Texas c-stores face potential hemp-THC ban as senate approves restrictive bill

Legislation now moves to House consideration in a state with more convenience stores than any otherBy Heather Lalley on Aug. 21, 2025

Convenience retailers’ ability to sell products containing hemp-derived THC hangs in the balance in Texas, where the state’s legislature began its second special session this week.

On Tuesday, the state Senate voted 22-8 to approve SB-6, which would ban the sale of all intoxicating hemp THC beverages, edibles and more.

It was the third try during this legislative session to pass what some have termed “hemp-killing” legislation, despite Gov. Greg Abbott vetoing an earlier version of the bill in June.

At that time, Abbott said the bill would put “federal and state law on a collision course” by criminalizing cannabinoids that are currently legal under the 2018 Farm Bill.

Instead, Abbott said, “Texas must enact a regulatory framework that protects public safety, aligns with federal law, has a fully funded enforcement structure, and can take effect without delay. Legislators could consider a structure similar to the way alcohol is regulated.”

The bill now moves to the Texas House, where lawmakers have a Sept. 3 deadline to return the bill to the governor if they want to be able to override a second potential veto.

The outcome has wide-ranging repercussions.

Texas has more convenience stores than any other, a total of 16,416 or more than 10% of the total c-stores in the United States, according to NACS data released earlier this year.

Also, Texas’ hemp-derived THC industry generates $5.5 billion annually and delivers $267.7 million in state sales tax revenue each year, according to a March report in Texas Hemp Reporter, citing Whitney Economics data.

“I would encourage the Texas retail community to really stand up on this issue because, if they don’t, the downside here for many retailers is not actually a ban,” said Jake Bullock, co-founder of low-dose THC beverage company Cann. “It’s that regulations pass and they’re not a part of it. This is only restricted to package stores. Now liquor is going to take this.”

Bullock urged concerned retailers to contact their state representatives ASAP about the proposed ban to make their voices heard.

“I think the pitch is pretty simple to these elected officials,” he said. “In our stores today, we take our responsibility of selling that intoxicating product very, very seriously. We can do the same for these drinks. Tell us what Texas is comfortable selling, and we’ll make sure we sell compliant, high-quality products. And that’s what retailers are great at doing and have been doing, at least in the alcohol world, for almost a hundred years.”

Cann was founded in 2019 and launched with a line of drinks with just 2mg of hemp-derived THC per serving. The brand is now sold in liquor stores in 30 states and ships via online ordering to consumers in more than 35 states, he said.

“The c-stores are really getting into the space,” Bullock said.