As 2024 winds down, hemp businesses are facing major regulatory changes across several key states. From Texas potentially banning THC entirely to new milligram caps in Ohio, the regulatory landscape is shifting fast. Here’s what you need to know to stay compliant and protect your business.

Texas: A Potential Statewide THC Ban?

• Proposed Bill: Texas legislators have introduced a bill that would ban all THC in all products statewide.
• Legislative Action: The Texas Legislature returns in January 2025, and this bill will be among the first considered.
• Industry Impact:
  • Texas is a massive hemp market, and this ban could significantly impact businesses nationwide.
  • If you sell into Texas, now is the time to engage with industry groups, lobbyists, and trade associations.

Florida: Administrative Regulations in Progress

• Key Changes Being Considered:
  • Ban on Color Additives: No artificial or natural color additives in edible hemp products.
  • New Child-Resistant Packaging Standards: Stricter requirements for compliance.
  • Marketing Restrictions: Potential new limitations on how hemp products are advertised.
• Next Steps:
  • Public Comment Period Ends Soon: Businesses have until next week to submit feedback.
  • Implementation: Florida’s Department of Agriculture will announce final decisions in early 2025.

Ohio: Senate Bill 326 – Strict THC Milligram Caps

• Proposed Limits:
  • Delta-9 THC: 0.5 mg per serving / 2 mg per package.
  • Delta-8 THC & Other Cannabinoids: Only 0.5 mg per package—an extremely low threshold.
• Impact on Businesses:
  • These limits would eliminate most hemp products from the Ohio market.
  • Expect this bill to gain traction early in 2025—hemp businesses need to prepare now.

Missouri: HB 393 Introduces a Total THC Standard

• Total THC Testing Requirement:
  • Missouri is moving from a Delta-9 THC standard to a total THC standard (including THCA).
  • This would make THCA flower non-compliant in Missouri.
• Licensing & Restrictions:
  • Requires licensing for manufacturers, wholesalers, and retailers.
  • Limits sales to 21+ consumers.
  • Milligram Caps by Category:
    • Edibles: 5 mg per serving / 100 mg per package.
    • Beverages: 10 mg per serving, with new size restrictions.
    • Inhalables: 2 grams total per device.
• What This Means for Missouri:
  • Businesses will need to adjust formulations and compliance practices if the bill passes.

California: Emergency Ban Continues, New Bill Proposed

• Current Status: California’s emergency hemp ban remains in effect.
• New Legislation – AB8:
  • Would require out-of-state hemp manufacturers to register with the California Department of Public Health.
  • Allows regulated cannabis businesses to produce hemp products under the same license.
• Implications:
  • This bill is likely aimed at giving regulated cannabis businesses an advantage while increasing scrutiny on the hemp industry.
  • Out-of-state hemp manufacturers should prepare for new registration requirements if they sell into California.

What This Means for the Hemp Industry in 2025

As we head into the new year, the hemp industry faces increasing regulatory challenges. With major states like Texas, Florida, Ohio, Missouri, and California pushing for tighter restrictions, businesses must remain vigilant.

Key Takeaways:

1. Regulatory Uncertainty Will Continue: Expect more states to propose strict THC limits and licensing requirements.
2. Advocacy is Essential: Join trade organizations and engage in lobbying efforts to protect the hemp market.
3. Stay Compliant: Ensure your products meet both federal and state regulations to avoid enforcement actions.

How to Protect Your Business

• Monitor State Legislation: Stay updated on proposed changes in key markets.
• Work with a Legal Expert: Compliance is complex—seek guidance to navigate these evolving laws.
• Get Involved: Support industry groups that fight for fair hemp regulations.

If you need help understanding how these changes affect your business, we offer 50-state regulatory compliance reviews tailored to your product line. Contact us to ensure your business remains compliant and competitive in 2025.

Stay informed, stay compliant, and let’s make 2025 a strong year for the hemp industry!