabinoid products would become federally unlawful under the 0.4 milligram per container threshold if no congressional fix passes.

According to President Trump’s own public statements on the matter, one in five American adults used hemp-derived CBD in the past year. That kind of consumer base does not disappear when products are banned.

For BAMCO and its members, that reality is part of the calculation. Supporting federal hemp THC drink regulation through the alcohol distribution system keeps this product category within a compliance framework they already operate inside, rather than watching it migrate to less accountable channels.

What Does BAMCO’s Support Mean for the Hemp Beverage Industry?

BAMCO’s advocacy carries weight because it connects hemp THC beverages to a distribution network that already exists and already functions under strict legal standards. The coalition is not asking Congress to build something new. It is asking lawmakers to extend an existing, accountable system to cover a product category that has already gone mainstream.

Other major players have landed in a similar place. The National Restaurant Association sent a letter to congressional leaders urging a delay of the federal hemp THC recriminalization and a shift toward a consumer safety framework. Target moved to expand hemp THC drink sales into additional states. These are businesses that move carefully on regulatory questions. The convergence of their positions says something about where the industry is heading.

For hemp beverage producers, BAMCO’s position is practically significant. Joining the three-tier alcohol system would give hemp beverage companies access to established wholesale and retail relationships, clearer compliance expectations, and a distribution infrastructure that handles age verification and product accountability at scale.

What Needs to Happen Before Hemp THC Drinks Gain Formal Protection

The Senate continuing resolution is not law yet, and the path forward involves a few real friction points. The House passed its own version of the continuing resolution last month without including any hemp provisions. Before the Senate language takes effect, the Senate must pass its bill, the House must accept the hemp delay or negotiate a compromise, and the president must sign it. None of those steps are guaranteed.

Republican Senator Ted Budd has introduced an amendment aimed at stripping the hemp extension from the continuing resolution entirely, describing the products as “unregulated, dangerous intoxicants.” His opposition reflects a genuine divide in Congress over how to handle hemp THC products, and it signals that the Senate vote will not be without pushback.

Several longer-term legislative proposals are also in circulation. Rep. Andy Barr (R-KY) filed a bipartisan bill to prevent federal hemp recriminalization while establishing a regulatory framework covering manufacturing, labeling, sales, taxation, and a 21-year age limit. The bill is cosponsored by Rep. Angie Craig (D-MN). Rep. James Comer (R-KY) is circulating a separate proposal with similar components.Sens. Tim Sheehy (R-MT) and Amy Klobuchar (D-MN) plan to introduce a Senate companion to Barr’s bill.

None of those have cleared committee. The December funding deadline is now the most realistic window for a broader hemp fix to gain traction in a spending package.

What the Alcohol Industry’s Pivot Tells Us About the Cannabis Beverage Market

There is a larger signal here in BAMCO’s position thats worth paying attention to. When major alcohol retailers stop treating hemp THC beverages as a competitive threat and start treating them as a product category worth protecting, it reflects a shift in how the market is actually functioning on the ground.

BAMCO framed its statement plainly: “For too long, policymakers have been faced with a false choice between an unregulated marketplace and prohibition.” That framing reorients the debate away from whether hemp THC beverages should exist and toward how they should be governed. It also positions the alcohol retail sector as a solution rather than an obstacle.

That positioning is not neutral. Alcohol retailers have decades of experience managing age-restricted products, handling compliance, and working within multi-tier regulatory structures. Their argument, essentially, is that hemp THC beverage regulation does not require policymakers to invent new systems. The infrastructure is already there.

What Hemp Consumers and Industry Players Should Watch for Next

If the Senate continuing resolution passes as written and the House accepts the hemp delay language, the immediate deadline shifts to December 11, 2026. That window gives hemp businesses roughly six weeks to manage inventory, supplier contracts, and retail distribution agreements under the current framework.

Jonathan Miller, general counsel for the U.S. Hemp Roundtable, called the Senate move potentially the industry’s biggest win since the 2018 Farm Bill legalized hemp, but stressed that the advocacy work is far from over. “We will be deeply engaged in ensuring that the current language is retained through the Senate and House CR votes,” Miller said.

For consumers, the bottom line is that hemp THC beverage access at licensed retailers remains intact for now. What happens after December depends on whether Congress uses the funding negotiations as the vehicle for a more permanent regulatory framework.

BAMCO’s retailers are already operating under that assumption. Their public alignment behind federal hemp THC drink regulation , rather than staying quiet or opposing it — may prove to be one of the most consequential developments in this policy fight.

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