Texas DSHS Issues Enforcement Notice to 34 Hemp Retailers for Selling Delta-8 THC Products That Exceed 0.3% THC on a Dry-Weight Basis (August 2025)

The Texas Department of State Health Services issued enforcement notices to 34 hemp product retailers across the state after market surveillance testing found delta-8 THC products that tested above 0.3% total THC on a dry-weight basis, making them illegal under Texas Health and Safety Code § 443.204.

Texas Hemp Regulatory Framework

Texas's Hemp program, administered by the Texas Department of Agriculture for cultivation and the Texas Department of State Health Services (DSHS) for consumable hemp products, defines hemp as the cannabis plant with a total delta-9 THC concentration not exceeding 0.3% on a dry-weight basis. Under Texas Health and Safety Code § 443.204, consumable hemp products must be tested by an ISO-accredited laboratory and must not exceed the 0.3% threshold.

Market Surveillance Results

In July 2025, DSHS compliance investigators purchased delta-8 THC products from 60 retailers across Austin, Houston, Dallas-Fort Worth, and San Antonio. Of the 60 retailers tested:

34 retailers had products testing between 0.31% and 2.4% total THC on a dry-weight basis
12 retailers had products with no COA available on-site or accessible via QR code
8 retailers had products with COAs from non-ISO-accredited laboratories

Enforcement Notices

DSHS issued Enforcement Notices to all 34 retailers with compliant-testing violations, requiring:

Immediate removal of all delta-8 THC products from sale
Submission of updated COAs from an ISO-accredited Texas-registered laboratory within 15 days before re-stocking
Certification by a principal owner that all remaining hemp products comply with § 443.204

Retailers failing to respond to the Enforcement Notice within 15 days face civil penalties under THS § 443.204(h) of up to $1,000 per day per violation.

Industry Context

Texas has not legalized adult-use cannabis, and the delta-8 THC market has operated in a legal gray zone since the 2018 Farm Bill. DSHS has signaled that its market surveillance cadence will increase in 2026 as the Texas Legislature considers potential hemp product restrictions.

Compliance Guidance

Texas hemp retailers should require COAs from ISO/IEC 17025-accredited laboratories that report total THC (sum of delta-9 THC + 0.877 × THCA) not exceeding 0.3% on a dry-weight basis. COAs must be current (within 12 months of test date) and accessible to consumers.