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State to license more hemp edible vendors as federal changes loom

Posted 3/20/26

REGIONAL — The Minnesota Office of Cannabis Management announced this week that it will begin accepting applications again on April 1 for three types of lower-potency hemp edible business licenses, …

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State to license more hemp edible vendors as federal changes loom

Posted

REGIONAL — The Minnesota Office of Cannabis Management announced this week that it will begin accepting applications again on April 1 for three types of lower-potency hemp edible business licenses, including retailers, manufacturers, and wholesalers.
Applications will be accepted and reviewed on a rolling basis. Updated resources for applicants will also be posted on the agency’s website starting April 1.
The reopening follows a large wave of applications submitted last fall. OCM received more than 2,200 applications in October, including more than 2,000 from retailers seeking to sell lower-potency hemp edible products in businesses ranging from smoke shops and liquor stores to salons and event venues.
By March 31, the agency expects to issue approval or denial decisions for all applicants from the 2025 licensing window. Businesses whose applications were denied, or those that did not apply last year, will be able to submit new applications starting April 1.
“We know there are businesses waiting eagerly for the office to reopen applications for LPHE licenses, whether because their application was denied or they missed the opportunity to apply during last year’s window,” said OCM Executive Director Eric Taubel.
“With a federal ban of these products approaching in November — and uncertainty over efforts to delay or overturn that ban — we are offering Minnesota businesses a way to continue to participate in the market in a way that ensures products are safe and businesses are compliant with state law,” he said.
A federal law signed last November includes a provision that would ban hemp-derived products containing more than 0.4 milligrams of THC beginning in November 2026. The change could significantly affect the future of Minnesota’s hemp beverage and edible industry, which has grown rapidly since the state first allowed lower-potency THC products.
State regulators are also working to address testing capacity issues as Minnesota builds its new cannabis regulatory system.
Last fall, OCM created a temporary transition period for hemp, cannabis, and medical cannabis businesses while the state moves from its earlier hemp edible law to the broader cannabis regulatory framework adopted in 2023. That transition period ends March 31.
Industry representatives have asked lawmakers to extend a provision allowing hemp products to be tested at laboratories outside Minnesota if they meet state standards. If the Legislature does not act before the end of March, businesses will need to move all product testing to Minnesota labs, which could result in longer testing timelines while in-state capacity grows.
“We are working closely with applicants for testing facility licenses to ensure that they move as smoothly as possible through the process in order to address the testing capacity needs the industry is experiencing,” Taubel said.
OCM officials say they will continue working with legislators, partner agencies, and industry leaders to help businesses navigate the changing legal landscape surrounding hemp-derived THC products.
More information is available at mn.gov/ocm.