​As of 2025, Connecticut's hemp market has seen a decline due to regulatory changes that have significantly impacted local farmers and businesses in the industry. Despite the state's early growth in hemp cultivation, recent legal shifts have created challenges for many in the sector.

Decline in Hemp Farming

The number of active hemp farmers in Connecticut has significantly decreased, with fewer producers now operating compared to previous years. This decline has been attributed to various factors, including increased regulatory complexity and the restrictions on hemp-derived products.

Legislative Changes Affecting the Hemp Industry

Recent changes to state law have redefined the classification of hemp products and imposed stricter regulatory controls, leading to a challenging environment for hemp businesses:

• Product Classifications:
  • High-THC Hemp: Products containing over 1 mg of THC per serving or 5 mg per container are now classified as "High-THC Hemp," bringing them under the same regulations as cannabis products, which include stricter control measures.
  • Moderate-THC Hemp: Products with THC levels between 0.5 mg and 5 mg per container fall under a new category, subject to additional regulatory guidelines.

These changes have affected the market by limiting the types of hemp products that can be sold and distributed, forcing many small-scale hemp farmers and producers to either shift to other crops or scale back their operations.

Market Challenges

• Economic Impact on Small Farmers: The regulatory constraints have made it harder for smaller producers to compete, resulting in a reduction in the number of active farms in the state.
• Product Availability: Due to the stringent requirements and reclassification of certain hemp products, consumers have access to fewer hemp-derived goods, especially in categories like CBD.

Despite these challenges, the hemp market in Connecticut continues to adapt to the evolving legal landscape. However, the future of hemp farming and production remains uncertain without further adjustments to regulations that better support small businesses and allow for a more competitive market.