Iowa Imposes Stricter Limits on Hemp-Derived THC Products

2.1 min readPublished On: May 20th, 2024By

LOS ANGELES- Iowa Governor Kim Reynolds signed multiple bills into law on Friday, including House File 2605, which aims to close loopholes in state and federal hemp laws. This bill imposes new restrictions on hemp-derived consumable products containing THC, such as Delta-9 drinks and gummies.

New THC Limits

Previously, Iowa residents could legally purchase hemp products with less than 0.3% THC by volume, allowing for significant THC content in larger quantities. The new law limits consumable hemp products to a maximum of four milligrams of THC per serving and 10 milligrams per container. Products exceeding these limits will be illegal for sale in Iowa.

Governor Reynolds acknowledged the controversy surrounding the bill, stating, “I have concerns about this bill and have heard from individuals and groups on both sides of the issue. Ultimately, I am signing it into law to protect minors from dangerous and intoxicating products. At the same time, we’ve taken steps to ensure that children who are resistant to medications and suffer from seizures and other medical conditions continue to have access to consumable hemp alternatives for relief.”

Legislative Support and Opposition

The measure received bipartisan support, passing the state House with a 79-16 vote in March. Representative Steven Holt, who managed the bill, emphasized the importance of prioritizing public safety. “I would respectfully ask that we put the safety and well-being of our citizens and our amazing state first in this discussion,” Holt stated. He clarified that lawmakers never intended to legalize intoxicating products when they approved the Iowa Hemp Act.

Industry Reaction

The new restrictions have not been welcomed by all. Retailers and brewers who sell THC-containing products have expressed dissatisfaction with the stricter regulations. These businesses argue that the new limits could negatively impact their sales and product offerings.

As changes in cannabis and hemp laws continue to evolve, industry stakeholders are encouraged to stay informed. The Benzinga Cannabis Capital Conference, set for October in Chicago, will provide an opportunity to hear from key industry players and policymakers about the future of the cannabis industry. Interested individuals can purchase tickets through the event’s official link.

Iowa’s new law represents a significant shift in the regulation of hemp-derived THC products, aiming to balance public safety concerns with medical needs. While the legislation has garnered substantial support from lawmakers, it faces opposition from segments of the industry affected by the tighter restrictions. The ongoing dialogue and upcoming industry events will likely continue to shape the future landscape of cannabis and hemp regulation in Iowa and beyond.

About the Author: HCN News Team

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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