Minnesota Health Officials Caution Against Illegal High-Potency Hemp Products

2.2 min readPublished On: December 22nd, 2023By

LOS ANGELES- The Minnesota Department of Health has issued an urgent warning to consumers regarding the sale of unregulated and illegal cannabis products that exceed the state’s THC potency limits. Despite legalizing recreational cannabis earlier this year, Minnesota does not expect state-licensed cannabis dispensaries to open until possibly early 2025, leaving a regulatory gap that some retailers are exploiting.

From August to November, the health department inspected 167 retailers offering hemp-derived cannabinoid products. The findings were alarming: approximately 39% of the shops were found to be selling illegal high-potency products. Minnesota law stipulates that hemp edibles and beverages must not exceed 5 milligrams of THC per serving and 50 milligrams per package. However, some of the illegal products being sold contained hundreds, even thousands, of milligrams of THC per package, significantly overshooting the legal limit.

The health department’s bulletin highlighted the dangers of these high-dose hemp-derived products, which could lead to severe health consequences, including unresponsiveness, seizures, or psychotic episodes.

Garry Bowman, a Department of Health spokesperson, reported that over 70% of the inspected retailers had deficiencies, including incorrect labeling or product placement. Before this year, Minnesota’s market for hemp-derived cannabinoid products was largely unregulated, with numerous untested and potentially harmful products on the shelves.

The Department of Health gained authority this summer to inspect businesses and ensure compliance with testing requirements, dosage limits, and packaging laws. Despite these efforts, the Minnesota Department of Revenue reported that it collected nearly $3.4 million in taxes on cannabis products from July to October, indicating a substantial market for hemp THC edibles and beverages in the state.

The Office of Medical Cannabis, a new state agency under the Department of Health, conducted the inspections. Chris Elvrum, the office’s assistant director, was not surprised by the prevalence of high-potency hemp products in the state, attributing it to the lack of regulation in the marketplace.

The department, initially operating with only one inspector, has now expanded its staff to more effectively inspect the approximately 3,000 registered businesses in Minnesota that sell or manufacture hemp products. Future inspections will focus on businesses most likely to sell non-compliant hemp products, such as smoke shops and some convenience stores.

When illegal products are discovered, retailers are required to destroy them immediately or prepare them for monitored destruction. Retailers selling illegal hemp THC products face fines of up to $10,000 per incident. The same fine applies to businesses selling hemp products without proper state registration.

Elvrum mentioned that while penalties have not been imposed yet for non-compliance, repeated violations could lead to fines. The health department’s proactive approach aims to safeguard consumers and uphold the state’s cannabis regulations, especially in the absence of operational state-licensed cannabis dispensaries.

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The News Team at Highly Capitalized are some of the most experienced writers in cannabis and psychedelics business & finance. We cover capital markets, finance, branding, marketing and everything important in between. Most of all, we follow the money.

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