LOUISVILLE, Ky. (LEX 18) — Congress included language in the federal government funding bill that would effectively ban most hemp products, giving companies less than a year to fight the new restrictions.
In Louisville, Kentucky-based hemp company Cornbread is leading the charge against the ban, which threatens to eliminate thousands of jobs across the state's hemp industry.
"All 100 of us are all at risk of losing our jobs. Every single one of us," said Eric Zipperle, Cornbread's co-founder and CEO.
The company produces oils, tinctures, seltzers and capsules containing hemp-derived compounds. Now, Cornbread is scrambling to stop legislation that could shut down their operations entirely.
"That means we have 362 days to fight it. But the fact is, if we don't get a bill started with some momentum in the next 90 days, the clock is gonna run out on us," Zipperle said.
The bill contains language that outlaws products containing more than 0.4 milligrams of THC per container — a limit Zipperle says would erase the hemp industry.
He demonstrated the impact using Cornbread's flagship CBD oil product.
"There's 30 servings in this container. You put it under your tongue. That means there's 30 milligrams of THC per container. There's more than .4 milligrams in this serving in this bottle, much less container," Zipperle said.
Senator Mitch McConnell, who once championed the hemp industry, stated earlier this month that the change closes a loophole in the 2018 Farm Bill. Zipperle argues the issue could be addressed through responsible regulation instead.
"We've been going to his office for years now asking for regulations for these products," Zipperle said.
The Kentucky Hemp Association says the hemp industry employs over 3,000 people statewide and represents a $330 million sector. Cornbread alone employs 100 people with projected revenue this year of $50 million.
"We are a leading economic organization in this city providing jobs that pay $20 an hour and up. This is a good company that should be a part of our community and Mitch McConnell wants us to go away," Zipperle said.
Zipperle believes he knows what's driving the crackdown.
"No one had an issue until the beverages came out. And that's what this is all about. Those beverages. Because they are threatening to the bourbon industry, bourbon is coming after us," Zipperle said.
Zipperle says Cornbread representatives are on Capitol Hill this week, hoping to make a change.
