Alabama House Swiftly Passes Regulations for Consumable Hemp Products
MONTGOMERY Ala.
ABC3340
April 14, 2025
The Alabama House of Representatives quickly passed a bill regulating the manufacturing, wholesale distribution, and sale of consumable hemp products, including products with CBD and THC in them.
House Bill 445 authorizes the Alabama Alcoholic Beverage Control Board to regulate products through licensing manufacturers, wholesale distributors, and retailers.
The sale of products to people under 21 years old is prohibited, which is in line with current law.
The legislation restricts retail businesses that can sell consumable hemp products to just existing liquor stores, standalone locations that sell only consumable hemp products, and other locations that minors cannot get into.
The legislation also:
lays out penalties for selling products to a minor
establishes labeling and testing requirements for products
prohibits the sale of any inhalable hemp product
limits the amount of THC that can be in consumable hemp products to 5 milligrams of total THC or 0.3 % total THC on a dry weight basis
imposes an excise tax of 7% on manufacturers and wholesalers for the gross sales of hemp products sold to retailers
creates the Consumable Hemp Product Compliance Fund to provide for the board’s administration and enforcement costs
provides civil and criminal penalties for violations
authorizes the board to seize unlawful hemp products
repeals the state law allowing the sale of psychoactive cannabinoids to adults
HB445 also prevents the sale of products for on-premises consumption.
“It affects every neighborhood across the state. These are unregulated, unchecked, and dangerous products that are being sold to our children, in convenience stores and retailers across the state. It is time we put guardrails on this to protect our students that are in high school,” said Rep. Andy Whitt, R-Harvest.
Whitt is the sponsor of HB445.
During public hearings this session for bills dealing with regulating the hemp industry, business owners have expressed the need for regulations to stop bad actors. However, they were also concerned that the proposals being discussed could negatively impact their operations.
Whitt said businesses could still be licensed to participate in the industry.
“That’s where I think consumers can go to purchase this product. I know it is a lower dosage, but I still think they will have the ability to purchase these products,” he said.
With the passage of HB445 in the House, it will be voted on by a Senate committee next.
HB445 is one of several bills introduced in the 2025 legislative session to regulate or ban hemp products.
