The passage of the 2018 Farm Bill seemingly opened doors for the free movement of hemp products across the country.
However, with a varying tapestry of state regulations, transporting this plant requires a meticulous understanding of complex legal frameworks.
Is it legal to ship Hemp Across State Lines?
Yes! Hemp, as defined under the 2018 Farm Bill, can indeed be transported interstate as long as it complies with certain conditions.
Only hemp containing less than 0.3% THC by dry weight is federally legal to ship. This threshold distinguishes hemp from cannabis, which remains federally prohibited.
Shipments must be accompanied by appropriate documentation, including a license from the state’s Department of Agriculture and a certificate confirming the THC levels. These documents serve as evidence of the hemp’s legality and its compliance with the <0.3% THC threshold.
Furthermore, while interstate transport of hemp is federally allowed, it is paramount to remain cognizant of specific state laws that may impose additional restrictions. It is critical to be abreast of and compliant with all local laws and regulations associated with hemp transportation. In this context, the term “legal” is contingent on meeting a confluence of regulatory requirements that span federal and state jurisdictions. Failure to adhere to these guidelines can result in significant legal and financial repercussions.
Understanding Hemp’s Legality
Hemp’s legal status is rooted in its low THC content. Under the 2018 Farm Bill, hemp containing less than 0.3% THC is federally legal, distinguishing it from psychoactive cannabis.
To navigate this landscape, stakeholders must engage with a detailed legal framework, encompassing the Agriculture Improvement Act of 2018 (the 2018 Farm Bill), which federally descheduled some cannabis products, defining hemp based on its THC content. Compliance with these statutes is critical for lawful commerce and transportation of hemp across state lines.
The definitions of “industrial hemp” and “marijuana” are central to understanding these legal distinctions. Compliance with the <0.3% THC threshold is non-negotiable for all parties in the hemp supply chain.
2014 Farm Bill
The Agricultural Act of 2014, commonly known as the 2014 Farm Bill, laid the initial groundwork for the re-emergence of hemp as a legitimate agricultural product. It differentiated industrial hemp from marijuana for the first time, emphasizing the necessity for recognizing hemp as distinct with a low THC content.
The 2014 Farm Bill, authorized to conduct hemp pilot programs. By implication, this provided legal protection for the cultivation of hemp, albeit with significant limitations and under strict guidelines to ensure alignment with federal standards.
Significantly, the bill’s provision allowed for these entities to study the growth, cultivation, and marketing of industrial hemp. This research was paramount in collecting the data required to understand the crop’s viability and thus lay the framework for future legislation and commercialization efforts.
The 2014 Farm Bill marked a cautious but historic step towards reversing decades of restrictive federal policies on hemp. Its legacy ultimately served as a precursor to the more expansive and definitive 2018 Farm Bill, which would further cement hemp’s legal status.
2018 Farm Bill
The 2018 Farm Bill represents a pivotal shift in hemp regulation, federally legalizing the cultivation and sale of hemp with certain restrictions. It distinguishes hemp from marijuana based on THC levels.
By reclassifying hemp, the Bill created a legal framework for its production, provided it contains less than 0.3% THC by dry weight. This threshold is critically important for regulatory compliance.
Hemp with over 0.3% THC remains a controlled substance.
Transporting hemp across state lines is federally permissible under the 2018 Farm Bill’s provisions, provided that the hemp meets the required THC threshold and adheres to all state and tribal regulations. Compliance is essential to avoid the severe consequences of trafficking a controlled substance.
Hemp Research Pilot Program
The Hemp Research Pilot Program was a foundational element of the 2014 Farm Bill.
- Authorization: Academic institutions and state departments of agriculture were permitted to conduct hemp research.
- Limited Scope: Activities were confined to pilot studies on the agricultural potential and marketability of hemp.
- Compliance with Federal Law: Studies were required to align with federal laws to curtail illicit activities. This program underpinned critical research leading to hemp’s subsequent reclassification.
It paved the way for understanding the crop’s complexities and potential, facilitating informed policy decisions.
How Do I Ship My Company’s CBD Hemp Flower Interstate?
To legally ship your company’s CBD hemp flower across state lines, due diligence in understanding and adhering to both federal and state regulations is imperative. At the federal level, ensure your product meets the criteria laid out by the 2018 Farm Bill, which stipulates that the hemp must contain no more than 0.3% THC on a dry weight basis. Comprehensive lab testing and certification can affirm this compliance. Additionally, consult the Department of Agriculture and appropriate regulatory bodies in both the originating and receiving states to confirm there are no supplementary restrictions or licensing requirements. Obtaining legal counsel or consulting with a compliance expert is highly advisable to navigate this complex landscape effectively and guarantee adherence to all pertinent legal frameworks.
Recommended Hemp Transport Permits
To streamline interstate travel, carriers should hold a copy of the hemp producer’s license, a bill of lading, and lab results indicating compliance with THC content limits. This documentation serves to substantiate the legitimacy of the transport and can swiftly assuage any enforcement inquiries along the route.
For states that participate in the U.S. Domestic Hemp Production Program, additional documentation such as a Hemp Transport Permit may be required. These requirements are designed to foster transparency and accountability, ensuring that all parties comply with federal and state regulations.
Finally, consult with a cannabis industry lawyer to tailor your permit application strategy, which can provide invaluable foresight into emerging legal trends and regulatory updates. Such strategic consultations are critical in maintaining ongoing compliance and fostering a business environment conducive to successful hemp commerce.
Notice to Law Enforcement of Hemp Shipment
A letter, or notice, to law enforcement in case your hemp shipment is detained will help show why what your company is doing is perfectly legal.
A good letter to law enforcement will:
- cite federal law regarding hemp
- cite federal law regarding interstate hemp shipping
- cite state law authorizing your company’s actions
- cite the hemp’s certificates of analysis (COA)
- provide contact information for your attorney.
- explain drug dogs have false positive alerts because of terpenes in hemp
Planning Your Company’s Hemp Shipping
Efficient and compliant hemp shipping is essential for business operations in the cannabis industry.
- Ensure the shipment contains hemp with a THC concentration of no more than 0.3%.
- Acquire a copy of the hemp producer’s license and a bill of lading for transport.
- Obtain lab results that confirm the THC content complies with federal and state regulations.
- Prepare for varying state-level requirements, such as Hemp Transport Permits.
- Familiarize yourself with the U.S. Domestic Hemp Production Program if applicable.
- Establish a relationship with law enforcement agencies for smooth transit.
- Consult a compliance expert or legal advisor for tailored guidance.
Verification of legality and documentation are your first lines of defense against regulatory snafus.
Due diligence ahead of time mitigates risks and positions your company for success in a regulated market.
Cross-Border Transport Challenges
Navigating the legal landscape of cross-border hemp transportation is daunting. Even with proper documentation and adherence to the 0.3% THC threshold, businesses face a patchwork of complex state regulations. These incongruent rules can lead to inadvertent noncompliance, with consequences that may jeopardize the entire shipment and incur legal consequences.
Maintaining compliance within this fluid regulatory environment is akin to targeting a moving prize in a game of regulatory whack-a-mole. Each state’s laws regarding hemp transport can change with legislative sessions, court rulings, or even adjustments in enforcement practices. Constant vigilance and up-to-date legal advisement are critical, as is clear communication with transport partners to ensure all parties are informed of the most current guidelines to circumvent potential violations.
Drug Dogs Don’t Work With Hemp Shipment
The chemical that makes cannabis the unlawful marijuana is a cannabinoid called Delta-9 THC, or sometimes shortened to just THC. Dogs cannot smell this chemical because it is odorless. Instead, drug dogs are trained to smell for certain terpenoids in the cannabis plant. These terpenoids are common in either hemp or marijuana.
Customs and Importation Regulations
International importation of hemp introduces another level of complexity, compounded by the differing legal frameworks of the countries involved. It is imperative that businesses scrutinize the specific legal requisites that international partners prescribe when exporting or importing hemp products.
Visibility into the customs process is crucial for any business engaged in the importation of hemp. This involves understanding the Harmonized Tariff Schedule (HTS), which classifies and delineates tariffs for internationally traded goods. Additionally, import licenses and phytosanitary certificates are often required to ensure that hemp shipments meet stringent agricultural and safety standards.
In the United States, the customs protocol for hemp is governed by numerous agencies—each with its own set of regulations. Insight into the requirements imposed by the U.S. Department of Agriculture (USDA), U.S. Customs and Border Protection (CBP), and the Food and Drug Administration (FDA) is indispensable. Enterprises must navigate these protocols with precision to avoid costly delays, seizures, or potential legal ramifications that could stem from inadvertent non-compliance with a complex regulatory fabric.
About the Author
Tom Howard, a Cannabis Industry Lawyer and Consultant has practiced commercial law since 2008 when he graduated from law school and got his Series 7 & 66 Securities licenses. He pivoted to practicing litigation for financial institutions before helping cannabis teams form, capitalize, and get licensed. He has concentrated on the cannabis business since Illinois legalized it in 2019. He won licenses for clients in Illinois, Connecticut, New Jersey, New Mexico, Massachusetts, Missouri and has gotten into lotteries in Ohio, Maryland, and Maine. He became a Certified Ganjier in 2021. He chairs the ISBA’s section council for Cannabis Law in 2023.
