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Federal hemp ban could upend billion-dollar industry in North Carolina

In a federal lawsuit filed Sept. 16, John Trenton Pendarvis alleges the South Carolina Law Enforcement Division, Department of Agriculture and attorney general’s office all denied him due process after Department of Agriculture officials discovered unreported hemp crops.
Valentin Baciu
/
Pixabay

CBD, hemp and other marijuana products sold in North Carolina are facing a nationwide ban in November 2026 — a ban that could tank the multi-billion-dollar industry. In North Carolina, which ranked sixth nationally in the production of hemp-derived products according to a 2023 study, the ripple could impact over 800 licensed growers and 8,000 industry workers.

North Carolina has been cultivating hemp crops as early as 2017, taking part in a federal pilot program. Later, the passage of the 2018 Farm Bill would set the course for an industry to rapidly expand nationwide. With expansion came head-scratching inconsistencies in federal law and North Carolina state law, with both outlawing marijuana for recreational use. However, a loophole allowed for products with less than 0.3% of THC to be sold through products like gummies, drinks and other products.

In the most recent spending package passed to reopen the government in November, Senator Mitch McConnell (R-KY) sought to close that loophole and effectively ban most hemp-derived products, lowering the threshold to .4 milligrams of THC. Commonly consumed low-dose gummies typically contain 5 to 10 milligrams of THC. McConnell, who authored the 2018 Farm Bill, argued that companies have exploited it to create intoxicating substances.

In June 2025, Governor Josh Stein announced a state advisory council to look into the cannabis market. In a press release, Stein said, “our state’s unregulated cannabis market is the wild west and is crying for order.” Stein also notes, "There is no legal minimum age to purchase these products." In October 2025, 38 attorneys general, along with North Carolina’s Jeff Jackson, wrote a letter to Congress urging an end to what they called the loophole as well.

We explore our hemp and cannabis product laws and how the ban will impact businesses and consumers. We also speak to a business owner that grows and sells hemp products throughout the state on what she and industry partners stand to lose.

GUESTS:
Nicole Burnette, owner and founder of Queen Hemp Company
Phil Dixon Jr., teaching associate professor of Public Law and Government
Steve Harrison, politics and government reporter at WFAE

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A self-proclaimed Public Radio Nerd, Chris Jones began working as a Weekend Host here at WFAE in 2021.