New Jersey lawmakers have placed products containing intoxicating hemp substances under the same rules as those governing state-legal marijuana operators and halted their sale until formal approval from cannabis regulators.
The move is part of a broader effort by the state to control the illicit market for hemp-derived intoxicants. Gov. Phil Murphy last week signed legislation that places the products, which have flourished unregulated, under the jurisdiction of the New Jersey Cannabis Regulatory Commission (CRC).
“These products are sold outside of the regulated market for cannabis even though they can have similar effects, may contain harmful chemicals and other contaminants, and often are sold without appropriate testing and labeling,” Murphy said in a statement. “Too frequently, these products are readily available to minors. The status quo is untenable and this bill will put an end to it.”
By incorporating intoxicating hemp products into the state’s legal marijuana market, officials hope to eliminate competition from unregulated sources and ensure that all intoxicating products meet the same standards. Lawmakers cited concerns over quality and safety, especially among minors.
Health concerns
Some intoxicating hemp products have been linked to adverse health effects. Unlike state-regulated marijuana products, which must undergo rigorous testing for contaminants and potency, hemp-derived intoxicants have largely escaped such oversight, with producers exploiting a loophole in federal law.
The 2018 U.S. Farm Bill, which legalized industrial hemp farming and all downstream products, did not anticipate the development of intoxicating substances derived from hemp, most of which are lab-created based on hemp-derived CBD. Many are synthetic forms of THC, the substance that triggers psychoactive effects in users.
States across the U.S. are working to regulate intoxicating hemp products, with some banning them altogether and others imposing strict rules. Officials in some states have opposed the products because they are marketed in packaging that mimics popular treats for children.
“Without regulation, we cannot ensure that these products are safe for consumption,” said Assemblyman Herb Conaway, a lead sponsor of the New Jersey bill. “The way delta-8 (THC) and similar substances have flooded the market is alarming, especially since these products are often packaged in ways that appeal to children.”
Weed standards apply
Under the new law, hemp-derived products containing THC in levels high enough to produce intoxication must now adhere to the same safety, testing, and packaging standards as marijuana. These standards include limits on THC content, child-resistant packaging, and clear labeling requirements.
“There’s a reason why marijuana products are subject to strict oversight,” said Ken Wolski, executive director of the Coalition for Medical Marijuana of New Jersey. “We need the same standards to apply to intoxicating hemp products to ensure consistency and consumer safety.”
Retailers and manufacturers dealing in intoxicating hemp products will now have to navigate the state’s marijuana regulations, which are more stringent and require licenses that many current hemp businesses do not hold.
Changes cheered
Medical and recreational marijuana interests have supported the crackdown on intoxicating hemp producers, suggesting they represent unfair competition because they are not required to meet the stringent guidelines and costly fees under which licensed marijuana companies operate.
The sale of products containing intoxicating hemp will remain paused to allow the Cannabis Regulatory Commission time to develop a comprehensive regulatory framework that ensures consumer safety without stifling the hemp industry, the agency said.
‘True’ hemp under NJDA
“We understand the concerns of both consumers and businesses, and we are committed to creating a regulatory environment that protects public health while allowing for innovation and growth within the cannabis and hemp industries,” the CRC said in a statement last week.
Under New Jersey rules, only adults aged 21 and over are permitted to purchase, possess, and consume intoxicating cannabis products. Retail sales are controlled by the CRC, which requires licenses to operate dispensaries, cultivation, and processing facilities. Consumption is restricted to private property, and public use is prohibited. Home cultivation of marijuana plants for personal use is not allowed.
The New Jersey Department of Agriculture (NJDA) retains licensing and regulatory oversight of hemp operators in the grain and fiber subsectors.