Alcohol Industry Rushes to Save Hemp THC Drinks From Federal Ban

With a federal ban on hemp-derived THC beverages scheduled to take effect later this year, a surprising new player is stepping into the fight to keep the category alive: the alcoholic beverage industry.

The Wine & Spirits Wholesalers of America (WSWA) has launched a national campaign calling for a clear federal framework for intoxicating hemp beverages and urging Congress to call off the ban scheduled to take effect in November. Total Wine & More has also filed to lobby on hemp-derived drinks, a sign that major alcohol retailers and distributors now see the category as too large and too popular to ignore.

WSWA president and CEO Francis Creighton warned that the current path will not protect consumers.

“If Congress fails to act, these products face a real risk of being removed from the shelves of licensed, responsible retail stores in November, but would still be available to consumers through multiple other unregulated channels,” Creighton said in a press release. “Intoxicating products, including hemp beverages, need a clear, workable framework that protects public health and public safety while allowing responsible businesses to operate.”

Alcohol Companies See Consumer Trends Shifting

Joe Gerrity, CEO of THC beverage maker Crescent Canna, says the alcohol sector’s pivot is driven by consumer behavior.

“They’ve read the writing on the wall, and consumers are consistently turning away from alcohol and seeking alternatives,” Gerrity told IgniteIt in an online interview. “The alcohol industry is coming to terms with the reality that if they can participate in this with clear, fair and predictable federal regulation, it’s a significant market that they have the opportunity to tap.”

Crescent Canna’s 2025 THC Beverage Survey found that 77% of THC beverage consumers report drinking less alcohol, and more than 20% say they have quit alcohol entirely since trying THC drinks.

“For the majority of our existence as a company, we’ve looked at alcohol as an opponent,” said Gerrity, who is also a board member of the U.S. Hemp Roundtable. “In the past two to three years, specifically the last year, they have begun to look at us as an opportunity instead.”

A Push Toward Alcohol-Style Regulation

WSWA wants hemp-derived THC beverages regulated under a structure similar to alcohol, with age checks, product standards, labeling rules and state-level control over retail sales. Gerrity says the approach is workable.

“We’ve always pursued, as a company, alcohol distribution as a model,” he said. “The three-tier system is something that has its flaws, but has worked very well for alcohol for generations at this point.”

He also supports federal labeling and testing standards.

“It is an absolute disaster trying to plan when the federal regulations are not there, and individual states have taken it upon themselves to rewrite what another state has written, but with different verbiage, and then require it verbatim,” he said, adding, “I’m very in favor of federal packaging requirements. I’m very in favor of common sense and good federal regulation.”

He also supports a full prohibition on synthetic cannabinoids.

“Ban all the synthetics,” he said bluntly.

A Growing Coalition Ahead of a High-Stakes Deadline

WSWA’s campaign joins efforts already underway from the Beverage Alcohol Merchants Coalition (BAMCO) and a growing number of hemp beverage manufacturers. Gerrity believes the combined pressure will grow quickly once consumers understand the consequences of the November ban.

“The Wine & Spirits Wholesalers of America has always been a partner for us. They have always been looking forward for their members, and I think that their lobbying power, combined with the BAMCO organization, as well as the grassroots lobbying that so many companies like mine already do in their states, is a powerful force,” he said. “When grassroots gets a hold of this, the phones will be ringing off the hook and the inboxes will be full because consumers absolutely do not want these products to go away.”

With the deadline approaching, the question is whether Congress will move toward a regulatory framework or allow a popular consumer category to be pulled from the legal market in November.