Aug. 1, 2020
New TX Hemp Rules Take Effect 8/1
Retail Licensing & Product Labeling Requirements Among Major Provisions


The Texas Dept. of State Health Services (DSHS) has adopted final regulations governing the cultivation of hemp in Texas, as well as the manufacture, processing, distribution and retail sale of hemp-derived products. The regulations were posted in the Texas Register on July 24 and take effect on Monday Aug. 3. The rules were adopted to implement the provisions of HB 1325, signed into law on June 10 , 2019.

Under the new rules, products derived from hemp, including any products containing cannabidiol (CBD) at concentrations of .03 percent or less, are classified by DSHS as consumable products. The sale of these products ̶ defined as “ food, drugs, cosmetics, and devices containing hemp or one or more hemp-derived cannabinoids ” ̶ in Texas requires a retail license issued by DSHS.
Rules Governing Products Sold at Retail Locations

  • Starting Aug. 3, you must have a DSHS-issued license to legally sell hemp-derived products at your pharmacy* (see note below).
  • Products may contain no more than .3 percent THC as measured on a dry-weight basis.
  • The retail sale of hemp-derived products intended to be smoked is prohibited; CBD products created for vaping may be sold.
  • Each product sold in a retail setting must display either a URL (web address) or QR Code ̶ that links to:
  • The name of the product and its manufacturer;
  • The phone number and email address of the manufacturer;
  • The lot number and lot date of the product; and
  • A Certificate of Analysis stating that the THC content of the product does not exceed .3 percent.
  • Registered retailers of hemp-derived products are subject to inspections or reviews by DSHS enforcement staff, including the inspection and/or testing of the hemp products they sell.
  • Retailers found to be in violation of DSHS rules will be notified of the violation(s) and given the opportunity to remedy the situation within 10 business days. Violations may be subject to administrative penalties depending on the severity of the violation(s), circumstances, remedial efforts and any record of previous violations.  
* HB 1325 allows you to possess, transport or sell consumable hemp products that are in your inventory prior to the Aug. 3 effective date of the DSHS rules without a hemp retailer license. However, you must be able to ensure those products are safe by being free of heavy metals, pesticides, harmful microbes and residual solvents. You must apply for a retail license to legally sell hemp-derived products acquired on or after Aug. 3.

How Licensing Works
You must obtain a retail sales license from DHS for each retail location that you operate. There is a $150 application fee per location and licenses may be renewed annually for $150. The first step is to go to the DHS licensing portal at https://vo.ras.dshs.state.tx.us/datamart/login.do and open an online user account. After that, you can select the Hemp Retail Registration Application and begin completing it online. The application will be available starting Aug. 3 in both paper and electronic forms. For assistance or more information, contact DSHSHempProgram@dshs.texas.gov .

NOTE:  Hemp Retail Registration applicants  are not required to undergo the FBI criminal history check that is required of applicants for other types of hemp licenses.

Protect your pharmacy & patients by purchasing CBD products from manufacturers that
 rigorously test their products, display test results and offer ethical advice on purity and dosing. Visit our CBD Resource Page for guidance & vendor recommendations.