September 5, 2025

Texas Hemp Industry Faces Legislative Setbacks

News Summary

The Texas hemp industry is experiencing significant growth, but recent legislative sessions have stalled progress on consumer safety regulations. Advocates express disappointment after key bills aimed at enhancing safety measures failed to pass. With the industry supporting over 53,000 jobs and $10 billion in economic activity, the Texas Hemp Business Council is calling for stronger regulations to ensure consumer protection and maintain growth. Efforts face challenges from opposing legislative initiatives and public sentiment against potential bans on hemp-derived products.

Texas Hemp Business Council Advocates for Consumer Safety Regulations as Legislative Efforts Stumble

The Texas Hemp Business Council (THBC) has expressed disappointment following the closure of the second special session of the 89th Texas Legislature without the passage of new hemp regulations. This lack of action jeopardizes consumer safety and the future of the hemp industry in Texas, which underpins a significant portion of the state’s economy.

During the recently concluded legislative session, THBC acknowledged the efforts of Governor Greg Abbott, Speaker Dustin Burrows, and members of the Texas House in rejecting attempts to ban hemp products. Despite these efforts, THBC remains frustrated that House Bill 36 (H.B. 36), which aimed to enhance consumer safety and provide clearer guidance to the hemp industry, did not pass.

The hemp industry in Texas is vital, supporting approximately 53,000 jobs and generating a staggering $10 billion in annual economic activity. Existing regulations already enforce strict limits on tetrahydrocannabinol (THC) content, mandate full-panel testing, necessitate licensing and labeling, and require accessible certificates of analysis for hemp products. These measures stem from House Bill 1325, which established the foundational regulations for hemp products in the state.

THBC has proposed further regulations that include establishing age restrictions for the sale of consumable hemp products to individuals aged 21 and older, mandating child-resistant packaging, and setting setbacks from schools to ensure children’s safety. However, these proposals have repeatedly faced opposition from Senate leadership throughout both the 88th and 89th legislative sessions.

Critics of the proposed regulations have been accused of advocating for outright bans that conflict with prevailing public opinion and contribute to a manufactured crisis driven by special interests. In a recent poll, 61% of Texans opposed such bans, according to THBC, which also noted that a petition delivered over 150,000 signatures and 8,000 letters against Senate Bill 3 (SB3), a legislative proposal aiming to ban most forms of THC derived from hemp.

Governor Abbott previously vetoed SB3, prioritizing the protection of a $5.5 billion industry vital to many Texans. The veto was celebrated as a safeguard for the 53,000 jobs within the industry and a significant contributor of $268 million in annual retail tax revenue. However, opponents continue to push for restrictive measures, undermining the industry’s stability and growth.

In place of the failed SB3, THBC has expressed support for House Bill 4242, which includes consumer-friendly provisions such as age limits, child-resistant packaging, and school setbacks. This bill represents a more sensible approach to regulating the hemp market in Texas and addresses essential health and safety concerns.

Despite the setbacks, THBC remains committed to collaborating with policymakers to advocate for consumer protection while ensuring that Texas maintains its leading position in the hemp industry. Without the reinforcement of consumer safety regulations, public safety and the livelihoods of Texans—including farmers, small business owners, and veterans—may be at risk as the industry continues to navigate a challenging legislative environment.

The future of the hemp industry in Texas hinges on the ability of stakeholders to work together towards effective regulation that serves the interests of consumers and the industry alike. As discussions continue, the focus remains on striking a balance between oversight and support for one of Texas’s fastest-growing industries.

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