U.S. hemp sales might exceed $25 million in 2020 and surpass $100 million in 2022, according to new estimates by the U.S. Department of Agriculture (USDA).
These estimates are some of the figures outlined in Hemp Industry Daily’s new special report, “USDA Hemp Rules: A Handbook for Hemp & CBD Businesses.”
The free report, released Tuesday, outlines the contents of the USDA’s interim final rules regarding the establishment of a domestic hemp production program. The rules took effect Oct. 31.
Within the rules, the USDA estimates that next season the nation’s hemp producers collectively will sell $25.5 million worth of hemp and that this figure will increase 153% to reach $64.5 million in 2021.
And the USDA believes that figure will increase another 61% in 2022, reaching $104 million.
The agency points to three drivers of growth for hemp sales:
- The rate at which hemp acreage has increased in recent years.
- The number of states whose hemp pilot programs produced a crop in recent years.
- How many states have passed legislation following the signing of the 2018 Farm Bill.
The long-awaited interim rules were finally released Oct. 29 after receiving final approval from the White House Office of Management and Budget.
Other vital hemp industry information found in “USDA Hemp Rules: A Handbook for Hemp & CBD Businesses” includes:
- Projections on the total number of hemp production licensees through 2022.
- Per-acre yield and gross revenue estimates for hemp flower, fiber and grain.
- An overview of individual crop and whole farm insurance programs available to U.S. hemp producers.
Hemp Industry Daily’s new special report, “USDA Hemp Rules: A Handbook for Hemp & CBD Businesses,” is available as a free download here.
Maggie Cowee can be reached at [email protected]