Texas could soon outlaw all THC products that are not medically prescribed. Last Wednesday, the Texas House passed Senate Bill 3 with a 95-44 vote, moving the state closer to banning the sale of non-medical THC items.
Currently, Texas does not permit recreational marijuana. However, the state does allow limited use of medical cannabis, and hemp-based products are legal as long as they contain no more than 0.3% THC. If Governor Greg Abbott signs the measure, any THC product that isn’t used for medical reasons would no longer be allowed, including those derived from hemp.
The bill, introduced by Senator Charles Perry, specifically targets items like Delta-8 and Delta-9 THC variants, as well as THC-infused drinks and edibles. It would also prohibit the sale of any cannabinoids apart from CBG and CBD.
Much of the controversy around the legislation stems from the Farm Bill 2018, which made hemp and its derivatives legal across the country. Texas followed suit in 2019 by adopting similar legislation at the state level. Since then, the market for hemp-based THC alternatives has exploded.
Lieutenant Governor Dan Patrick stated that the bill was a priority and warned that he’d block progress on the state budget unless SB 3 passed. Patrick claimed in a Facebook video that THC products are being sold without oversight and are reaching school-aged children. He said some of these items are even more potent than illegal cannabis.
Patrick also shared a map showing the rapid rise of vape and smoke shops in the state—more than 8,000 have opened over the last three years, many located near schools.
The video also featured Senator Perry arguing that many of the shops were intentionally located near school zones, and Senator Cesar Blanco highlighted a sharp rise in child THC overdoses—up nearly 500% among children under five from 2017 to 2022, based on state Poison Control data.
Critics of the bill argue that a full ban would have serious consequences. According to the Texas Hemp Business Council, it would hurt farmers, local businesses, and thousands of Texans who use hemp-derived products for their health and well-being. They say the sector supports over 53,000 jobs, generates more than $4 billion in retail revenue, and adds $268 million in state tax contributions.
Rather than a complete ban, the council recommends alternative measures such as limiting sales to adults 21 and older, requiring child-proof packaging, and enforcing distance requirements from learning institutions.
As of now, Governor Abbott has not publicly stated whether he will approve the bill.
The wider marijuana industry, including entities like Tilray Brands Inc. (NASDAQ: TLRY) (TSX: TLRY), will be hoping that other states don’t take the prohibitive direction shown by Texas and instead seek to find ways to regulate the new hemp derivatives that have caused a stir in the market.
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