As of January 1, 2026, House Bill 445 will bring the state’s most comprehensive regulatory framework yet for consumable hemp products. HB445 expressly adds a new chapter to state law, and the language makes clear the legislature intended a sweeping restructuring of the hemp market rather than a narrow ban.
The bill defines a “consumable hemp product” as “a finished product that is intended for human or animal consumption and that contains any part of the hemp plant or any compound, concentrate, extract, isolate, or resin derived from hemp,” while explicitly excluding “any smokable hemp product” and “any product that contains psychoactive cannabinoids that are created by a chemical synthesis, modification, or chemical conversion from another cannabinoid, utilizing non-cannabis materials.” That definition draws a line between narrowly allowed ingestible or topical products and prohibited smokable or synthetically altered ones.
The statute states that “effective January 1, 2026, consumable hemp products distributed into or within the state and offered for sale and sold to consumers in this state shall be governed by this chapter,” and that the Alcoholic Beverage Control Board “shall administer and enforce this chapter and shall adopt rules as necessary to implement this chapter.”
It also creates a Consumable Hemp Product Compliance Fund. A 10 percent excise tax will be placed on the retail sales price of consumable hemp products, with the proceeds split between the state and local governments.
As of January 1, only retailers licensed by the ABC Board may sell consumable hemp products in Alabama. The Board has established a licensing structure that includes specialty retailers, pharmacies and certain food retailers.
Businesses must apply for and maintain licensure, comply with record-keeping requirements and submit to inspections. Sales of consumable hemp products through online platforms, by mail order, through vending machines, or by direct delivery to consumers are prohibited once the law becomes effective.
The statute and accompanying rules impose limits on THC content and establish product standards. Consumable hemp products are limited to a maximum of 10 milligrams of total THC per serving and 40 milligrams per package. Products must be tested by approved laboratories and must meet labeling requirements that disclose cannabinoid content and other required information. Packaging must be child-resistant, and marketing and labeling may not be designed to appeal primarily to minors. Sales are restricted to persons 21 years of age or older.
In December, the Alabama Alcoholic Beverage Control Board adopted an emergency rule to implement what it calls a Responsible Consumable Hemp Product Program. The rule establishes procedures for warnings, corrective action plans and escalating enforcement when retailers or distributors sell products that violate testing, labeling, or safety standards. The board described the emergency rule as necessary to ensure it has enforceable standards in place on the first day the law becomes fully effective.
The ABC Board, however, maintained that the rule is temporary, set to expire in April, and is intended only as a bridge until permanent regulations are adopted through the normal rulemaking process.
