LOUISVILLE, Ky. (WDRB) — Cornbread Hemp celebrated a new, state-of-the-art production facility and hemp tourism experience on Monday even as the future of the industry faces a federal ban on most hemp products.
A provision in November's government shutdown-ending bill bans hemp products like CBD oils, gummies, seltzers and more. The measure targets products with any detectible amount of THC, including non-intoxicating, full-spectrum CBD that is currently legal. The ban will take effect in late 2026.
Supporters of the industry warn the change would re-criminalize large portions of the hemp market nationwide, disrupt interstate commerce and force farmers to abandon crops they are already planning to plant in 2026.
Against that backdrop, Cornbread Hemp cut the ribbon on its new state-of-the-art facility in Louisville.
Sen. Rand Paul, R-Kentucky, attended the event and sharply criticized the federal action, calling it an existential threat to a Kentucky-grown industry.
"We are working on new legislation, but I've got to convince my colleagues to change their opinion," Paul said.
It's not clear, yet, what new legislation could look like to pave the way forward for the booming hemp industry, but there are ideas.
One suggestion Paul made Monday insisted that the federal government leave regulation up to the states.
U.S. Sen. Rand Paul attended Cornbread Hemp's ribbon cutting and sharply criticized the federal ban, calling it an existential threat to a Kentucky-grown industry.
"I think one of the ways we may be able to get this new legislation passed is simply not to set exact federal parameters, but say, look, your state already regulates hemp, why don't we let your state make these decisions, not the federal government?" he said, also citing concerns about shipping across state lines.
Industry leaders, like Cornbread Hemp's co-founder, Jim Higdon, believe Congress may be willing to explore new legislation that re-opens the door for products with low amounts of THC.
“The five milligrams per serving seems like something that Congress is prepared to think about,” he said.
"But one way of avoiding that completely would be my idea is just to let each state do what they want," Paul said.
The provision in the shutdown-ending bill bans any hemp product containing more than 0.4 milligrams of THC per container, which includes every product made at Cornbread Hemp and more than 97% of the hemp products produced in Kentucky.
The ban takes effect one year from the passage of the bill, which means it would begin in November 2026.
Industry leaders and Paul emphasized the importance of Congress either acting swiftly on new legislation or pushing back the date of the ban by another year.
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