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Texas health officials are proposing sweeping new regulations on the state’s hemp industry, including raising the fees required to sell and manufacture consumable hemp products by roughly 10,000%.
The overview: In late December, the Texas Department of State Health Services published a slate of proposed rules regulating consumable hemp products. The proposals include:
- A prohibition on sales to customers under 21 years old
- Stricter testing and labeling requirements
- Guidelines for product recalls
- Tens of thousands of dollars in annual fees
DSHS records show that over 9,000 retailers are currently licensed to sell consumable hemp products in Texas, including recreational THC products and nonintoxicating substances like CBD. Under the proposal, annual licensing fees for hemp retailers would increase from $150 to $20,000, and manufacturer fees would be raised from $250 to $250,000.
The debate: Supporters of the proposal said the increased fees would improve oversight of thousands of Texas businesses that sell hemp-derived THC products and help the state enforce tighter regulations, while some local hemp retailers said the changes would put them out of business.
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