Texas Weighs Redefining Hemp THC Products, Raising Concerns for Houston Retailers

Texas hemp businesses are facing a potential shake-up as state regulators consider a new definition of total THC that could sharply narrow which hemp-derived products remain legal. The proposal is drawing close attention from operators and consumers in Houston, where hemp retailers have grown rapidly since the state legalized hemp in 2019.

The Texas Department of State Health Services (DSHS) is reviewing whether to adjust how total THC is calculated. The change would align Texas rules more closely with federal standards and could restrict the sale of many psychoactive hemp items currently stocked in stores across the state. Houston’s larger retailers, in particular, could see substantial shifts in product availability, pricing, and compliance requirements if the policy moves forward.

What the Proposed Redefinition Means

Under current Texas rules, hemp products must remain under 0.3% delta-9 THC concentration. However, many retailers have relied on hemp-derived cannabinoids such as delta-8 and delta-10, which have created a booming market. DSHS is considering a new total THC formula that would account for these compounds more stringently.

Industry advocates argue that the change could unintentionally eliminate a significant portion of legal hemp items. They warn that businesses—from small Houston boutiques to multi-location operators—may face major setbacks while trying to adjust inventories or pursue state testing approvals.

Regulators say the goal is clarity and improved alignment with federal definitions. Still, many stakeholders fear that tightening the total THC calculation could amount to a de facto ban on popular products without legislative debate.

Why It Matters for Houston

Houston’s hemp sector has grown into a sizable economic contributor, employing thousands and serving a wide consumer base. Retailers have become part of neighborhood commercial corridors, offering alternatives for wellness, recreation, and pain management.

If the new definition becomes official, local business owners could face sudden compliance costs and possible product shortages. Some may need to suspend sales while updating inventory or reworking supplier contracts. Consumers who rely on cannabinoid products for therapeutic purposes might also experience reduced access.

What’s Next

The proposal remains in review, and the state has not yet announced a final decision. Stakeholder input will continue to inform the process. If approved, the update would initiate a new compliance period for hemp manufacturers and retailers statewide.

Houston operators are watching closely, evaluating contingency plans, and preparing to adjust product lineups if needed. Observers expect more public discussion as the state weighs commercial, legal, and public health implications.

This article is a summary of reporting by MJBizDaily. Read the full story here.