The State of the Union: Indiana Hemp 2026
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If you feel like the hemp news is changing every hour, you’re right.
Between dead bills, new regulations, and federal deadlines, there is a lot to unpack.
Here is exactly where we stand as of February 27, 2026.
The Indiana "Ban Bill" (SB 250) is officially dead
The legislative dust has finally settled at the Indiana State House, and we have a definitive update: SB 250—the bill that would have banned almost every THC product on shelves—made it to the House floor but wasn’t called for second reading before a key deadline and is now officially dead. This is a massive victory for the thousands of Hoosiers who spoke up to protect their access to hemp-derived products.
Indiana Hemp Regulation is alive with Senate Bill 144
In a surprising twist, Senate Bill 144 was read and passed the House at the last hour on Friday, February 27th, in a unanimous 97-0 vote and is now heading to Governor Braun’s desk. It is a "Regulation over Prohibition" bill and moves it into a strictly controlled, adult-only market.
Starting July 1, 2026, Indiana will treat hemp-derived THC with the same seriousness as alcohol:
- ATC Enforcement: Hemp-derived THC and vapes are now regulated like alcohol. The Alcohol and Tobacco Commission (ATC) is authorized to run "sting operations" on hemp retailers, bars, and restaurants.
- Strict 21+: Selling THC or vape juice to a minor is now a Class B Misdemeanor. If someone gets hurt because of a sale to a minor, that jumps to a Level 6 Felony.
- Online Age Gates: Online retail stores based out of Indiana are legally required to use a 3rd-party age verification service for every sale. A simple pop-up box won't cut it anymore.
The National Update
While we won in Indianapolis, the focus has now shifted to Washington, D.C. Last November, a federal spending bill (H.R. 5371) was signed into law that includes a national 0.4mg THC limit per container, scheduled to take effect nationwide on November 12, 2026. By capping the limit at 0.4mg per package, the federal government is attempting to ban almost every hemp product on the market, including THC & full-spectrum CBD.
The industry isn't just sitting back and waiting for November. Groups like HIFA and the U.S. Hemp Roundtable are currently lobbying Congress to use the upcoming 2026 Farm Bill to fix this. The goal is to replace a ban with a common-sense regulatory framework that protects adult access to hemp-derived THC, or at the very least, get an extension on the ban. We have several months to push our federal representatives for this fix, and the victory we just had in Indiana proves that when the industry speaks up, lawmakers listen.