As the Texas hemp industry faces a 3,000% license fee hike and new restrictions on key federally legal hemp-derived products effective March 31, MNG Brands has announced an emergency relief program.
Starting today, the state has banned smokeable hemp products along with certain CBD/hemp vapes while also increasing the retail licensing fee from $150 to $5,000.
In response, the MNG Brands' "Texas Hemp Retailer Relief Program" includes a $50,000 Licensing Relief Grant and Statewide Inventory Buy-Back programs designed to support small businesses across the state.
"Texas small businesses are being handed a $5,000 bill on the same day the state is taking away their top-selling products," said David Palatnik, president of MNG Brands, in a statement. "We aren't going to watch our community collapse. We are putting our capital and our supply chain to work to ensure Texas shops can pivot, stay legal, and stay in business."
The initiative includes:
- The $50,000 Relief Grant: A reimbursement credit of the $5,000 state license fee for 10 selected retail businesses for financial relief.
- The Inventory "Buy-Back": A statewide buy-back program allowing retailers to swap non-compliant products for MNG's products with the objective of enabling shops to stay legal and keep shelves stocked.
The company said an "expert judging panel" will choose "businesses that are pillars of their communities and the hemp industry."
Applications open March 27th at go.mngbrands.com/relief/#apply.
"At MNG Brands, people have always come first. This initiative reflects our deep commitment to the wellness journey of every customer who walks through the doors of a Texas hemp retailer. We believe that access to high-quality, compliant hemp and wellness products is not a luxury but an essential part of helping people lead healthy and fulfilling lives," said Jason Brandl, Chief Operating Officer of MNG Brands. "By protecting the small businesses that serve those customers every day, we are protecting that access. MNG Brands is proud to invest in the communities, the retailers, and the people who make this industry meaningful, because when people thrive, everything else follows."
