Texas Poised to Ban THC, Putting Hemp Industry on the Chopping Block

Products containing THC sit at a store in Austin, Texas, on May 5, 2025. Credit: Lorianne Willett/The Texas Tribune

After a dramatic turn of events at the Capitol, the Texas House has officially voted to ban all products containing THC — the compound responsible for marijuana’s high — signaling a likely end to the state’s fast-growing hemp industry.

The bill, now just a signature away from becoming law, would only allow the sale of CBD and CBG, two non-intoxicating compounds that don’t get you high. If it sticks, products like THC-infused gummies, drinks, vapes, and even flower buds will vanish from shelves across Texas starting September 1.

For an industry that sprouted almost overnight thanks to a 2019 law meant to help farmers, this is a hard left turn. That law legalized consumable hemp but didn’t account for various THC derivatives. Retailers saw an opening, and within a few years, more than 8,000 businesses across Texas were selling hemp-derived THC products — creating an $8 billion market and supporting around 50,000 jobs.

But state leaders, led by Lt. Gov. Dan Patrick, have pushed hard for a crackdown. Patrick claims the industry is targeting kids, setting up shop near schools, and exploiting legal gray areas. He was so committed, he vowed not to leave Austin until THC was out of the picture.

The House had previously entertained the idea of stricter oversight instead of an outright ban — think licensing, packaging rules, and limits on who could buy what. But in a late-stage pivot, lawmakers backed an amendment that revived the Senate’s hardline stance. The final vote was a decisive 95-44.

Not everyone is on board. Hemp advocates argue the ban will just drive THC users to the black market, making products less safe and harder to regulate. Others worry about what it means for patients who rely on THC for pain, anxiety, or appetite issues — especially veterans and those without easy access to medical marijuana.

Speaking of which, the Legislature is also working on expanding Texas’ limited medical cannabis program. But critics say it’s no substitute for the accessibility of over-the-counter hemp products, which don’t require doctor visits or a prescription. Even with more qualifying conditions and smokable forms added, many users say the expanded program won’t meet their needs.

Industry leaders aren’t going quietly. Hometown Hero CEO Lukas Gilkey announced plans for a legal challenge almost immediately after the House vote, and the Texas Hemp Business Council has blasted the decision as a slap in the face to small businesses and consumers.

For now, the bill heads back to the Senate for final approval before it reaches Gov. Greg Abbott’s desk. Abbott has stayed mum on whether he’ll sign it, but if he does nothing, the ban becomes law anyway.

In short: Texas is gearing up for a major shift in cannabis policy — and not in the direction many residents expected.

📰 Original reporting by The Texas Tribune: Texas House votes to ban THC products.