The hemp-derived Minnesota Model is unique among all 50 states. In July 2022, existing hemp statutes were amended to eliminate market confusion and specifically allow for use of hemp-derived cannabinoids in edibles and beverages. New labeling, testing, and packaging requirements were added. Since that time, the hemp-derived market has boomed. Businesses report the creation of over 500 jobs, increased revenues of at least 200%, and consumers have access to safe product.
The unexpected trifecta of a Democratic sweep of the house, senate, and maintaining control of the governor’s office was seen as an ideal opportunity for introduction and passage of an adult-use marijuana bill. The only problem is that the proposed legislation stripped the industry of its ability to sell edibles, 80% of their revenue, and phased out the hemp-derived industry by July 2024. Negotiations are underway to forge a pathway for legal hemp and marijuana industries to exist side by side. Because of this unique situation, all eyes are upon Minnesota to see how pathways for success are carved out.