A billion-dollar industry just bought itself a few more months of legality. On Aug. 4, hundreds of protestors swarmed the legislative building in opposition to a regulatory hemp bill—legislation that would ban almost all THC-infused drinks, gummies and other products in the state. Despite support from law enforcement, lawmakers ultimately backed away from a vote, delaying the issue until after the November election.
And the stakes stretch far beyond gummies. The hemp industry has quietly become a major economic player in NC, meaning a ban would have a detrimental impact on the entire state—not just users. Read: In NC, hemp accounts for a $3.2 billion industry employing upward of 16K residents. “There’s no plan B,” Reilly Dunn, owner of popular local THC bev biz Groovewagon, told RM. “The alternative is do something about it or bust. I have four kids, and if this ban goes through, it’s gonna be bad.”
Undoubtedly, the stalled bill is a big win for the hemp industry (and for democracy)—for now—but THC businesses aren’t out of the woods just yet: The state bill isn’t entirely dead, and the Nov. 12 deadline for a potential federal ban also looms. So what’s next for the NC hemp industry?
“It took a village of hemp advocates and organizations working together to successfully stall a bill that would have shut down North Carolina’s consumable hemp industry,” says Lisa Parker, executive director of the North Carolina Craft Brewers Guild. Though the NC vote is delayed, the House made it clear this is an issue they will be revisiting.
“Folks recognize the current state of our law is not tenable,” says House Speaker Destin Hall (R-Caldwell). “There are basically no rules. Things being sold that shouldn’t be. Things being sold to kids that shouldn’t be sold. The question is what to do about it.”
The NC House may not have to revisit the matter at all if the federal ban goes into effect as currently planned. “Uncertainty remains,” emphasizes Parker, noting that while the industry is grateful to escape the effects of the NC regulatory bill—for now—work still needs to be done on the federal level.
But hemp-related businesses could still be thrown a lifeline. A bipartisan-supported stopgap spending bill making its way through the Senate* would delay the prohibition on most THC products until Dec. 11. If passed, the bill could buy the industry just shy of a month—time advocates hope will be enough to continue lobbying for permanent regulations and age limits, measures the industry says it has long supported.
“Everybody’s on the same page about protecting children, but you can’t do that by just banning the entire thing,” says Adrian Larrea, co-founder of Raleigh-based THC bev co. HAZE. “We all know that Prohibition didn’t work. We should follow in the footsteps of alcohol and tobacco to protect children.”
Larrea maintains the industry is full of “good actors” doing proper testing and enforcing safety regulations—and he wants those practices to become the standard. “If you start to take that away from entrepreneurs and people who are working hard, you will end up handing it over to the black market.”
Come November, lawmakers at both the state and federal levels will once again help decide the future of North Carolina’s hemp industry.
Hemp-derived beverages, gummies and other cannabis products are having a high in Raleigh. But soon, hemp could disappear from NC shelves for good—and the multibillion dollar industry may be toppled at the hands of the NC General Assembly.
The regulatory hemp bill, which now awaits final House approval, contains legislation that would dramatically restrict hemp-derived THC products by adopting the same definition included in the federal ban set to take effect Nov. 12.
Rather than limiting hemp by percentage of THC, the new standard would cap products at just 0.4 milligrams of total THC per package—a threshold industry advocates say would eliminate nearly every hemp product currently on the market.
But whereas the federal government gave business owners and users a years’ notice, NC is fast-tracking the ban. Read: If the bill becomes law, the ban will immediately take effect.
While Congress continues debating whether the federal restrictions should be delayed or revised before November, the NC hemp bill would write those standards into state law—meaning the limits could remain in place here even if federal lawmakers ultimately change course.
That said, Rep. Donny Lambeth, one of the bill’s primary sponsors, said they’re still taking a measured approach. “One of the issues in reviewing this bill is frankly not moving too fast, so we know more about what the federal changes are going to be and [if we should] wait to see what policy changes they mandate,” he says.
Since the 2018 Farm Bill, hemp-derived products have become a substantial part of the local economy in the Triangle, with specialty retailers, bottle shops, breweries and wellness stores alike investing in or creating products that could quickly become illegal to sell under the proposed standard.
Under HB 328, many businesses would have little room to reformulate existing offerings, leaving owners to attempt to overhaul their inventory or potentially rethink their business models altogether.
NC Hemp Shoppe general manager Brandon Chavez says a hemp ban would not only jeopardize local businesses and subtract millions of dollars of economic activity, but it would take away informed adults’ freedom to choose legal, regulated products. “Regulation protects consumers,” Chavez maintains. “Prohibition simply pushes demand into markets the state cannot supervise.”
Fellow local business owner John Boccella of The Hemp Company similarly supports what he calls “sensible” regulation, but remains concerned with the approach lawmakers are taking. He notes that during the last three years, the NC hemp industry has been attempting to get myriad hemp regulations on the books, including a 21-plus age restriction, child-resistant packaging and third-party testing.
“These regulations were introduced and all died in the Senate Rules committee,” he says. “[Now], HB 328 would ban 99% of the products on our shelves, except topical CBD products, and every other retail shelf in NC. It would eliminate the jobs of our 14 full-time employees and almost 20,000 other North Carolinians.”
Supporters of the legislation say tighter restrictions are necessary to curb youth access and close loopholes that have allowed intoxicating hemp products to proliferate with limited oversight. Now, the General Assembly will ultimately decide the fate of the NC hemp industry—and the businesses built around it.
We’ve compiled a list of some of the city’s Black-owned restaurants, shops, fitness centers, arts studios and other businesses for you to shop, savor and support. Here’s to Raleigh’s Black community.
Shop, sweat, spruce up your style and get your self-care on with our retail picks for November.
Dope news! Hemp Generation, Raleigh’s newest hemp-wellness destination, opened its second location offering CBD tinctures, gummies and more—and weed recommend checking it out. 2402 Hillsborough St.
The Trophy Brewing team is back at it again with new concept Maywood Hall & Garden, a chic indoor-outdoor special event space that recently opened just a few doors down from the brewery’s production facility and taproom. Time to get the soiree started! 622 Maywood Ave.
A trio of new businesses has been announced for Smoky Hollow: group fitness and personal training studioHeat Studios; Wilmington-based craft brewery and taproom New Anthem Beer Project; and HUSH Hair Lash Brow, a salon started by two Raleigh creatives. Now you just gotta count down the days until they open… 421 N. Harrington St.
Calling all shopaholics! Casual clothing retailerFaherty will be joining the lineup at Fenton, among a slew of other shops. Inspired by the sun, this apparel shop touts comfort, sustainability and good vibes… and this will be its first proprietary location in NC (!). 855 Cary Towne Blvd., Cary
Got snark? Humorous local custom apparel brand House of Swank has vacated its DTR storefront and moved to Loading Dock – Beryl to host pop-ups through a yet-to-be announced date. 3915 Beryl Road
There’s snow place like the Calvert Holly Springs IcePlex! The state-of-the-art facility set in a 396-acre mixed-use development will feature competition venues with three NHL-regulation ice rinks (!), a boarding school and more. calverticesports.com
Looking to spruce up your next date night? Look no further than Date Night by Design’s custom date boxes, prepared based on couples’ preferences, potential theme and price point. Oh, we love that! @datenightbydesign
Knead to treat yo’self? Get pampered with a facial, spa treatment or body therapy service at the recently opened Synergy Face + Body. Keep calm and spa on. 105 SW Cary Parkway, Ste. 100, Cary
The month of March is for the girls. With Raleigh recently ranking the No. 3 largest U.S. metro for women-owned businesses, our city continues to situate itself as a hub for thriving female-owned enterprises.
In celebration of our local fab females, we’ve compiled a list of can’t-miss women-owned businesses in Raleigh across all sectors—from hospitality and retail to fitness, art and more.
Food & Bev
Ajja 209 Bickett Blvd. Check out our coverage on Ajja here.
*Have or know of a woman-owned small business in Raleigh that isn’t on the list? Good news! We update this list on a regular basis. Email [email protected].
