Alabama Sets Strict New Rules for Hemp Products: What Gov. Ivey’s Signature Bill Means for Consumers, Businesses, and Public Health

marijuana-3646055_1280 (1)

Introduction: A Turning Point for Hemp in Alabama

On May 15, 2025, Alabama Governor Kay Ivey signed a landmark bill into law that fundamentally changes how hemp-derived products-such as gummies, drinks, and other consumables containing cannabinoids-are regulated and sold across the state. This legislation, which has been the subject of intense debate and lobbying from both sides, is set to reshape Alabama’s hemp marketplace, impacting consumers, small businesses, and public health policy for years to come.

Background: The Rise of Hemp-Derived Cannabinoids

The popularity of hemp-derived products, especially those containing delta-8 THC and similar cannabinoids, has surged in recent years. The 2018 federal Farm Bill legalized hemp and its derivatives, creating a legal loophole that allowed these products to be sold even in states where marijuana remains illegal. As a result, hemp-infused gummies, beverages, and vape products have appeared everywhere from gas stations and vape shops to specialty wellness stores.

However, the rapid proliferation of these products-often with little oversight-has raised concerns about safety, marketing to minors, and the lack of clear regulations. Reports of accidental ingestion by children and uncertainty about product contents have prompted calls for tighter controls.

Key Provisions of the New Alabama Hemp Law

Governor Ivey’s signature on House Bill 445 enacts a sweeping set of regulations, making Alabama one of the strictest states in the nation when it comes to consumable hemp products. Here’s a detailed breakdown of the law’s main components:

1. THC Potency Limits

Edible and Beverage Restrictions: Each serving of a consumable hemp product (such as gummies, chocolates, or drinks) may contain no more than 10 milligrams of hemp-derived tetrahydrocannabinol (THC), including delta-8, delta-9, and delta-10 variants.

Total Package Limits: Packages are also subject to a maximum total THC content, further reducing the risk of overconsumption.

2. Age and Purchase Restrictions

Minimum Age: Only adults aged 21 and over are permitted to purchase or possess these products.

ID Verification: Retailers are required to verify age at the point of sale, much like with alcohol and tobacco.

3. Retail Sales and Display Rules

Authorized Retailers Only: The sale of consumable hemp products is restricted to establishments licensed by the Alabama Alcoholic Beverage Control Board.

Specialty Shops and Large Grocers: Sales are limited to specialty hemp shops or grocery stores with at least 14,000 square feet of retail space.

Product Placement: THC products must be kept behind the counter or in locked cabinets, out of public view, similar to the way cigarettes are sold.

4. Product Restrictions and Bans

No Smokable Hemp: The law bans the sale and possession of smokable hemp products, including pre-rolled joints, loose flower, and vape cartridges.

No Online Sales: Direct-to-consumer online sales and delivery of consumable hemp products are prohibited within Alabama.

5. Testing, Labeling, and Safety Standards

Mandatory Testing: All consumable hemp products must undergo laboratory testing for potency, purity, and contaminants.

Labeling Requirements: Packages must clearly state the THC content per serving and per package, include safety warnings, and provide batch numbers for traceability.

6. Taxation and Licensing

New Tax Notice: A 10% excise tax will now apply to purchases of consumable hemp products, along with the usual state and local sales taxes.

Licensing Fees: Retailers must pay licensing fees and comply with ABC Board regulations, including regular inspections.

7. Enforcement and Penalties

Strict Penalties: Violations of the new law can result in hefty fines, license revocation, and even criminal charges, including potential jail time for serious offenses.

Product Seizure: The ABC Board is empowered to seize and destroy products that do not comply with the new rules.

The Debate: Supporters and Opponents Speak Out

Supporters’ Perspective: Protecting Public Health

Supporters of the legislation, including bill sponsor Rep. Andy Whitt, emphasize that the measure is an important move toward safeguarding children and promoting consumer safety. They point to the lack of federal oversight and the potential for accidental ingestion or abuse as key reasons for state-level intervention.

“Crafting this legislation was no simple task—there were passionate views across the board,” said Rep. Whitt. “We worked through intense discussions, but ultimately, our focus remained clear: ensuring safeguards are in place to protect the health and well-being of our children.”

Supporters also highlight the importance of clear labeling and testing, which they say will help consumers make informed choices and avoid dangerous or mislabeled products.

  • Concerns from Opponents: Potential Impact on Small Businesses and Patient Access
  • On the other hand, many small business owners and advocates for alternative medicine have criticized the law as overly restrictive. They argue that the regulations will force many independent retailers out of business, eliminate jobs, and cut off access to products that some Alabamians rely on for pain, anxiety, insomnia, and other health issues.
  • Jenni Otwell, founder of Magic City Organics, called the legislation “eradication, not regulation,” warning that it could push consumers toward unregulated and potentially unsafe black-market products.
  • Daniel Deriso, founder of the Forging Progress PAC, echoed these concerns, stating, “This could force many small businesses to close, lead to job losses, and limit access to hemp-based products that countless individuals depend on for managing pain, anxiety, and other wellness needs.”
  • Conservative groups, meanwhile, had urged Governor Ivey to veto or further amend the bill, arguing that it still permits the recreational use of THC and does not go far enough to prevent abuse.

Broader Context: Alabama’s Place in the National Hemp Debate

Alabama’s new law is part of a broader national trend as states grapple with how to regulate hemp-derived cannabinoids in the absence of clear federal guidelines. While some states have banned products like delta-8 THC outright, others have imposed strict regulations similar to Alabama’s approach.

The law also comes at a time when Alabama’s medical marijuana program remains stalled due to ongoing legal disputes over licensing, leaving patients with few legal alternatives for cannabinoid-based therapies.

Implementation and Next Steps

The new regulations take effect on July 1, 2025. Retailers have a short window to adapt to the new requirements, secure licenses, and ensure their products meet the new standards. The ABC Board will begin issuing licenses and conducting compliance checks in the coming months.

What Consumers Need to Know

Check you’re Products: Only purchase hemp-derived edibles and beverages from licensed retailers after July 1, 2025.

Mind the Limits: Be aware of the 10mg THC per serving rule and always check product labels.

No Smokables: Avoid purchasing or possessing smokable hemp products, as these will be illegal.

Age Restrictions: Be prepared to show ID if you are under 21 or appear underage.

Conclusion: A New Era for Hemp in Alabama

Governor Ivey’s signing of House Bill 445 marks a pivotal moment for Alabama’s hemp industry. While the law aims to protect public health and bring much-needed oversight to a rapidly growing market, it also raises significant questions about access, economic impact, and the future of alternative wellness products in the state.

As the July 2025 implementation date approaches, both consumers and business owners will need to stay informed and adapt to the new regulatory landscape. Whether these changes will ultimately benefit or hinder Alabama’s resident’s remains to be seen, but one thing is clear: the era of unregulated hemp products in Alabama has come to an end.

Source:-

https://www.wsfa.com/2025/05/14/gov-ivey-signs-bill-regulating-hemp-products-alabama

https://alabamareflector.com/2025/05/14/gov-kay-ivey-signs-controversial-alabama-hemp-regulation-into-law

https://apnews.com/article/alabama-legislature-hemp-kay-ivey-7057a4b545a0cdf339ac5ab3954cefd6

https://www.wvtm13.com/article/alabama-hemp-thc-law/64772935

https://www.al.com/politics/2025/05/ivey-signs-bill-giving-alabama-abc-board-control-of-thc-products-despite-calls-for-veto.html

https://www.alreporter.com/2025/05/15/gov-ivey-signs-major-hemp-cbd-restrictions-into-law-despite-calls-for-veto