South Carolina Lawmakers Fail to Reach Consensus on Regulating Hemp‑Derived THC Products
By Jessica Holdman, South Carolina Daily Gazette
South Carolina retailers can continue selling hemp‑infused foods and beverages that contain intoxicating levels of THC after the state House rejected a bill that would have limited sales to adults 21 and older and imposed tighter controls on where the products could be sold.
Legislative background
The 2018 federal Farm Bill removed hemp from the list of controlled substances, effectively legalizing hemp‑derived cannabinoids such as delta‑8 THC when the final product contains no more than 0.3 % delta‑9 THC on a dry‑weight basis. In South Carolina, where marijuana remains illegal for recreational use, this loophole has allowed a variety of gummies, drinks, and vape products to appear on grocery shelves, in gas stations, and at vape shops.
State legislators have expressed a shared goal of keeping these items out of minors’ hands, but they have split over how far regulations should go for adult consumers.
What the rejected bill proposed
The Senate passed a measure (27‑11) that would have:
- Restricted sales of hemp‑derived THC beverages and gummies to containers with no more than 10 mg of THC per serving.
- Limited the majority of sales to licensed liquor stores.
- Allowed other retailers to apply for a special license to sell 12‑ounce beverages containing up to 5 mg of THC, provided the containers stayed behind the counter.
- Prohibited restaurants from offering any THC‑infused products.
The bill also removed penalties for driving under the influence of these products, a concession meant to attract broader support.
Points of contention
House members voted 69‑28 to kill the legislation. The opposition included 28 Democrats and 41 Republicans; no Democrat supported the restrictions.
Critics from the hemp industry argued that the proposal would effectively hand the market over to large liquor distributors, undermining small‑business owners. Representative Greg Ford (R‑Summerville), a leading advocate for the hemp sector, warned that the licensing requirements would force many stores to close because their leased locations would not meet distance rules from schools, churches, or playgrounds. He estimated that as many as 1,800 small businesses employing roughly 3,500 workers could have been affected.
On the opposite side, lawmakers such as Representative John McCravy (R‑Greenwood) warned that any regulated sale would normalize a dangerous substance and potentially increase addiction rates in the state.
Public safety perspective
House Judiciary Chairman Weston Newton (R‑Bluffton) emphasized that without clear regulation, enforcement remains patchy. He cited a letter from Chief Mark Keel of the South Carolina State Law Enforcement Division (SLED), which noted that “statewide enforcement of intoxicating THC products is virtually impossible” and poses a “significant public safety risk, especially to our young people.”
Newton urged colleagues to view the bill as a public‑safety measure rather than an economic one, aligning with the positions of the state sheriff’s association and local police departments.
Impact on consumers and businesses
Because the bill did not pass, the status quo persists: hemp‑derived THC products remain available to consumers of all ages in a variety of retail settings. Industry representatives say the current environment allows mom‑and‑pop shops to continue operating, while public‑health advocates worry about unchecked access, particularly among teenagers.
Economic analysts note that the hemp‑derived THC market in South Carolina has grown rapidly since 2020, with annual sales estimated in the tens of millions of dollars. Any future regulation will need to balance consumer safety with the livelihoods of thousands of workers tied to the sector.
What comes next?
Lawmakers may revisit the issue in the next session, or they could wait for federal action. The U.S. Department of Agriculture is expected to finalize a rule in November 2025 that would lower the permissible THC concentration in hemp products. If adopted, that federal standard could automatically tighten restrictions in South Carolina without further state legislation.
Until then, retailers and consumers will continue to navigate a legal gray area where hemp‑derived THC products are sold openly, but without comprehensive state‑level oversight.
For the original reporting, see the source: Here
