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Booze-Free Buzz: THC Drinks Surge in Popularity
28 Jan
Summary
- THC beverage sales reached $850 million last year, projected to hit $4 billion by 2028.
- New federal limits on THC in hemp products may make current drinks illegal.
- Retailers are increasing shelf space for THC drinks, replacing some beer inventory.
In January 2026, the market for tetrahydrocannabinol (THC) beverages is experiencing significant growth, especially as consumers participate in 'Dry January' or 'Damp January.' Retailers are dedicating more space to these alcohol alternatives, with some even removing beer to stock up to 75 brands of THC-infused drinks. Sales of these beverages reached approximately $850 million in the previous year and are anticipated to climb to around $4 billion by 2028.
The industry's expansion is rooted in the 2018 Farm Bill, which legalized hemp with a THC limit of 0.3%. States have implemented varying regulations, with 28 allowing mainstream retail sales and others restricting them to licensed dispensaries. These drinks, offering effects distinct from CBD, are gaining traction nationwide.
However, a potential challenge looms. New federal limits on THC content in hemp-derived products, set to take effect in November, could render many current beverages illegal. These new regulations cap THC at 0.4 milligrams per beverage, a significant reduction from the 5 or 10 milligrams found in many popular products. This uncertainty has led some manufacturers to reconsider future production.
