2018 Farm Bill

Definition: The 2018 Farm Bill, formally the Agriculture Improvement Act of 2018, is the federal law that legalized hemp in the United States. It defined hemp as cannabis containing no more than 0.3% delta-9 THC by dry weight and removed hemp from the Controlled Substances Act, opening the door to the national CBD and hemp market.

What Did the 2018 Farm Bill Do for Hemp?

The law separated hemp from marijuana under federal law. Hemp and hemp-derived products that met the 0.3% delta-9 THC limit were no longer controlled substances under the Controlled Substances Act. It also set up a licensing system run by the USDA, under which growers must be licensed through an approved state plan, a tribal plan, or the USDA’s own program.

Does the 2018 Farm Bill Make CBD Legal?

It made hemp-derived CBD legal to produce under federal law, but it didn’t strip the FDA of its authority over food, supplements, and drugs. That’s why CBD products have long existed in a legal gray area for marketing and health claims.

What Was the Hemp Loophole?

Because the law focused only on delta-9 THC, producers began making intoxicating products such as delta-8 THC from hemp-derived CBD. These products spread nationwide, including in states where marijuana is illegal, and became known as the hemp loophole.

Is the 2018 Farm Bill Hemp Definition Changing?

Yes. A federal law signed in November 2025 redefines hemp using total THC, caps finished hemp products at 0.4 mg of total THC per container, and excludes synthesized cannabinoids. Congress later pushed most of these changes to December 11, 2026. Once they take effect, most intoxicating hemp products, including delta-8 gummies, will effectively be banned at the federal level.

Related terms: Hemp, Delta-8 THC, Schedule III, The Controlled Substances Act (CSA)

Sources: Congress.gov: H.R.2, Agriculture Improvement Act of 2018; USDA Agricultural Marketing Service: U.S. Domestic Hemp Production Program.

Last reviewed October 2026. This entry is for general education and isn’t legal advice.

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