DELAWARE - A new Delaware law is restricting where THC-infused beverages can be sold and it's drawing criticism from local business owners who say the changes are hurting sales and limiting customer options.
House Bill 373, signed into law July 23, took effect Oct. 21. The legislation establishes new requirements for the manufacturing, distribution and sale of THC-infused beverages in Delaware.
Under the law, sales are restricted to authorized package stores, licensed recreational marijuana dispensaries and qualifying microbreweries. The beverages must also meet state requirements for testing, packaging and labeling.
THC is the intoxicating compound in marijuana and is used in some hemp-derived beverages.
Gayle Galbraith, owner of Federal Beverage Company, said hemp beverages accounted for about 25 percent of her business before the new restrictions took effect.
"It's a significant loss. I am pivoting. But the more important thing about this law is that it's impacting my customers," Galbraith said.
Galbraith said many of her customers are in recovery from alcohol use disorder and had turned to hemp beverages as an alternative to alcohol.
She worries the new restrictions could make it more difficult for those customers to purchase the products without entering a liquor store.
"I don't want them to have to go into a liquor store. That's the bottom line," Galbraith said. "The reality is that it is not responsible, and it is somewhat dangerous for these people to go into a place that could trigger a relapse. And none of the community needs that.
The changes are also affecting businesses that are still authorized to sell THC beverages.
Prit Patel, a manager at Pacific Wine and Spirits, said the store has had to reduce its selection since the law took effect.
"We've been impacted because this whole shelf, it was completely full with a lot of great choices. But now we had to cut back after the law and a lot of consumers are angry and looking for the ten mg and plus drinks, which we can't sell anymore. So it's really impacted and slowed down our sales," Patel said.
He said with the reduced selection some customers appear to be looking for products online instead.
The law limits THC content to 10 milligrams per single-serving container.
The legislation also establishes a regulatory system overseen by Delaware's Office of the Marijuana Commissioner. It includes requirements for manufacturers and distributors, product testing, labeling and sales. The law also establishes a tax of 50 cents per single-serving container, which is scheduled to take effect Feb. 1, 2027.
Both business owners said they want lawmakers to reconsider the restrictions and give businesses and customers more options.
