Retailers licensed by the Tennessee Alcoholic Beverage Commission (TABC) are required to purchase hemp-derived cannabinoid products (HDCPs) only from properly licensed sources. Specifically, licensed retailers may obtain products only from a TABC-licensed wholesaler, and wholesalers may sell only products that comply with Tennessee law and applicable TABC rules. Wholesalers must in turn source products from a TABC-licensed supplier.
The new licensing structure is intended to create a regulated supply chain that significantly reduces the likelihood of noncompliant products entering licensed retail locations. By requiring suppliers, wholesalers, retailers, and testing laboratories to all operate under TABC oversight, the law establishes multiple compliance checkpoints before products reach consumers.
An HDCP retail license issued by the Tennessee Alcoholic Beverage Commission (TABC) authorizes the sale of lawful hemp-derived cannabinoid products (HDCPs) to consumers at a licensed retail location.
Generally, this includes products such as:
- Edibles (e.g., gummies and other ingestible products)
- Beverages
- Inhalable products
- Topical products intended to be absorbed through the skin
All products sold by a licensed retailer must comply with Public Chapter 526, enacted 2025, and applicable TABC rules.
Under TABC licenses:
- Products must contain no more than 0.3% total THC, as defined in statute.
- “Total THC” is calculated as (THCA × 0.877) + Δ9-THC.
- Products may not contain THCp
- Products must be tested by a TABC approved and registered laboratory (Registry of Testing Laboratories).
- Each product must be labeled with a QR code linking to the product’s certificate of analysis (COA).
- Retailers must obtain all products from a TABC-licensed wholesaler, who in turn must source products from a TABC-licensed supplier. A list of TABC-license wholesalers is available at this link.
For specific statutory and regulatory requirements — including allowable concentrations, serving sizes, packaging, and labeling standards — please refer to:
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