Proposed HEMP Act would create federal CBD pathway as hemp industry faces regulatory crossroads

"This new system must prioritize consumer safety through a foundation of rigorous scientific assessment and fit-for-purpose analytical testing methods — principles we view as essential for both protecting consumers and ensuring feasible compliance for responsible producers," said AHPA president & CEO Graham Rigby.
"This new system must prioritize consumer safety through a foundation of rigorous scientific assessment and fit-for-purpose analytical testing methods—principles we view as essential for both protecting consumers and ensuring feasible compliance for responsible producers," said AHPA President & CEO Graham Rigby. (Getty Images)

A bipartisan bill in the U.S. House of Representatives introduced on Jan. 22 could establish the first comprehensive federal regulatory framework for hemp-derived products intended for human consumption.

Introduced by Congressman Morgan Griffith (R-VA), Chairman of the House Committee on Energy and Commerce Subcommittee on Health, and Congressman Marc Veasey (D-TX), the Hemp Enforcement, Modernization, and Protection (HEMP) Act would direct the Food and Drug Administration (FDA) to regulate cannabidiol and other hemp-derived ingredients through formal rulemaking.

Federal clarity for hemp-derived products

Under the proposal, FDA would be required to initiate a rulemaking process to establish milligram limits for CBD products. If the agency does not finalize rules within three years of enactment, statutory limits would automatically take effect at 5 mg per serving and 30 mg per package.

In a statement following the bill’s introduction, Griffith said, “I am proud to lead the effort in the House along with Representative Veasey to present a path forward for the federal regulation of CBD products,” adding that after discussions with stakeholders and federal officials, he believes “the HEMP Act is a positive step forward to deliver federal clarity to the American hemp landscape, protecting consumers and providing a stable marketplace for legitimate producers.”

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The legislation applies only to hemp-derived products and explicitly excludes high-THC cannabis (marijuana) from the regulatory pathway. Cannabis scheduling remains unclear and under review following President Trump’s December executive order reviewing the drug’s potential shift to Schedule III.

Guardrails and manufacturing standards in focus

Industry groups have long pressed FDA to act on hemp-derived products following passage of the 2018 Farm Bill. Speaking to NutraIngredients, Jonathan Miller, general counsel of the U.S. Hemp Roundtable, said the bill could finally compel agency action.

“We have been asking the FDA to robustly regulate hemp products since the 2018 Farm Bill passed,” Miller said. “The most important elements of a regulatory framework include providing good manufacturing practices, truth in labeling, third party testing, banning misleading packaging and ensuring that sales being strictly limited to adults over 21.”

Miller explained that the current lack of federal standards has forced companies operating intrastate to struggle with inconsistent rules that can raise costs and compliance risk.

“We support the HEMP Act in providing national uniformity on issues such as manufacturing standards and labeling,” he said, noting that “the 50 state patchwork on those issues causes confusion and disruption for those companies that operate across state lines.”

Extension critical for 2026 season planning

The bill arrives as the industry also awaits clarity on a provision in the November 2025 government funding package that would effectively ban “intoxicating” hemp products starting in November 2026 (the spending bill included a new definition of hemp that only includes Cannabis sativa L. with a total THC concentration of no more than 0.3% on a dry weight basis, which would include industrial hemp). Griffith is a co-sponsor of separate legislation, the Hemp Planting Predictability Act, that would extend the current moratorium by two years if passed.

“If we don’t get an extension, there would be tremendous disruption up and down the food chain, but particularly for farmers,” Miller said. “No one is going to want to grow a crop that might be illegal in November.”

He added that planting decisions for the 2026 season will need to be made well before regulatory outcomes are known.

Scientific rigor and testing standards

Weighing in on the proposed framework, Graham Rigby, president and CEO of the American Herbal Products Association (AHPA), told NI that the organization views the bill as a starting point rather than a finished solution.

“This new system must prioritize consumer safety through a foundation of rigorous scientific assessment and fit-for-purpose analytical testing methods,” Rigby said. He added that any final framework “must include robust cGMP requirements and authoritative testing standards to validate product safety for all product formats.”

Rigby confirmed the AHPA plans to provide detailed feedback to lawmakers as the bill moves forward.

Supply chain impacts and marketplace implications

From a commercial perspective, national operators say the proposed cannabinoid limits and FDA oversight could help parse out product compliance. Thomas Winstanley, EVP and GM of Edibles.com, a national marketplace for hemp-derived THC products, told us the proposal would establish clear dividing lines within the category.

“While the proposed limits are not perfect, they do achieve the most important objective: clearly distinguishing regulated, responsible products from the untested, synthetic, or illicit items that undermine consumer confidence,” Winstanley said.

He added that federal standards could unlock longer-term planning and investment across the supply chain.

“For farmers, processors and CPG brands, the most immediate change would be increased certainty,” he said, explaining that clarity around compliance could support scale, R&D and more consistent interstate commerce.

The bill has been circulated as a discussion draft for several months, and its sponsors have indicated they expect further revisions based on stakeholder input as the legislative process continues.