By: Texas Hemp Business Council
Hemp bans would put thousands of Texans out of work
Tens of thousands of Texas jobs in the growing hemp sector are in jeopardy as state legislators consider proposals that would ban hemp products in the state.
A newly released economic report, Hemp-Derived Cannabinoids in the Lone Star State: A Revisit of the Economic Impact Analysis of Cannabinoid Retail in Texas, reveals that the hemp industry is a major contributor to the Texas economy, generating $5.5 billion in annual sales with estimated tax revenue of $268 million.
Developed by Whitney Economics, the report is an update to a similar study conducted in 2023. The 2025 report finds:
- Retail Growth: In 2025, retail revenue reached $4.3 billion, up from $3.3 billion in 2023, highlighting sustained consumer demand.
- Industry Expansion: Total employment in the hemp industry grew to 53,300 jobs in 2025, an increase of 3,200 from 50,100 in 2023.
- Higher Pay: Industry-wide wages rose to $2.1 billion in 2025, up from $1.6 billion in 2023, with hourly pay increasing across all sectors.
Proposed state regulations, including Texas SB3, which seeks to ban all low-dose hemp-derived THC products, could cost the industry $7.5 billion and 40,201 jobs, according to the latest data.
The Texas hemp-cannabinoid market is home to more than 8,500 businesses, with 72% reporting profitability this year. The 2025 report further estimates the industry’s total revenue at $5.5 billion* and its overall economic impact at $10.3 billion.
The Texas Hemp Business Council strongly encourages Texans to reach out to your local state legislators and urge them to oppose SB 3 and HB 28. To voice your opposition, please click here.