Rhode Island has temporarily stopped issuing new hemp beverage licenses as state officials study how THC-infused drinks are being sold in bars, liquor stores, and restaurants. The pause comes at a time when the local hemp market is rapidly expanding, creating uncertainty for entrepreneurs and small businesses.
The state’s Cannabis Control Commission voted unanimously to suspend new applications while a formal study plays out. That review, written into the 2026 state budget, will explore whether new rules are needed to regulate these intoxicating products more effectively.
Key Takeaways
- New Rhode Island hemp beverage licenses are paused until at least March 2026
- Ten license applications are on hold, plus one pending renewal
- Lawmakers want clear rules on THC drink labeling, dosage, and marketing
- THC beverages were only legalized in Rhode Island in August 2024
- Regulators are considering future frameworks for cannabis cafes and social consumption
What This Means for Bars, Liquor Stores, and Hemp Retailers
Since the state legalized hemp-derived THC drinks in August 2024, bars and liquor stores have joined vape shops in offering these beverages. Businesses like Julian’s, a well-known Providence restaurant, now face a licensing standstill.
Julian’s received its hemp license in December 2024 and has seen strong customer interest in THC beverages. Co-owner Brian Oakley said patrons often walk in expecting to see the drinks on the menu.
“I’ve witnessed people come into a bar and get excited when they see the product,” Oakley said during last week’s commission meeting.
But not everyone supports broadening access. Some Rhode Island cannabis cultivators argue that hemp drinks coming from out of state don’t face the same testing or safety standards as products sold in licensed dispensaries.
“We’ve spent so much time not crossing those two things, THC and alcohol,” said Jason Calderon, CEO of Exeter-based Bonsai Buds. “The only benefit I see is another revenue stream for liquor stores and bars.”
Why Rhode Island Is Re-Evaluating Hemp Beverage Licenses
The freeze on new Rhode Island hemp beverage licenses stems from concerns raised during legislative hearings earlier this year. Lawmakers heard mixed opinions about whether THC drinks should be allowed in non-cannabis settings.
In response, they passed a resolution calling for a formal study of the issue. The Cannabis Control Commission is now tasked with developing recommendations around:
- Dosage limits for intoxicating drinks
- Packaging and labeling standards
- Licensing requirements
- Child safety protections
Those recommendations are due by March 1, 2026, and the study must include input from state health, business, and tax regulators.
Carla Aveledo, policy liaison for the commission, said the moratorium gives the state time to evaluate the complex overlap between cannabis and alcohol regulations.
“It needs more time to be studied,” she told the panel.
Are THC Drinks Safe? Experts Raise Questions
While hemp is federally legal, the THC found in many drinks sold in Rhode Island is synthetically converted from hemp compounds like CBD. These drinks are often manufactured out of state, raising questions about consistency and potency.
Stuart Procter, co-founder of PureVita Labs in West Warwick, told commissioners that without local testing, there’s no guarantee consumers are getting what’s advertised.
“If it’s not been tested by a state-certified laboratory, it’s difficult to say what people are actually getting,” he said.
Even slight exposure to heat can lower a product’s potency. “When you drink it, you don’t feel anything. So you end up drinking a lot more,” Procter added.
Small Businesses Stuck in Limbo
Currently, ten new applications for Rhode Island hemp beverage licenses are pending, along with one retailer seeking renewal. Craft beverage distributors and bar owners argue that halting the process penalizes businesses trying to operate legally.
“No one is better equipped to verify age and ensure responsible dispensing than our on-premise retailer partners,” said Matthew Przygoda, who works with a Massachusetts-based distributor.
The freeze could remain in place until after the March 2026 study is completed, but regulators have not confirmed an exact timeline.
Conclusion
The decision to pause Rhode Island hemp beverage licenses highlights the growing tension between cannabis innovation and public safety. With THC drinks now common in bars and retail stores, the state is taking time to ensure rules around dosage, labeling, and youth access are up to par. Until then, would-be licensees will have to wait as lawmakers and regulators chart a path forward.
This article is based on publicly available legislative records, court filings, industry reports, and published research as of the publication date. Cannabis laws and regulations change frequently — verify current rules with your state’s regulatory agency.
