Why it matters: A new cannabis law in Minnesota legalizes recreational marijuana and sets regulations for low-dose hemp-derived THC drinks, which has industry leaders excited about potential opportunities.
What they are saying: Industry leaders welcomed the new regulations and sought more controls for THC-infused drinks as part of the cannabis bill. The tax and regulatory framework for hemp-derived products and recognizing the difference between hemp and marijuana products allowed small breweries to have a foot in the door and stay in the door.
The big picture: Minnesota became the 23rd state to legalize recreational cannabis, which allows adults aged 21 and older to use and possess cannabis. The measure establishes a regulatory framework to set up a legal retail pot market and expunges or resentences previous cannabis-related convictions. It is seen as a way to strengthen communities and advance justice while expanding the economy and creating jobs.
What to watch: The new law imposes a 10% state tax on hemp-derived beverages, and distinguishing the difference between hemp-derived products and those made from marijuana. It is unclear how these regulations will impact the craft brewing industry and low-dose hemp-derived market in Minnesota.
Takeaway: This new cannabis law presents an opportunity for the craft brewing industry in Minnesota and the low-dose hemp-derived market. As more states legalize recreational cannabis, the industry will grow, creating opportunities for businesses and job growth. However, it remains to be seen how regulation and taxation will impact these markets and those operating within them.
