Smokable cannabis products must be removed from Texas stores by the end of the month due to new regulations from the state’s health department. These changes could significantly affect the hemp industry, as many companies may struggle with increased costs.
While the new rules allow nearly all edible hemp products, they add stricter packaging and testing requirements. Initially proposed higher fees for retailers and manufacturers have been reduced but still represent a substantial increase, likely leading to raised prices for consumers or driving some businesses to close.
These regulations originated from recommendations made in December, influenced by an executive order from Governor Greg Abbott. The Texas Legislature was unable to reach a consensus on stricter regulations or outright bans of THC products.
The Texas Department of State Health Services announced that the rules will come into effect on March 31. The new regulations will effectively prohibit the sale of smokable hemp by altering how Delta-9 THC, the main psychoactive substance in cannabis, is measured.
Under the state’s 2019 hemp law, cannabis with up to 0.3% Delta-9 by dry weight is classified as legal hemp. The adopted rules introduce a “total THC” calculation that includes THCA, a compound that converts to Delta-9 when the product is heated.
Retailers like Estella Castro from Austin Cannabis Co. express concern over these regulations. Castro states that smokable products make up about 40% of her sales, and the new prohibitions could harm her business. Cannabis advocates agree, fearing that these regulations will push consumers towards unregulated markets that lack safety measures.
The industry now anticipates potential legal challenges as it seeks clarity on regulations that may threaten small businesses and product access.
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