A national economic survey finds pending federal hemp-cannabinoid restrictions could shutter most of the industry's operators, as USDA separately updates crop insurance rules to drop outdated THC language.
NATIONAL, September 12, 2026: A new nationwide economic survey estimates that federal restrictions on hemp-derived cannabinoid products could eliminate roughly 68 percent of the industry's operators and cost the U.S. economy $86.6 billion, adding a fresh data point to the debate over how Congress should rewrite the rules before a December 11 deadline.
Portland, Oregon-based Whitney Economics released its 2026 U.S. Hemp Cannabinoid Report on September 9, an update to a 2023 analysis, based on survey responses from 496 hemp operators in 35 states collected in June and July. The report found the hemp-derived cannabinoid market's total addressable value has grown 36 percent since 2023, to $38.7 billion, and now supports an estimated 350,000 jobs earning $13.9 billion in wages. But it projected that if the federal restrictions passed in 2025 remain in place as written, only 8.5 percent of current cannabinoid products, including nonintoxicating CBD items, would remain legal for sale. Firm founder Beau Whitney said the industry is "generally healthy, robust and growing" but that "strict and unrealistic regulations passed this year threaten to effectively put three-quarters of its operators out of business."
Separately, USDA's Risk Management Agency confirmed it has revised federal crop insurance provisions for hemp under its Whole-Farm Revenue Protection program, striking references to "industrial hemp" and the old delta-9 THC threshold from policy language, effective with the 2027 crop year. The agency did not say whether the wording change will alter how THC compliance is assessed when insurers evaluate a hemp crop for coverage; hemp remains eligible for the program but still cannot receive replant payments.
Both developments arrive as Congress and the White House work through the one-month reprieve President Trump signed September 2, which pushed the effective date of last year's hemp-cannabinoid restrictions from November 12 to December 11. Industry groups including the U.S. Hemp Roundtable have said they intend to use the added time to push for a permanent regulatory framework rather than the outright restrictions currently on the books, while opponents in the cannabis industry have said they will lobby to let the December deadline stand.
Forma works embedded on hemp and THC beverage formulation and commercial scale-up, from compliant dosing and label claims through co-packer qualification. This wire is a byproduct of the same regulatory tracking that informs that work.
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