Smokable “hemp flower” and other popular hemp THC products could soon disappear from Texas store shelves under new regulations proposed for the state’s estimated $5 billion sector.
The Texas Department of State Health Services wants to account for THCA, or tetrahydrocannabinolic acid, when determining whether a product meets the definition for hemp under state law – a move that many hemp operators say amounts to a de facto ban, according to Houston Public Media.
THCA converts to delta-9 THC when heated.
Proposed rules could hike fees by 10,000%
The new rules, prompted by Gov. Greg Abbott’s September executive order to regulate hemp products after he rejected an outright ban, could take effect as early as Jan. 25.
They also include a dramatic increase in licensing fees.
Under the proposed regulations, annual fees for hemp manufacturers would skyrocket from $250 to $25,000 per facility, while retail registration would jump from $150 to $20,000 per location.
The rules also introduce stricter packaging requirements, expanded testing protocols and mandatory recall procedures.
During a Jan. 9 public hearing, dozens of small-business owners, cannabis users and advocates voiced their opposition.
“These proposed fees don’t regulate small businesses; they eliminate them,” said Estella Castro, owner of Austinite Cannabis Co., according to Houston Public Media.
“This proposal would force me to close despite doing everything right.”
Others claimed state regulators are overstepping their authority.
“By counting THCA prior to heat, you are banning products the legislature legalized,” said Jesse Mason, owner of San Antonio hemp store Reggie & Dro, as per Houston Public Media.
Public health advocates back stricter packaging and warning labels
Supporters of the regulations, including anti-THC activists and medical professionals, cited public health concerns.
Houston pediatrician Dr. Lindy McGee told commissioners that stricter labeling requirements, including language that THC can be habit-forming and take more than two hours to take effect, should be included in the regulations.
“[Label warnings] should be easily recognizable and large enough for a grandparent who is babysitting to be able to tell that the gummies are edibles and not something they should be giving their grandkids,” she said.
While the regulations could take effect this month, DSHS may revise the rules based on public feedback.
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The changes do not directly affect Texas’s medical cannabis program, which is set to expand significantly under new rules Abbott signed into law last year.
However, Texas medical cannabis providers do stand to benefit if hemp THC availability diminishes.
There are more than 9,100 businesses in Texas licensed to sell hemp products, according to state data, and only three currently licensed to sell medical cannabis oil under the Texas Compassionate Use Program (TCUP).
