Big Alcohol Prepares to Fight Back as Cannabis Drinks Gain Market Share.

Leading alcohol companies have largely stayed on the sidelines as cannabis-infused beverages rapidly gain popularity. Brands like Cann and Wynk have secured deals with beer and liquor distributors, earning valuable shelf space in liquor stores. Now, some major alcohol producers, noticing a decline in their sales, are preparing to enter the promising but complex cannabis drink market, according to a dozen founders of cannabis brands, ingredient suppliers, and beverage manufacturers interviewed by Reuters.

THC, the psychoactive component of marijuana, is only available in licensed dispensaries in 24 U.S. states where recreational cannabis is legal. However, small amounts of THC can be extracted from hemp a related crop that is federally legal. These hemp-derived THC beverages are sold in many liquor stores, convenience stores, and supermarkets, presenting an attractive opportunity for Big Alcohol despite previous setbacks in cannabis investments.

Pernod Ricard declined to comment on the ongoing discussions, while Constellation Brands did not address rumors or speculation.

Alcohol companies are still recovering from a pandemic-driven surge in sales, when consumers, flush with cash, purchased expensive liquor for home consumption. After lockdowns lifted, many returned to bars, but since then, alcohol sales have steadily declined due to inflation, rising interest rates, and tighter household budgets.

In addition, public health authorities increasingly warn that even moderate alcohol consumption is linked to at least seven types of cancer, adding pressure on the industry.

U.S. beer sales volumes fell nearly 6% through May 2025, according to the Beer Institute. Similarly, spirits and wine sales declined by 5.6% and 9%, respectively, per data from the Wine & Spirits Wholesalers of America.

As cannabis beverages continue to disrupt traditional alcohol markets, major players are preparing to enter the field, signaling a potential shift in the beverage industry landscape.