South Carolina Bill to Ban Most Hemp THC Products, Create Alcohol-Style System for THC Drinks Approved by House Judiciary

South Carolina legislation that would ban the sale of nearly all consumable hemp products while creating a tightly controlled, alcohol-style licensing system for low-dose hemp beverages, has been given approval by the House Judiciary Committee. House Bill 4759 was prefiled in December by 41 Republican lawmakers and formally introduced January 13. The measure received a favorable report with amendment from the Judiciary Committee today, sending it forward for further consideration by the full House. The committee also approved House Bill 4759.

The legislation declares that the “manufacture, sale, and distribution of consumable hemp products is strictly prohibited” unless specifically allowed under the new framework it creates. Under the proposal, gummies, vapes, tinctures, concentrates and other hemp-derived THC products currently sold in vape shops, convenience stores and other retail outlets across the state would become illegal to sell or possess. Violations would be punishable under the same statutes that govern Schedule I controlled substances.

At the same time, the legislation creates a new Chapter 14 in Title 61 of state law to regulate what it calls “hemp beverages” in a manner nearly identical to how alcoholic liquor is handled in South Carolina. These beverages would be limited to no more than five milligrams of hemp-derived delta-9 THC per 12-ounce serving and could only be sold in sealed cans or bottles.

Only businesses that already hold a retail liquor store license would be eligible to obtain a hemp beverage retail license. Manufacturers and wholesalers would also need separate state licenses, with biennial fees set at $50,000 for manufacturers, $20,000 for wholesalers and $1,200 for retailers. The drinks would be taxed at the same rate as alcoholic liquor, including per-ounce taxes and per-case wholesale taxes.

The proposal also imposes extensive testing, packaging and labeling requirements, mandates child-resistant packaging, requires scannable barcodes tied to certificates of analysis, and prohibits any packaging that could appeal to children. Online sales, direct shipments and Sunday sales of consumable hemp products would be prohibited.

Enforcement authority would fall primarily to the South Carolina Law Enforcement Division, which would be required to conduct random, unannounced inspections of businesses. The fiscal impact statement attached to the bill estimates SLED would need 10 new agents and more than $2.4 million in additional funding to carry out enforcement.

If enacted, the portion of the bill dealing with under-21 sales would take effect upon the governor’s signature, with the broader regulatory system scheduled to take effect later in 2026.