Mandy
Kansas has emerged as one of the top five hemp-producing states in the United States. But a recent federal policy change could significantly disrupt this progress.
A new regulation, added to the federal spending bill that prevented a government shutdown, introduces stricter rules for consumable hemp products, placing Kansas farmers and processors at risk.
Producers warn that if the rule becomes effective in November 2026, the state’s fast-growing hemp sector—already weakened by reduced CBD demand—could face severe setbacks or collapse entirely.
Federal Law Change Sparks Industry-Wide Concerns
Stricter THC Limits Could Halt Kansas Hemp Businesses
The updated law imposes a 0.4-milligram THC limit per container for all hemp-derived consumable goods.
While the goal is to stop intoxicating hemp-based THC items from reaching the market, Kansas growers argue the rule unintentionally jeopardizes non-intoxicating products such as CBD items, which do not cause a “high.”
Businesses Could Shut Down
Heath Martin, owner of Kancanna and Butler Hemp Co., said the revised limit would wipe out his entire operation.
“My business would cease to exist,” he said.
Even though Kansas does not allow recreational marijuana, hemp-derived THC items with intoxicating effects have appeared on store shelves, prompting federal intervention.
However, the strict threshold may be impossible for traditional hemp farmers to meet.
Kelly Rippel, co-founder of Kansans for Hemp, warned that only research labs and pharmaceutical-grade processors could realistically comply.
Impact On Kansas Hemp Products
Industrial Hemp Makes Up Majority Of Production
When hemp became federally legal in 2018, Kansas saw a wave of growers enter the market.
While the CBD boom later cooled, most Kansas producers shifted to industrial hemp, especially fiber and grain.
Today, over 87% of Kansas hemp is processed into non-consumable products such as:
- Rope
- Clothing fiber
- Industrial textiles
These categories are not the main target of the federal rule. Yet, the negative perception surrounding hemp has already created hesitation among buyers.
Customers Growing Nervous
Sarah Stephens, CEO of Midwest Hemp Technologies, said she has already received calls from concerned clients.
Some potential buyers now refuse to carry hemp grain products due to the “political climate,” despite those items having no intoxicating effect.
Only around 9% of Kansas hemp ends up in consumable CBD products, but even that small portion plays a crucial role in the local economy.
Martin said fear and confusion are hurting businesses even before the law changes.
“There’s never been good clarification… on exactly what products are legal,” he said.
Kansas Hemp: A Rapidly Growing National Player
State Ranked Fifth In Hemp Production Nationwide
According to Braden Hoch from the Kansas Department of Agriculture, local farmers planted the fifth-largest hemp crop in the United States this year.
Advocates say the state is positioned to lead the national hemp fiber and grain market—if supportive regulations remain in place.
Stephens emphasized that Kansas has the potential to guide national hemp growth, but only with “thoughtful and science-based” policy decisions.
What Happens Next?
Kansas Lawmakers Must Decide How To Implement Federal Rule
The federal law requires adoption at the state level. While Kansas legislators are expected to follow the mandate, they still have authority to interpret and administer the rule in ways that protect local growers.
Rippel said he has pushed for nuanced state hemp laws for six years. Without careful state-level guidance, the vague federal update may push businesses to leave Kansas—or shut down entirely.
“They will kill industries here,” Rippel warned.
The Kansas hemp industry—now one of the strongest in the country—is at a critical juncture.
The new federal THC limit aims to curb intoxicating hemp products, but its unintended consequences could devastate an agricultural sector that primarily focuses on non-intoxicating and industrial uses.
Without clear protections or flexible implementation at the state level, Kansas farmers, processors, and retailers risk losing their investments and momentum.
Thoughtful policymaking will determine whether Kansas continues advancing as a national leader in hemp—or watches its hard-won progress collapse.
FAQs
What is the new federal THC limit for hemp products?
The updated law restricts all consumable hemp products to 0.4 milligrams of THC per container, regardless of whether they cause intoxication.
Will industrial hemp products like fiber and grain be banned?
No. The rule targets consumable items, but farmers fear the negative perception will still reduce demand for industrial hemp.
When will the new regulation take effect?
The change is expected to take effect in November 2026, unless modified by future federal or state decisions.