“ As wine and beer sales decline and spirits are generally holding their own, sales of [ THC and CBD ] products have grown,” says MMBA E xecutive Director Paul Kaspszak. ers have embraced THC as another source of revenue. Especially among members of the Minnesota Municipal Beverage Association( MMBA).
“ My members are successfully selling THC in both on and off premises,” says MMBA Executive Director Paul Kaspszak.“ Some member cities are also in the process of entering the full cannabis retail sector.”
THC drinks and recreational cannabis are trendy nationwide, of course, but Minnesota has rapidly gained a reputation among consumers for its progressive stance towards both. Licensed liquor stores in Minnesota can sell edibles and beverages containing hemp-derived cannabinoids, including CBD and THC. This movement has helped liquor stores in and around the city manage the ongoing downturn in the beverage alcohol industry.
“ As wine and beer sales decline and spirits are generally holding their own, sales of [ THC and CBD ] products have grown,” says Kaspszak.“ In addition, the market still allows a good profit margin. I predict in the next couple of years overall liquor store sales will drop, but profits will increase.”
In terms of SKU mix, MMBA stores sell THC / CBD products with the ratio of 70 % beverages and 30 % edibles.
“ Most customers are middle to late age, looking for a product to help them sleep or relax,” Kaspszak reports.
Additionally, he sees a“ consumer attitudinal change happening.” Kaspszak explains this meaningful shift as people increasingly thinking that: Drinking alcohol = bad; Drinking THC = good Smoking tobacco = bad; Smoking cannabis = good Dry January alcohol = bad; Dry January THC = good Alcohol sobriety = good THC Consumption = good Is Kaspszak concerned about the constant efforts in
Washington D. C. to close to Farm Bill loophole?
“ Anything can happen in Congress. However, I think intense legislative pressure from consumers around the country will prevent closing the loophole,” he says.“ THC / low-dose hemp products are here to stay! The horse is out of the barn. It’ s running down the road. All we can see is its tail now.”
Which is to say that legislators may have a hard time getting rid of a popular product among consumers. Particularly because that product has also proven profitable for numerous parts of the industry.
“ Politicians and regulators need to pay attention to the voters who got them to the dance,” Kaspszak says. These voters“ are vocal and politically active.”
Talk of recreational THC’ s emergence into the mainstream is typically tempered by the reality of its legal challenges. Beyond the lingering loophole question, there’ s also no scientifically consistent way to prove cannabis intoxication as there is with alcohol DUIs. And the products have come out faster than legislators and regulators can keep up in terms of creating and implementing proper regulation. Officials who make and enforce these laws have had to play catchup with critical issues like mandating branding and packaging that doesn’ t attract children, advising correct dosage sizes, and consumer education in general.
Which is not to suggest that this is a dangerous industry, just one that’ s still an emerging market that requires proper regulation. Thankfully, alcohol officials have much experience in that area, and remain the proper individuals to oversee the continued roll out of recreational cannabis.
“ My father taught me,‘ We live in a world of cycles’, meaning what happened in the past will happen again. This is Prohibition all over again,” Kaspszak says.“ Every jurisdiction is trying to figure it all out and like alcohol, there will be different systems of governance.”
“ There are many discussions around the country about regulating these products like beer, like spirits, like wine,” he says.“ There is another option: no three-tier system. While we in the industry recognize these are‘ controlled substances’, public attitudes are going a different way. For example, any www. beveragedynamics. com Fall 2025 • Beverage Dynamics 29