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- 🌿 THE THCA LOOPHOLE: How Hemp is Changing the Cannabis Game
🌿 THE THCA LOOPHOLE: How Hemp is Changing the Cannabis Game
MDRN FARMER NEWSLETTER
Issue #1 | May 21, 2025
Welcome to the first edition of MDRN FARMER, your go-to Daily Newsletter for staying ahead of what’s happening in the cannabis world. From policy shifts to market trends, we're covering it all. Let’s dive in 👇
🔥 What’s Going On With THCA?
Right now, there’s a major shift happening, and it’s all thanks to a loophole in the 2018 Farm Bill.
Companies are now selling product legally, not by calling it cannabis, but by labeling it as THCA.
Here’s how it works:
âś… Get a hemp license (way easier than a cannabis license)
âś… Grow or buy flower with less than 0.3% Delta-9 THC
âś… Test the flower to prove it fits the federal definition of hemp
✅ Market it as “THCA flower”
✅ Ship it nationwide 🚚📦
Even though THCA turns into THC when you smoke or vape it, it’s technically legal in its raw form, so it passes the legal test at the time of sale.
🏆 Big Brands Have Finally Started Jumping In
No longer is it just companies like Bay Smokes and small farmers capitalizing on the opportunity.
Well-known brands like Cookies and Sluggers are now selling THCA products across the U.S.
Cookies — Berner's iconic brand has launched THCA products that are shipping nationwide. Their move signals mainstream acceptance of this business model and has accelerated adoption across the industry.
Sluggers — Another respected name in the space, has pivoted toward THCA products, reaching consumers in states who previously had no legal access to their products.
The significance here cannot be overstated: brands that were previously restricted to operating in specific state markets can now achieve national distribution through this strategy.
đź’¸ Will California Growers Make The Switch?
We all know one of the toughest markets to make it in is California. Farmers in the state have been hit hard over the last 7 years:
📉 Flower prices dropped under $500/lb in 2024
⚠️ Compliance costs keep going up
🏪 Retail is crowded and growth has slowed
đźš« Interstate cannabis sales are still illegal
So what do you do when you're stuck in a tough market, and there’s a legal way to sell your product in 40+ other states?
You adapt.
A lot of people clown on selling “Hemp Flower”. But I can’t stress this enough; if you are selling weed, you already are selling THCA!
The reality is, this is exactly what the industry has been waiting for.
The more big, reputable, legacy brands step into this market, the more it legitimizes the entire market as a whole.
⚖️ But isn’t the Hemp Market about to crash and burn?
Some states are starting to crack down on THCA products. Minnesota, Virginia, and Texas have already introduced bills to tighten up the rules. And while the feds are watching, the next Farm Bill is still stalled—so the loophole is wide open (for now). Some insiders have speculated that we’ve got 12–24 months before the laws catch up.
đź’Ľ What Should You Do?
Only you can know what is best for your business. But if you’re in the industry, here are some questions to consider:
Are you missing out on national sales by avoiding THCA?
How will you compete with online retailers offering premium THCA at lower prices?
Does this create a lower-cost way to enter the market without a license?
Should you invest in companies using this strategy?
The reality is, nobody knows how this will play out. This may be a trend. This may be here to stay.
But regardless, the process is stupid simple. Brands that act now will be way ahead of the game if (or when) the door finally closes.
⚡ Final Thoughts
The THCA wave is here. Whether you see it as a loophole or an opportunity, one thing is clear: it’s reshaping the entire cannabis market 🌎
Ignore it, and you might fall behind 🤷‍♂️
Many business owners scoff at the idea of selling THCA flower under their brand, but the reality is, they already are…
Hope to see you on the next one tomorrow. Thanks for reading 🌿
More soon,
—MDRN FARMER