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Michigan Senators Weigh Marijuana Regulatory Reform Bills To Aid Industry Reeling From New Tax Increase

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6 months ago

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“Our members are calling on this commission to help our industry create market stability and advance thoughtful and collaborative industry planning.”

By Kyle Davidson, Michigan Advance

Almost two weeks after Michigan lawmakers took office Legislation that imposes a 24 percent tax on wholesale marijuanaMembers of the Senate Regulatory Affairs Committee heard testimony on several bills that committee chairman Jeremy Moss (D-Southfield) said were aimed at reducing the regulatory burden on the cannabis industry.

Two bills were considered Wednesday, one limiting the number of licenses for marijuana dealers and supply centers, and another aimed at cracking down on the sale of unregulated intoxicating hemp products, though Moss indicated there would be additional meetings on the bills in the future.

Sen. Sam Singh (D-East Lansing) unveiled the first package, the Senate Bills 597 and 598Starting Jan. 1, 2026, it would limit marijuana dealer licenses and wholesale licenses per 10,000 residents in a municipality, similar to how the state regulates liquor sales.

Singh said communities with a population of less than 10,000 would always have at least one license.

In addition, current license holders can renew their licenses or transfer them to another person.

Second set, Senate bills 599–602It would create a regulatory framework for consumer hemp products in Michigan, Sen. Dayna Polehanki (D-Livonia) explained, citing that intoxicating products made from hemp, including Delta-8 and other synthetic cannabinoids, are being sold at Michigan gas stations, convenience stores and online without oversight or testing.

Both proposals received support from the Cannabis Regulatory Agency, which regulates Michigan’s adult cannabis industry, as well as support from several members of the state’s cannabis industry.

Derek Sova, the agency’s policy and legislative specialist, said one of the agency’s challenges is marijuana versus hemp, when debating whether a substance is intoxicating or not.

Hemp is commonly understood to be either a crop or a tissue, Sova explained, with both Michigan and the federal government’s definitions of hemp and marijuana allowing the unregulated sale of products containing high amounts of THC, the marijuana component primarily responsible for its intoxicating effect.

“Because of the way it’s defined, they’re considered hemp, and because of that, they’re not age-appropriate. There’s no testing requirement, like there is in Michigan with marijuana products. There’s no labeling restrictions,” Sova said.

In addition to establishing a regulatory framework for non-toxic consumable hemp products, such as CBD-infused gummies and intoxicating hemp products, Sova said the bill package would regulate the sale of non-consumable hemp, which is used to make textiles and building materials.

“Right now, under the current law, you have to get a license to do that, a license to sell that. We don’t think that should be regulated,” Sova said.

Robin Schneider, executive director of the Michigan Cannabis Industry Association, offered support for limiting licenses for marijuana suppliers and retailers, saying unlimited marijuana cultivation licenses have led to oversupply, lowered wholesale prices and harmed businesses throughout the supply chain.

Additionally, the proliferation of retail space has led to public nuisance concerns, traffic problems and community complaints, Schneider said.

“Our members are calling on this committee to help our industry create market stability and thoughtful, collaborative industry planning to make business decisions based on projections that at least include predictability,” Schneider said.

The association also supported the regulation of intoxicating hemp products, noting that these products are being shipped out of state to Michigan and are not being produced by Michigan hemp farmers.

“Not only have our hemp farmers been left out and harmed in many ways, current legislation does not allow them to manufacture hemp products for CBD-only consumption in Michigan,” Schneider said.

Kyleigh Cumming, lab director at Kairos Labs, a cannabis testing lab, told committee members that the 2018 farm bill defining hemp created a loophole that allowed CBD to be converted into THC-like compounds.

“These conversion processes create many dangerous and unknown byproducts along the way, while allowing the resulting products to be labeled as hemp-derived and sold in Michigan as an unregulated intoxicant,” Cumming said.

In a study of 15 vape products purchased in various southeast Michigan communities, Cumming said the products had no lab test results or traceability, and when purchasing the products, no one asked for ID to verify age. When the products were tested, the lab found 15 contaminants, and all 15 samples detected the THC levels of 0.3 percent set by the federal government.

While offering support for additional regulations on hemp products, City of Detroit cannabis director Kimberly James called for more teeth in the bill to allow local governments to take action when intoxicating hemp products are sold in unlicensed locations.

“(The Cannabis Regulatory Agency) does not currently enforce violations of the (Michigan Regulation and Marijuana Tax Act) against non-licensees, and I would not expect them to enforce violations of this act against anyone who is not a licensed consumer hemp processor,” James said. “Local governments should have the authority to stop this practice immediately when the products are in a regular store and explicitly state that they contain THC.”

Polehanki promised to work with James to make sure those changes were made, saying the legislation “isn’t good unless we take these products off the market.”

Blain Becktold, founder of iHemp Michigan, which represents hemp farmers, manufacturers and businesses across the state, said the group’s members supported denying or limiting the sale of products that could be harmful to purchase or consumption, but he refused to define hemp as hemp with less than 0.3 percent THC, pointing to a federal push to increase the 1 percent to 1 percent.

“That’s not to make more toxic products. That’s really for the safety of growers and farmers. If they invest that time, money and effort into farming, and it warms over .3, they’ve lost all of that. 1 percent we wouldn’t have that problem,” Becktold said.

Cassin Coleman of Cannabis Consumer Advocacy also expressed concern about the proposed regulations, noting that limiting THC in non-intoxicating hemp products would limit access to certain products that individuals use for medical purposes.

“As is often the case, the products that patients use consistently, which are CBD products, contain THC,” Coleman said, noting that these products contain THC because they are “full spectrum,” meaning they contain the full range of compounds that occur in the cannabis plant.

Trying to remove or limit the amount of THC in these products would remove other important cannabinoids, plant proteins and antioxidants, Coleman said, warning that these products could be ineffective.

This story was first published by the Michigan Advance.

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Cresco Labs gets Texas license

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22 hours ago

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April 4, 2026

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Cresco Labs has obtained a Texas Compassionate Use Program License. It is a vertically integrated license that allows Cresco Labs to cultivate, process and distribute medical cannabis.

“Texas patients deserve access to consistent, quality medicine, and we’re excited. Our track record in medical markets reflects our ability to build strong programs that put patients and communities first,” said Charlie Bachtell, CEO of Cresco Labs. “Winning a license in Texas through a merit-based application demonstrates Cresco Labs’ deep regulatory expertise and thoughtful approach to meaningful local engagement. Organic licenses enable capital-efficient market entry, and our cash flow and balance sheet give us the financial flexibility to invest in and grow our scaled platform for the long term.”

This license advances Cresco Labs’ state-by-state growth strategy and ensures access to one of the largest patient populations in the United States. Texas is the nation’s second most populous state, approaching 30 million people, and continues to see ongoing legislative efforts to improve patient access and expand eligibility.










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Missouri Lawmakers Pass Bill To Ban Intoxicating Hemp THC Products, Sending It To Governor

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22 hours ago

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April 4, 2026

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The legislation also includes provisions to protect the privacy of marijuana users and the right of cannabis workers to unionize.

By Rebecca Rivas, Missouri Independent

It would be a bill headed to the desk of Missouri Governor Mike Kehoe (R). remove all intoxicating hemp products from the shelves as of Nov. 12 — including THC seltzers currently sold in bars and grocery stores — in line with the state’s upcoming federal ban.

If Congress were to reverse course and decide to allow the sale of these products, Missouri would allow the sale of marijuana only in licensed dispensaries. And if Congress decides to delay the ban for a couple of years, Missouri would ban all products except liquor sales at dispensaries.

The House passed the bill sponsored by state Rep. Dave Hinman, R-O’Fallon, by a vote of 126 to 23. It passed the Senate Tuesday night and now goes to the governor for his signature or veto.

The bill also includes provisions to protect the privacy of marijuana users and the right of cannabis workers to organize, amendments that state senators added late Tuesday.

Hinman’s legislation was one of the first bills to pass the House this year. He previously told The Independent that the legislation was a priority for state leadership, including the governor, attorney general and House speaker.

Intoxicating hemp products containing as much as 1,000 mg of THC are being sold in smoke shops—outside of licensed marijuana dispensaries in Missouri—and are not regulated by any government agency. Missouri lawmakers have not passed legislation regulating these products since 2023.

The bill comes amid uncertainty about where the federal government will take regulation of these products.

President Donald Trump signed an executive order in December directing his administration to work with Congress to develop a framework that allows full-spectrum CBD products that contain some amount of THC.

On Wednesday, the Centers for Medicare and Medicaid Services unveiled an initiative that could $500 cover per year per 3mg hemp-derived THC and CBD product. for eligible users. Products under this program would be illegal in Missouri under the bill passed Thursday.

This story was first published by the Missouri Independent.

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“There is more to Portugal’s medical cannabis story than recent turbulence”

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2 days ago

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April 3, 2026

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Germany imported 2025 tons of medical cannabis. Part of that volume came from a Portuguese processor whose license had been revoked, which was unloaded below cost as it was reinstated. The episode sparked attention, and consequences followed. PTMC’s Joao Duarte believes that most of these conclusions are wrong. “Eight tons is not even 5% of what Germany consumes per year,” he says. “For that to result in price dumping, the math just doesn’t work.”

Structural price pressure
According to him, the price pressure in Portugal is mainly structural. “The more countries that get into production and start exporting, the lower the prices will be. Today, Colombia is exporting, Costa Rica is exporting, and Brazil, with the scale it can bring to outside cultivation, is not far behind. Canada has been the main volume supplier to markets in Germany, Australia, Israel and the UK due to the strength of low-priced flowers from European producers. Again, and fast.” It draws a direct line with what happened in the CBD market in previous years, when prices were compressed as supply expanded and operators without cost or quality advantages found themselves without a market. Medical flower THC, he says, is following the same logic over a longer timeline.

To lift the burden of this price pressure, the answer obviously lies in the right regulations and policies. These should be based on the principles of providing high quality medicines to patients. To achieve this, the flowers must reach the consumers shortly after they are picked. As simple as it sounds, proximity is Portugal’s real advantage. “The fresher the flower is when it reaches the patient, the better the quality,” he says. “Only proximity gives that.”

© Henner Damke | Dreamstime

A turning point
As for the regulatory issue, Joao points to Portugal’s eight-year history of medical cannabis as a distinguishing feature, following last year’s police raids. Organizations that have long been involved in the licensing and enforcement framework have developed standards and experience in applying them. “Our GMP standards are real,” he says. “They are not a number on a certificate.”

The damage to the reputation of these raids, in his opinion, is exaggerated. “There is always a scandal in the industry,” he said. “That doesn’t necessarily mean it’s over, that a country’s economic sector has been kicked out. Canada, the largest exporter of cannabis, is the clearest example of that. Everyone remembers the CannTrust scandal in 2019, which made international headlines. That didn’t kill the Canadian industry until it became them, the regulatory system moved in their work. It looks like.”

EU-GMP clearance
One important area is EU GMP clearance, the practice of converting imported flowers through a European facility to obtain certification that the original material would not otherwise carry. “We would have more value growing the flowers than doing the conversion,” he says. For Portuguese producers, the practice reduces the premium that EU GMP certification must entail and makes it more difficult to distinguish domestically grown product from processed imports at the point of sale.

To each his own
Joao does not believe that other European countries can take Portugal’s place in the old continent’s cannabis industry. “This is simply because it’s not one thing for a country to be active in one sector and then push out another. It’s an open market, everyone participates at different levels.” As a neighbor, Joao cites Spain as an example. The country currently has less than ten licensed producers and has yet to build the export infrastructure or regulatory track required by the markets. “I don’t see Spain coming and taking over,” he says. “Both Spain and Portugal will take market share. Operators with established contracts will continue to move product. After that, it’s about quality and price.”

Denmark, he says, is an immediate competitive variable, producing significant quantities and moving into European markets with momentum. Portugal is currently among the top three to five exporters to Germany and has established positions in Australia, Israel and the United Kingdom. “This reflects accumulated capacity rather than regulatory time, and it’s not something that goes away because a processor loses its license,” he says.

A common European pricing policy, along the lines of the state-controlled model in France, is a mechanism that the industry should collectively push for. Without this, individual producers are left to absorb the cost pressures of suppliers operating on a scale that European policy has no current framework for. “We should aim to have good flowers,” he says. “We must not aim to demolish Portugal.”

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