Adding THC Drinks To Your Product Portfolio? Stay Aware of Shifting Regulations

How can brands navigate changing THC Drink regulations while expanding their product portfolios?

Previously considered a niche product, THC drinks are carving out a dedicated consumer base for themselves. Mintel data found that heightened consumer interest in customization, discretion, and wellness contributed to a 7% increase in drinkable usage between 2023 and 2024. ¹

While there are beverages with cannabis-derived THC, much of this category’s success comes from the use of hemp-derived cannabinoids. This is legal under the 2018 Farm Bill, but there is currently no federal agency controlling the post-production process of hemp or hemp products. In response, many states are taking it upon themselves to regulate intoxicating hemp products, including THC drinks. 

Some states have implemented complete bans, while others simply require adherence to existing food safety regulations. This shifting landscape of state-specific regulations directly impacts THC drink manufacturers, but that doesn’t mean this product category isn’t still bursting with opportunity.

The critical question is whether brands can successfully navigate ever-changing state regulations while expanding their product portfolios. Is it possible? Is it worth it? Yes, and yes. Keep a weather eye on relevant state regulations, ensure products comply, and keep products on shelves for thirsty customers.

California

According to the California Department of Public Health, “Retail sale of hemp food, beverage, and dietary products containing detectable amounts of THC is now unlawful and those products must be removed from the retail marketplace.”² That means THC beverages manufactured with hemp-derived THC are strictly prohibited. 

However, this doesn’t ban hemp-derived CBD drinks without intoxicating cannabinoids, and it doesn’t influence retail sales at dispensaries. “The regulations do not impact the sale of any cannabis products. Cannabis products, including products purchased for medical use and products with CBD and THC, will remain for sale at cannabis dispensaries.”

Summary: Hemp-derived THC drinks are a no-go in California. Cannabis-derived drinks, however, can still be sold at dispensaries.

Iowa

Despite several attempts to block the new law, Iowa’s new hemp laws went into effect in July of 2024. “House File 2605 creates a limit of 4 milligrams of THC per serving for consumable hemp products like drinks or gummies, and a 10 mg THC limit per container.”³ Also, it requires warning labels on hemp products, and consumers must be 21 or older to purchase.

This required several drink manufacturers to quickly pivot to comply with the new laws. The Gazette reported, “Previously, the THC-infused drinks produced by Climbing Kites, which are sold by Lua Brewing and Big Grove Brewery, came in 12-ounce cans containing 10, 5 and 2.5 milligrams of THC. The new products now come in two versions, with 4 milligrams and 2.5 milligrams of THC, in multiple flavors.”⁴

Summary: Drinks with hemp-derived THC are legal in Iowa, but there are strict dosing limits.

Massachusetts

In May of 2024, the Massachusetts Alcoholic Beverages Control Commission (ABCC) released a statement explaining that manufacturing and selling food or beverages (both alcoholic and non-alcoholic) with hemp-derived CBD and/or THC was unlawful outside of establishments licensed and regulated by the Cannabis Control Commission. 

The statement explains that “These products must be taken off the shelf immediately. Any licensee found in violation of importing, manufacturing, transporting, selling, and/or possessing on its licensed premises food and/or beverages containing hemp derived CBD and/or THC faces potential suspension or revocation of its license.”⁵

They did, however, emphasize that the advisory only applies to hemp-derived products and does not influence cannabis products that the Massachusetts Cannabis Control Commission regulates.

Summary: Want to sell THC drinks in Massachusetts? Stick to cannabis-infused beverages that can be sold in licensed dispensaries.

Minnesota

Minnesota has a clear legal framework for manufacturers, retailers, and consumers in regard to hemp and low-dose THC beverages. The Minnesota Office of Cannabis Management specifies that “Products containing THC may contain up to 5 mg of THC per serving and have a maximum of 50 mg of THC per package. Beverages can have up to two servings for a maximum of 10 mg of THC.”⁶

These products cannot contain artificially derived cannabinoids other than delta-8 and delta-9 THC, and synthetic cannabinoids are prohibited. Establishments that register with the state can sell hemp-derived THC beverages. Minnesota was even the first state to allow hemp and low-dose THC drinks to be sold on draft in taprooms.⁷

Summary: Go Minnesota! They have dosing limits and cannabinoid ingredient specifications, but the legal framework is straightforward. This time next year, Minnesota customers could be drinking your THC bevs on tap.

Missouri

After Governor Mike Parson’s previous failed attempt to ban hemp-derived THC edibles and beverages, state health regulators refocused on products that may have violated the Missouri Merchandising Practices Act. Recently, however, the Missouri legislature advanced a bill that would ban the sale of intoxicating hemp edibles and vapes outside of dispensaries, but not hemp-derived beverages.

The Missouri Independent reported that, “The Missouri Cannabis Trade Association (MoCann) proposed an amendment last month to carve out an exception for beverages, such as THC seltzers sold in cans. It capped the amount of THC at five milligrams per can and excluded drinks made with “synthetic” THC, or THC that has been converted from CBD using a chemical process.”⁸

Under the bill, low-dose hemp-derived beverages can continue being sold outside of dispensaries in grocery and liquor stores. However, it’s important to note that the bill has not been finalized and changes could still be made.

Summary: Dispensary sold cannabis beverages are in the clear, but keep an eye out for updates on hemp-derived drinks.

New Jersey

Senate Bill No. 3235 banned the unlicensed sale of hemp products, including beverages made with hemp-derived THC, until the New Jersey Cannabis Regulatory Commission (NJCRC) could create rules and regulations for them.⁹ THC beverage makers challenged the ban in court and won a temporary reprieve that allows products to remain on store shelves while the case was reviewed.

A recent court filing, however, has prompted negotiations between hemp companies and state officials.¹⁰ Hemp companies argued that the bill was unconstitutionally vague and it “would effectively criminalize many hemp cultivators, manufacturers, and retail shop owners.”¹¹

Each party must file a status report every 60 days to the judge regarding any developments. For the moment, the age requirement and ban on products that aren’t derived from “naturally occurring biologically active chemical constituents” are being enforced.

Summary: Stay tuned! If enacted, the new law will require hemp businesses to apply for licenses through the state Cannabis Regulatory Commission.

Texas

Despite the illegal status of recreational cannabis in Texas, it is currently legal to sell hemp-infused drinks as long as all of the proper licensing requirements are met. Bars can even sell these drinks as packaged products or mixed with alcohol, although the Texas Alcoholic Beverage Commission (TABC) notes that there aren’t any prepackaged, alcoholic THC-infused products on the market.

However, Lieutenant Governor Dan Patrick publicly supports banning all consumable forms of THC from being sold in Texas. At the end of 2024, he issued a statement announcing legislation to ban all forms of consumable Tetrahydrocannabinol (THC), and he recently emphasized public survey results showing that more than half of Texans support tighter regulations for hemp products.¹²

Conversely, that same survey found that “even more Texans want the state to legalize and regulate marijuana for both medical and adult use.”¹³ Currently, only patients diagnosed with one or more specific conditions qualify for medical cannabis, and “Medical use of these substances is limited to swallowing, not smoking, the prescribed dose of low-THC.”¹⁴  

Summary: The general consensus from Texans seems to support both hemp-derived and cannabis-derived THC drinks, but legislative discussions are still ongoing. For the moment, the biggest opportunity is in hemp-derived THC Drinks.

Wisconsin

In the state of Wisconsin, recreational and medical cannabis is currently illegal. When it comes to products with hemp-derived THC, however, there are no specific regulations. Products must meet existing food and safety requirements, comply with the 2018 Farm Bill, and food products with hemp aren’t considered adulterated as long as they’re made and sold within the state.

While there have been recent attempts to legalize medical cannabis in Wisconsin, “the GOP-controlled legislature has so far failed to pass even limited medical cannabis legislation, even the conservative bill filed last January.”¹⁵ For now, however, hemp-derived THC beverages are entirely legal.

Summary: Want to manufacture and/or sell hemp-derived THC drinks in the state of Wisconsin? As long as you follow their rules, you’re good to go.

Formulate The Best-Tasting THC Drinks with Abstrax

At Abstrax Hops, we provide novel solutions for beverage manufacturers looking to streamline, innovate, and gain a competitive edge. With our knowledge, technology, and extensive resources, we’ve crafted our collections to provide recognizable flavors and aromas that help formulate THC drinks consumers love.

The Skyfarm Series makes it easier than ever to add vibrant fruit flavor top notes to hemp-infused drinks, seltzers, NA beverages, and more. Crafting an inventive THC drink? Our BrewGas Series will infuse any beverage with true-to-type “dank” cannabis flavors with no cannabinoids like THC or CBD. Get all of the flavor and none of the legal headache.

We also recognize that creating a successful, consumer-friendly product sometimes means formulating flavors that have never been seen before. Contact us today, and let’s create the best-tasting THC drinks the industry has ever tasted.

1. Scott, Michelle. (2024, October 17). Cannabis in Food and Drink – US – 2024. [Market Report]. Mintel. https://www.mintel.com/

2. California’s Ban on Intoxicating Hemp Products Now in Effect. California Department of Public Health. (2024, September 24). https://www.cdph.ca.gov/Programs/OPA/Pages/NR24-26.aspx

3. Opsahl, R. (2024, July 1). Here Are Some of the New Laws That Take Effect July 1 in Iowa. Iowa Capital Dispatch. https://iowacapitaldispatch.com/2024/07/01/here-are-some-of-the-new-laws-that-take-effect-july-1-in-iowa/

4. Barton, T. (2024, August 4). New Iowa Law Means New Drinks from THC Beverage Makers. The Gazette. https://www.thegazette.com/state-government/new-iowa-law-means-new-drinks-from-thc-beverage-makers/#:~:text=The%20law%2C%20which%20took%20effect,must%20include%20a%20warning%20label.

5. Lorizio, J. M. (2024, May 30). Alcoholic Beverages Control Commission (ABCC) Advisory Regarding Food and Beverages Containing Hemp Derived CBD and/or the On Licensed Premises. Commonwealth of Massachusetts. https://www.mass.gov/doc/abcc-advisory-regarding-food-and-beverages-containing-hemp-derived-cbd-andor-thc-on-licensed-premises/download

6. Frequently Asked Questions For Consumers. Office of Cannabis Management. https://mn.gov/ocm/consumers/cannabinoid-products/faq/#:~:text=Products%20containing%20THC%20may%20contain,of%20THC%20in%20different%20forms.

7. Jackson, Z. (2024, July 12). THC Seltzer Can Now Be Served on Draft in Minnesota Taprooms, and One Brewery Has Already Jumped On It. Star Tribune. https://www.startribune.com/thc-seltzer-can-now-be-served-on-draft-in-minnesota-taprooms/600380269

8. Rivas, R. (2025, February 6). Bills Adding Regulations to Hemp-Derived THC Beverages Advance in Missouri Legislature. Missouri Independent. https://missouriindependent.com/2025/02/06/bills-adding-regulations-to-hemp-derived-thc-beverages-advance-in-missouri-legislature/

9. Bill S3235 Session 2024 - 2025. New Jersey legislature. (2024, May 16). https://njleg.state.nj.us/bill-search/2024/S3235/bill-text?f=S3500&n=3235_S1

10. Loki Brands LLC; Cycling Frog; Cantrip, Inc.; Apollo Sciences; Cannaid; and Legal Leaf New Jersey v. Matthew J. Platkin, Dianna Houenou and Edward D. Wengryn, New Jersey Monitor (UNITED STATES COURT OF APPEALS FOR THE THIRD CIRCUIT January 9, 2025). Retrieved March 10, 2025, from https://newjerseymonitor.com/wp-content/uploads/2025/01/1-9-25-Hemp-lawsuit-potential-deal.pdf. 

11. New Jersey Hemp Companies in Negotiations with State Officials Over New Law Banning Intoxicating Cannabinoid Products. Marijuana Moment. (2025, January 29). https://www.marijuanamoment.net/new-jersey-hemp-companies-in-negotiations-with-state-officials-over-new-law-banning-intoxicating-cannabinoid-products/

12. Lt. Gov. Dan Patrick Launches Major Legislative Initiative to Ban All THC. Lieutenant Governor of Texas Dan Patrick. (2024, December 4). https://www.ltgov.texas.gov/2024/12/04/lt-gov-dan-patrick-launches-major-legislative-initiative-to-ban-all-thc/

13. Adlin, B. (2025, February 6). Texas Lt. Gov. Touts Poll Result Backing Hemp Crackdown While Ignoring Support for Marijuana Legalization in Same Survey. Marijuana Moment. https://www.marijuanamoment.net/texas-lt-gov-touts-poll-result-backing-hemp-crackdown-while-ignoring-support-for-marijuana-legalization-in-same-survey/

14. Texas Medical Marijuana. Texas Medical Marijuana | Texas.gov. https://www.texas.gov/health-services/texas-medical-marijuana/#:~:text=Eligible%20Texans%20have%20access%20to,who%20can%20get%20a%20prescription

15. Jaeger, K. (2025, January 14). Top GOP Wisconsin Senator Says There’s Support for Medical Marijuana Legalization, But State-Run Dispensary Model is a Red Line. Marijuana Moment. https://www.marijuanamoment.net/top-gop-wisconsin-senator-says-theres-support-for-medical-marijuana-legalization-but-state-run-dispensary-model-is-a-red-line/