Texas hemp industry faces $4 billion blow as legislature approves THC product ban

Texas hemp industry faces $4 billion blow as legislature approves THC product ban

The Republican-controlled Texas Senate and House of Representatives passed a bill to prohibit the sale and possession of THC-infused hemp consumables, such as edibles, oils, and vapes, putting the state on the edge of outlawing almost all psychoactive hemp products.

Although industry leaders have pledged to file legal challenges should Texas Gov. Greg Abbott sign the bill into law, the action threatens to destroy the state’s $4 billion hemp economy, which employs tens of thousands of people and includes over 8,000 enterprises.

The Texas Hemp Business Council has urged Abbott not to sign the proposed prohibition, although he has not yet openly supported or opposed it.

“We urge Governor Abbott to reject CSSB 3 and protect the tens of thousands of hardworking Texans, including veterans like Dave Walden, who rely on hemp-derived cannabinoids for their wellness,” the council stated after the vote on Wednesday.

A surprising reversal occurred Wednesday when the state House passed legislation that aimed to regulate rather than outright ban hemp products, voting 95-44 to ban nearly all of them.

The law, SB 3, was approved by the state Senate in March by a vote of 24–7.

Lt. Gov. Dan Patrick has called the items a “major public health threat,” especially to youngsters, and has made the bill a key priority.

“I’ve never been more passionate about anything,” Patrick said in a video posted to social media earlier this week. He threatened to call legislators back to the Capitol for a special session if they did not approve of the ban.

“If we leave Austin this session and we don’t ban these products for the next two to three years, we’re going to see lives destroyed,” Patrick stated.

Texas hemp industry faces $4 billion blow as legislature approves THC product ban (1)

According to him, the products are very powerful and easily accessible to children.

Rep. Brian Harrison was the only Republican in the House to vote against the plan.

“I believe SB3 unnecessarily grows government, restricts the freedom of adults, and may have serious and harmful unintended consequences such as shuttering thousands of small businesses and pushing adults, who want or rely on hemp products, to more addictive and deadly pharmaceuticals or to the black market,” Harrison posted to X.

“SB3 exceeds the proper role of government and may ban many products that President Trump legalized in 2018.” ..

The bill’s detractors claim it is a political power grab that will ruin small enterprises and impose harsher criminal penalties than those currently applied to marijuana.

The CEO of Hometown Hero, a company that produces goods made from hemp, Lukas Gilkey, stated that he intends to bring legal action.

“Immediately, we are going to be prepping for a lawsuit. Texas Hemp Business Council has resources allocated for this specific purpose,” Gilkey said in post on X.

Unless the House completely accepts the Senate’s original version, the bill must go back to the Senate for final passage because the House made certain changes to the Senate version. It will then be sent to Governor Abbott for his signature or veto.

The Senate bill would make possession of prohibited hemp products punishable by harsher penalties than possession of marijuana.

For example, having hemp goods that don’t comply with regulations might land you in jail for up to a year. Comparatively, possessing less than two ounces of marijuana is now a Class B misdemeanor, which carries a maximum jail sentence of 180 days.

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