BRYAN, Texas (KBTX) – Texas health officials have proposed dramatic hikes for licensing fees for hemp businesses, with increases up to 13,000% for some operators. Supporters say the change could further regulate the market, but critics say it could force small businesses out of the market.
“They’re not really moored in reality,” said Mark Bordas, the Executive Director of the Texas Hemp Business Council. “They seem punitive and as a form of punishment, versus being needed and necessary to regulate a burgeoning industry.”
Bordas said on Monday that this industry has been through a lot in the past year. The $10 billion a year enterprise has continued to grow because it is more widely accepted for consumption.
“We want to make sure that if the public adults do choose to use the product, they can do so with safety. And we’re looking to get the bad actors out of the marketplace. So for those reasons, we’ve been seeking regulation of this space for the past several years,” Bordas explained.
While he said this is part of the process, Bordas didn’t anticipate the fee hike to be so drastic.
“We’re going to point out the inconsistencies with raising it by this much and this short period of time. It may be disastrous towards small businesses,” he said. “We want to police and clean up this industry. We want those that are law abiding to be able to participate in it, sell the products and then the public to be safe using those products.”
For the full interview, click the video player above.
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