With the election of President Trump for a second term, stakeholders in the hemp and cannabis industries are navigating a new chapter of uncertainty and opportunity. Let’s explore what his administration and the shifting political landscape could mean for these industries moving into 2025.

The Legacy of the 2018 Farm Bill

President Trump’s first term saw the passage of the 2018 Farm Bill, which legalized hemp and set the stage for the booming industry we know today. As he begins his second term, industry leaders are questioning how his administration will influence cannabis and hemp policies going forward:

1. Rescheduling Marijuana:
   • The DEA is set to discuss rescheduling marijuana from Schedule 1 to Schedule 3 in 2025. This move could:
     • Open new avenues for research.
     • Create tax benefits for the regulated cannabis market.
     • Potentially impact the hemp industry indirectly.
2. Federal Legalization:
   • President Trump’s rhetoric has supported federal legalization, but details remain unclear:
     • Will legalization focus on medical cannabis or adult use?
     • How will hemp fit into this framework?

The 2025 Farm Bill: What to Watch

The 2025 Farm Bill is under debate, with significant implications for the hemp industry:

1. Proposed Amendments:
   • Some proposals could heavily regulate or even harm the hemp industry.
   • Others, like Senator Wyden’s proposal, aim to establish clear federal regulatory pathways for hemp.
2. Legislative Landscape:
   • A Republican-controlled Senate may align more closely with President Trump’s policies.
   • A contentious House of Representatives could make consensus difficult.
3. Potential Outcomes:
   • Hemp regulations may become stricter at the federal level.
   • Alternatively, hemp could be dropped from the Farm Bill entirely, leaving regulation to individual states.

What This Means for Your Business

In this uncertain environment, businesses must focus on adaptability and advocacy:

Stay Nimble

• Be prepared to pivot as new laws and regulations emerge at both federal and state levels.

Focus on State-Level Compliance

• While federal changes are important, the immediate impact on your business often comes from local regulations. Stay informed about:
  • Your state’s rules on hemp and cannabis products.
  • How these rules affect your product line and distribution.

Get Involved in Advocacy

• Join industry groups that represent your interests, such as:
  • US Hemp Roundtable.
  • Americans for Healthy Alternatives Association.
  • Hemp Beverage Alliance.
• Build relationships with local representatives to educate them about your business and its community impact.

Hire Legal Support

• The rapidly evolving legal environment makes it essential to have a knowledgeable attorney:
  • Ensure compliance across all areas of your business.
  • Stay informed about new risks and opportunities.

Outlook for the Industry

President Trump’s administration is likely to bring changes, but the direction is unclear. Whether it’s regulatory tightening or federal legalization, the hemp and cannabis industries need to:

• Adapt to Change: Stay informed and flexible to respond to new developments.
• Focus on Growth: Prioritize your long-term business goals while navigating short-term challenges.
• Advocate for Yourself: Engage with policymakers and industry groups to ensure your voice is heard.

Conclusion

While no one can predict the future with certainty, the hemp and cannabis industries are positioned to continue growing under President Trump’s second term. By staying informed, proactive, and adaptable, your business can thrive in this evolving landscape.

If you need guidance navigating these changes, reach out for expert legal support. Let’s work together to keep your business protected and thriving.