Texas Hemp and Emerging Crops: Regulations and Opportunities

Texas farmers navigating the hemp space are working inside one of the more precisely constructed regulatory frameworks in American agriculture — a system shaped by federal law, state statute, and a licensing program that has evolved considerably since 2019. This page covers the definition of hemp under Texas and federal law, how the licensing and testing process operates, the crops that qualify as "emerging" in the Texas context, and the decision points that determine whether a given operation is compliant or at risk. It draws on Texas Department of Agriculture rules, USDA hemp program guidance, and publicly available crop data.

Definition and scope

Hemp is defined under the Agriculture Improvement Act of 2018 (the 2018 Farm Bill) as Cannabis sativa L. with a delta-9 tetrahydrocannabinol (THC) concentration of no more than 0.3 percent on a dry weight basis. Texas incorporated that threshold directly into state law through Texas Agriculture Code Chapter 122, which authorized the Texas Department of Agriculture (TDA) to create a state hemp program approved by USDA.

That 0.3 percent figure is the entire hinge of legal hemp production. Above it, the plant is classified as marijuana under the federal Controlled Substances Act — a Schedule I substance — regardless of what the farmer intended to grow. Below it, hemp is an ordinary agricultural commodity. The difference between those two categories is, in practice, a laboratory result.

"Emerging crops" in Texas agriculture most often refers to hemp, but the category also includes industrial hemp varieties grown for fiber and grain rather than cannabidiol (CBD), as well as crops gaining ground in the state's diversified production base — among them kenaf, stevia, moringa, and specialty herbs. The Texas A&M AgriLife Extension Service tracks agronomic research on emerging alternatives, particularly in regions where drought pressure or low commodity prices have pushed producers to explore outside cotton, corn, and grain sorghum.

Scope limitation: This page addresses Texas-specific licensing, TDA oversight, and USDA Hemp Production Plan compliance. Federal Drug Enforcement Administration (DEA) scheduling rules, CBD product labeling under FDA jurisdiction, and interstate transport regulations are outside the scope of TDA's program and are not covered here.

How it works

The TDA's hemp program requires producers to hold a license before planting. The licensing process involves:

Application submission to TDA, including GPS coordinates of each production site to within 1 acre of precision.
Background check — the 2018 Farm Bill permanently bars anyone with a state or federal felony conviction related to a controlled substance from obtaining a hemp producer license for 10 years following conviction (7 CFR Part 990).
Pre-harvest testing — samples must be taken by a USDA- or TDA-approved sampler no more than 30 days before expected harvest.
Laboratory analysis at a DEA-registered laboratory, targeting total THC (delta-9-THC plus the acid precursor THCA, calculated by a specific conversion formula).
Disposal or harvest depending on results — lots testing above 0.3 percent total THC are classified as "hot" and must be destroyed under TDA supervision.

A hemp producer in Texas operates under a license valid for 1 year. The annual license fee structure and application forms are maintained by Texas Department of Agriculture's Hemp Program.

Fiber and grain hemp varieties follow the same testing requirements as CBD varieties, though their THC accumulation patterns differ. Fiber cultivars tend to stay well below the threshold; high-CBD flower varieties require more careful cultivar selection and growing condition management.

Common scenarios

Scenario 1: CBD flower production — A producer in the Brazos Valley plants a high-CBD cultivar on 15 acres. Pre-harvest sampling at day 25 before harvest returns a result of 0.31 percent total THC. The lot is now "negligently" non-compliant under 7 CFR 990.6. TDA requires destruction. Up to 3 negligent violations in a 5-year period are allowed before USDA-level enforcement escalates.

Scenario 2: Fiber hemp for textiles — A West Texas grower plants an EU-certified fiber cultivar on 200 acres to supply a regional textile processor. THC accumulation in low-CBD fiber varieties is generally low; the grower's pre-harvest sample returns 0.14 percent. Harvest proceeds. Processing facilities for hemp fiber remain limited in Texas, making market access the more pressing constraint than regulatory compliance.

Scenario 3: Emerging crop diversification — A Hill Country producer transitions 50 acres from conventional row crops to moringa for a regional supplement buyer. No hemp license is required — moringa (Moringa oleifera) is not a controlled substance — but TDA's Nursery and Floral Program may apply if propagating and selling plant material.

Decision boundaries

The critical fork in hemp compliance comes down to 4 questions:

Is the THC at or below 0.3 percent? If yes, the crop is hemp. If no, the crop is marijuana, and destruction is mandatory regardless of intent.
Does the producer hold a current TDA license? Unlicensed cultivation of any Cannabis sativa L. — even below threshold — is a violation.
Was sampling performed by an approved sampler within the 30-day window? Out-of-window testing invalidates compliance documentation.
Is the production site registered by GPS coordinates? Unregistered acreage cannot be covered by a license, even if the licensee's other fields are compliant.

The contrast between hemp and other emerging crops is worth noting: kenaf, stevia, and most specialty herbs carry no controlled-substance classification and require no special TDA licensing beyond standard nursery or pesticide applicator rules. Hemp is unique in that a single laboratory number — 0.3 percent — separates an agricultural commodity from a federally illegal substance. For a broader look at how crop-specific regulations fit into Texas's overall agricultural regulatory landscape, see Texas Agricultural Laws and Regulations and the full overview at Texas Agriculture Authority.

References

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