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A Tale of Two Bills to Decide Fate of Texas Hemp Industry

Written by Jay Maguire on . Posted in Legislative.

In just days, the Texas hemp industry faces what may be its defining moment since legalization in 2019. The House State Affairs Committee, chaired by Representative Ken King, will convene Monday morning to hear testimony on two bills with starkly different visions for the future of hemp in Texas.

The hearing, scheduled for 8:00 AM on April 7 in room JHR 120, will feature two competing approaches to hemp regulation that could not be more different in their impact on the thousands of businesses and workers in this growing sector.

A Tale of Two Bills

House Bill 28, authored by Chairman King himself, represents a regulatory path forward. While imposing new restrictions—including age verification requirements, licensing standards, and quality controls—it allows the industry to continue operating under enhanced oversight. This approach acknowledges the economic reality that the hemp industry has become a significant contributor to the Texas economy.

In stark contrast stands Senate Bill 3, championed by Senator Perry and already passed by the Senate with Lieutenant Governor Patrick’s backing. This bill takes a prohibitionist stance, effectively banning most hemp-derived products beyond CBD and CBG. The practical effect would be the criminalization of businesses that have been operating legally since hemp was federalized and then legalized in Texas.

The Texas hemp industry must recognize this hearing as a truly existential moment. The difference between these bills is the difference between a future for hemp in Texas and no future at all.

The Stakes for Texas Businesses

For hemp entrepreneurs across Texas who have invested everything in building compliant businesses, Monday’s hearing represents a crossroads. Many have implemented strict age verification, comprehensive product testing, and responsible marketing practices that avoid targeting young people. Despite these efforts, SB 3 would shut down operations overnight, resulting in job losses throughout the supply chain.

These business owners aren’t alone. Thousands of Texans now work in hemp-related businesses across the state, from cultivation to manufacturing to retail. Many industry stakeholders emphasize they’re not opposed to reasonable regulation.

The hemp industry broadly acknowledges the need for age restrictions, quality control standards, and responsible business practices. The objection is to prohibition disguised as regulation—the difference between workable rules and an outright ban that destroys livelihoods.

Two Minutes to Make a Difference

Those planning to attend Monday’s hearing should note that public testimony will be limited to just two minutes per person—barely enough time to introduce oneself and make a few key points. This limitation makes preparation essential.

Industry advocates recommend business owners focus their brief testimony on concrete facts: business location, number of employees, economic impact, and specific measures implemented to prevent youth access. Those unable to attend in person can submit written comments electronically through the House website until the hearing concludes.

Experienced observers of the legislative process note that lawmakers respond best to personal stories with specific details. Effective testimony should explain exactly how SB 3 would affect individual businesses, employees, and communities while emphasizing support for appropriate regulation rather than prohibition.

Regulation vs. Prohibition

The fundamental question before the committee is whether Texas will embrace a regulated hemp market or attempt to put the genie back in the bottle through prohibition.

Historical evidence suggests prohibition rarely works as intended. Rather than eliminating products, prohibition typically drives markets underground, removing quality controls and age verification while enriching illicit operators. Meanwhile, legitimate businesses close, tax revenue disappears, and products simply flow in from neighboring states with more permissive laws, not to mention empowering drug cartels by creating a supply vacuum.

Economic analysts point out that prohibition doesn’t eliminate demand—it just changes who profits from it and removes safeguards for consumers.

The Time for Action

As Monday approaches, the Texas hemp industry faces its most significant challenge yet. The businesses that have operated transparently and responsibly since 2019 must now make their case directly to lawmakers that regulation, not prohibition, is the path forward.

Whether through in-person testimony, written comments, or direct outreach to committee members, every voice matters in this crucial debate about the future of hemp in Texas. For thousands of business owners and their employees, Monday’s hearing may well determine whether they have a future in this industry at all.

Committee Hearing Information

Time: 8:00 AM, Monday, April 7, 2025
Location: JHR 120, Texas Capitol
Committee: House State Affairs
Chair: Rep. Ken King

To Register for In-Person Testimony:
https://mytxlegis.capitol.texas.gov/HWRSPublic/About.aspx

To Submit Written Comments:
https://comments.house.texas.gov/home?c=c450

Live Video Broadcast:
https://house.texas.gov/video-audio/

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