Inmate labor may be used by the state in carrying on farming and ranching operations, or in any industry established at the penitentiary, and the state may dispose of the products of the farming and ranching enterprises. The industry products may be disposed as provided in section 12-48-03.1. Sales to visitors and the general public by inmates of articles made by them in hobby shall be permitted under such rules and regulations as may be established by the warden.