Alabama Advances Bill to Regulate Hemp-Derived THC Products

8 April 2025

Alabama lawmakers are taking steps to impose stricter regulation on consumable hemp products like THC-infused gummies and beverages.

The Alabama House Health Committee unanimously advanced House Bill 445, which would move oversight of these products under the state's Alcoholic Beverage Control (ABC) Board. The bill aims to tighten licensing, marketing, and packaging requirements amid growing concerns over youth access and product safety.

Under the proposed legislation, hemp-derived products would be restricted to individuals 21 and older, THC content would be capped at 5 milligrams per serving, and marketing targeted at minors would be banned. The bill also establishes a 7% excise tax, licensing fees for manufacturers, wholesalers, and retailers, and mandatory third-party lab testing for safety verification.

The move comes as hemp-derived cannabinoids like Delta-8, Delta-9, and Delta-10 — legal under federal law — have become widely available in Alabama stores with little state regulation. Supporters argue that products with psychoactive effects should be regulated similarly to alcohol to protect consumers and prevent underage access.

However, some business owners warn that the bill could hurt Alabama’s growing hemp industry, potentially driving responsible retailers out of the market. Convenience store operators and other stakeholders have pushed for fair rules that would allow broader retail access rather than limiting sales to specialty outlets or liquor stores. Some have also called for an economic impact study to assess how the new regulations could affect small businesses and consumers.

House Bill 445 now heads to the full House for debate. Its passage could significantly reshape Alabama’s retail market for hemp products — and signal how the state plans to regulate this fast-evolving industry in the future.