WASHINGTON D.C. – A proposed bill advancing through the U.S. House of Representatives is drawing sharp criticism from within the Republican party, with Senator Rand Paul of Kentucky issuing a dire warning about its potential impact on the burgeoning American hemp industry.
According to a report included in the Marijuana Moment newsletter dated July 1, 2025, Senator Paul voiced significant concerns that the legislation, if enacted, could effectively dismantle the industry established following the 2018 Farm Bill.
Legislative Proposal Sparks Alarm
The bill currently under consideration in the House seeks to impose stringent new regulations on hemp-derived products. Its central tenet is a proposed ban on products containing any quantifiable amount of THC. This stands in stark contrast to current federal regulations, which permit hemp and hemp-derived products provided they contain no more than 0.3% Delta-9 THC on a dry weight basis.
The inclusion of the phrase “any quantifiable amount” represents a significant departure from the established framework. Standard laboratory testing can detect even trace amounts of various cannabinoids, including THC, that may fall well below the current 0.3% threshold. Critics argue that such a strict zero-tolerance policy for any detectable THC level is technologically impractical for many naturally derived hemp products and economically devastating for businesses.
Senator Paul’s Concerns Detailed
Senator Rand Paul, a Republican from Kentucky, a state with a significant agricultural interest in hemp, did not mince words when expressing his reservations. Speaking to Marijuana Moment, Senator Paul stated emphatically that the bill could “completely destroy the American hemp industry.”
His specific concerns highlighted the popular market for CBD oil. CBD (cannabidiol) is a non-intoxicating compound derived from hemp. While legally defined as hemp, the plant naturally produces a spectrum of cannabinoids, including trace amounts of various forms of THC. Producing CBD oil often involves extracting these compounds, and even with sophisticated processes, trace amounts of THC can remain, albeit typically well below the 0.3% limit.
Senator Paul questioned how a regulation banning products with any quantifiable amount of THC could possibly allow for the continued legal sale of CBD oil, a cornerstone product of the current industry. His comments underscore the technical challenge posed by the bill’s language and its potential to criminalize products widely considered legal and non-intoxicating under existing law.
Potential Economic Impact
The U.S. hemp industry has seen substantial growth since the 2018 Farm Bill legalized the crop and its derivatives. It supports farmers, processors, manufacturers, and retailers across the country, contributing significantly to rural economies. Experts and industry advocates warn that implementing a ban based on any detectable THC could render a vast majority of currently legal hemp products, including CBD oils, tinctures, edibles, and topicals, illegal overnight.
Such a move could lead to widespread business closures, job losses, and significant financial hardship for farmers who have invested in hemp cultivation. The economic fallout could be particularly severe in states that have embraced hemp as a new cash crop.
The Path Ahead
The bill’s advancement in the House signals a potential legislative challenge to the existing regulatory landscape for hemp. While the bill has progressed through initial stages, it still faces significant hurdles, including potential votes in the full House, consideration by the Senate, and ultimately, the signature of the President.
Senator Paul’s public opposition highlights the potential for bipartisan disagreement on the measure, particularly among lawmakers from agricultural states. The debate over “any quantifiable amount” versus a specific THC threshold like 0.3% is expected to be a key point of contention as the bill navigates the legislative process.
As reported in the July 1, 2025 edition of the Marijuana Moment newsletter, the industry and its advocates are closely monitoring the situation, bracing for a potential legislative battle that could reshape the future of legal hemp in the United States.
