New Hemp Regulations Threaten Southeast Texas Smoke Shops

Strict THC limits and steep fee hikes could force closures and revenue loss for local businesses.

Mar. 30, 2026 at 11:38pm

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A high-end, photorealistic studio still-life photograph featuring a collection of premium hemp products, including tinctures, gummies, and vape cartridges, arranged elegantly on a clean, monochromatic background, conceptually representing the abstract corporate strategy and regulatory challenges facing the hemp industry.As new hemp regulations threaten to upend the Southeast Texas smoke shop industry, this still-life captures the premium products at the heart of the debate.Beaumont Today

New hemp regulations set to take effect on March 31 in Southeast Texas could significantly impact smoke shops across the region. The rules limit THC levels in hemp products to 0.3% and sharply increase licensing fees for businesses, which smoke shop owners warn could force closures and cut deeply into revenue. Manufacturers now face a $10,000 license fee, up from $258, while retail registration fees will jump from $155 to $5,000.

Why it matters

The new regulations aim to address health concerns around unregulated hemp products, but smoke shop owners say the changes could have unintended consequences, threatening smaller businesses and limiting access to hemp-based products used by some customers, including veterans, for relief.

The details

The Beaumont Public Health Department, which does not have direct oversight of the new regulations, says the changes will eliminate certain hemp products currently sold in stores. Smoke shop manager Jacob Eppes estimates 40-50% of his store's sales could be affected, as any product containing more than 0.3% THC must be removed from shelves. In addition to the product restrictions, Eppes says the steep increases in licensing fees could make it harder for smaller shops to stay competitive, potentially benefiting larger companies.

  • The new hemp regulations in Southeast Texas will take effect on March 31, 2026.
  • The Beaumont Public Health Department says the changes will eliminate smokable hemp products starting on March 31.

The players

Kenneth Coleman

Director of the Beaumont Public Health Department.

Jacob Eppes

Manager of High Times, a smoke shop with four locations across Southeast Texas.

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What they’re saying

“The new law, which will begin on March the 31st, will eliminate the smokable hemp products.”

— Kenneth Coleman, Director of the Beaumont Public Health Department

“Did I see this coming? Yes. Did I see it coming this way? Exactly? Not really.”

— Jacob Eppes, Smoke shop manager

“Out of all the stuff that we sell, out of all the stuff that we have to put away, percentage-wise, it's probably 40 to 50% of our sales.”

— Jacob Eppes, Smoke shop manager

“It's a huge increase.”

— Kenneth Coleman, Director of the Beaumont Public Health Department

“I think that puts a big dent in the ability for smaller shops to become prominent in the state. And also they're forcing bigger companies to give more money to the state when it comes to it.”

— Jacob Eppes, Smoke shop manager

What’s next

The Beaumont Public Health Department will assist in reporting any issues that arise from the new hemp regulations, which go into effect on March 31.

The takeaway

The new hemp regulations in Southeast Texas aim to address health concerns, but smoke shop owners warn the strict THC limits and steep fee hikes could have unintended consequences, threatening the viability of smaller businesses and limiting access to hemp-based products used by some customers for relief.