Farm Progress

Commercial hemp production faded, along with its legality, many decades ago in the U.S., but enthusiasts and business people are trying to reinvigorate it.

Brad Haire, Executive Editor

November 9, 2016

4 Min Read
<p>Baling hemp grown on a research plot on the University of Kentucky&#39;s C. Oran Little Research Center in Woodford County.</p>Photo by Steve Patton, UK College of Ag

Commercial hemp production faded, along with its legality, many decades ago in the U.S., but enthusiasts and business people are trying to reinvigorate hemp as a modern-day cash crop in states where recent legislation has OK’d it, like in Kentucky. Things are being learned anew about how to farm marijuana’s utilitarian cousin.

“It has been kind of interesting getting into this work, and we’ve been doing a lot of work with Kentucky Department of Agriculture and few other folks around the state and we’ve kind of launched into this hemp program. It is by far not the only thing I do and I’m not staking a claim into this but it has been fascinating to look into this because one reason when I go back into my farm’s history (in Kentucky), hemp was one of the crops that was produced on it,” said Tyler Mark, University of Kentucky production economist, who spoke about hemp in Kentucky at the 2016 Southern Outlook Conference in Atlanta.

Mark has run across some interesting facts, myths (and people), as he has researched the past, present and economic potential for hemp in Kentucky:

Myth #1: Industrial hemp doesn’t require fertilizer or can do well on marginal land. False, said Mark. If growing hemp to sell the seed, its fertility needs are about the same as soybeans. If grown for fiber, its fertility needs resemble that of corn. If grown for what can be its highest value cannabidiol, or CBD, the fertility is not known. CBD oil is the non-psychoactive concentrate used as a dietary supplement

Myth #2: If you grow hemp it makes you ineligible to receive crop insurance for other commodities. This was a myth that did have some legit legs under it at one time. But it is false now. USDA recently issued a statement that says commercial hemp farmers who grow hemp in states where it is legal can participate and are eligible for federal loans, grants and other programs, Mark said.

Myth #3: A hemp field can be used to hide marijuana. In theory, this myth is plausible; a marijuana grower could plant his pot in an industrial hemp field, but he’d be shooting himself and his product in the foot. Cross pollination between hemp and marijuana significantly reduces THC levels, the stuff a marijuana dealer wants to be high.

Fact #1:  Yes, hemp is the same plant species as marijuana, a variety of Cannabis Sativa. But hemp is genetically different than marijuana, making it lower in THC, or delta-9 tetrahydrocannabinol, the compound that causes the high. Hemp runs about 0.3 percent THC; marijuana goes 3 percent to 15 percent THC or higher.

Fact #2: Hemp is considered a Schedule 1 drug, just like heroin and LSD. Under the current U.S. drug policy, all cannabis varieties, including hemp, are considered Schedule I controlled substances under the Controlled Substances Act (CSA, 21 U.S.C. §§801 et seq.; Title 21 CFR Part 1308.11). Hemp production is controlled and regulated by the U.S. Drug Enforcement Administration. It is illegal to grow hemp without a DEA permit.

Fact #3: Commercial hemp can be used to make more than 25,000 products. Just a few examples are fabrics and textiles, paper, carpeting, home furnishings, construction and insulation materials, auto parts, composites, animal bedding, foods and beverages, body care products, nutritional supplements, industrial oils, cosmetics, personal care and pharmaceuticals

Fact #4: Hemp farming is legal, though regulated, in 31 states.

Fact #5: More than 30 nations grow industrial hemp as an agricultural commodity. The United States is the only industrialized nation that does not allow industrial hemp production. Current industry estimates report that U.S. retail sales of all hemp-based products may exceed $300 million per year.

Fact #6: Kentucky state law OK’d limited, licensed commercial hemp production three years ago. In 2016, temporary licenses covered about 4,600 hemp acres in the state, Mark said, but really only about 2,200 acres were planted.

The first hemp crop was grown in Kentucky in 1775, and the state led the country in production from 1840 to 1860 with a peak production of 40,000 ton in 1850. Hemp was Kentucky’s top cash crop up until 1915, when before cotton and imports of other materials led to the crop’s demise during the latter half of the 19th century.  

Fact #7: World War II ramped back up U.S. hemp production: In response to the demand for rope, twine and other products during World War II, production of industrial hemp peaked in the United States in the 1940s. Kentucky was still a significant producer, but Midwestern states like Illinois, Wisconsin, Minnesota and Iowa were much larger. In 1943, U.S. hemp production established a record high of 145 million pounds (141 million pounds of fiber and 14 million pounds of seed).

Speculation #1: Who might be the ‘winners’ in this new era of U.S. hemp farming? States that can entice processors and infrastructure to locate in their state based on a strong research base of knowledge, an interested and willing and educated grower pool with lowest cost of production, along with potential state financial incentives, Mark said.

“In the end, we have more unknowns than knowns at this point,” Mark said.

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