Total Wine & More CEO Ryan Ross is calling out Illinois officials for creating a regulatory framework that he says will drive consumers straight to illicit sellers. The state's planned Nov. 12 prohibition on low-dose THC beverages goes beyond federal restrictions and threatens public safety, Ross argues.
The ban targets hemp-derived THC drinks that have emerged as a popular alternative to alcohol in states where they remain legal. Illinois lawmakers are moving to shut down sales despite these products containing minimal amounts of delta-9 THC—often 5mg or less per serving.
"The state's approach is harsher than federal law," Ross said, highlighting the disconnect between state and federal hemp regulations. He contends that prohibition creates the exact conditions that drive consumers to unregulated sources.
The Regulatory Clash
The November deadline puts Illinois at odds with the 2018 Farm Bill, which legalized hemp and hemp-derived products containing less than 0.3% delta-9 THC by dry weight. Many beverage manufacturers have operated in a legal gray area, producing drinks that meet federal hemp standards while skirting state cannabis licensing requirements.
But Illinois regulators see it differently. The state maintains that intoxicating THC products should flow through its established adult-use cannabis program, which launched in 2020 and generated over $1.5 billion in sales last year. Licensed dispensaries already sell THC beverages—just not the hemp-derived versions sold at conventional retailers.
Total Wine operates multiple locations across Illinois and has stocked hemp-derived THC drinks alongside beer and wine. The retailer's position reflects broader industry tension between traditional alcohol sellers and state-licensed cannabis operators.
Industry Pushback
Ross's warning echoes concerns from hemp beverage manufacturers who argue that prohibition ignores consumer demand for lower-potency alternatives. These products typically contain 2-10mg of THC per can, comparable to a light beer's alcohol content in terms of psychoactive effects.
The CEO points to what he calls an inevitable outcome: consumers who want these products will find them, just not from regulated retailers. That means no age verification, no product testing, and no tax revenue for the state.
Illinois joins several states grappling with hemp-derived intoxicants. Minnesota recently created a regulated framework for hemp beverages. Colorado passed restrictions earlier this year. North Carolina is considering similar measures.
What Happens Next
The Nov. 12 deadline leaves retailers and manufacturers scrambling. Some companies are exploring partnerships with licensed cannabis operators. Others are considering legal challenges based on federal hemp law preemption.
Total Wine has not announced whether it will pursue legal action or simply comply with the prohibition. The company declined to specify how many SKUs would be affected or the revenue impact.
Illinois cannabis regulators have not responded to Ross's public criticism. The state's Department of Agriculture, which oversees hemp programs, referred questions to the legislature.
For now, retailers are clearing inventory while consumers stock up. Whether Ross's black market prediction materializes remains to be seen, but the November cutoff will provide a test case for other states watching Illinois's approach.
This article is based on original reporting by www.cannabisbusinesstimes.com.
