Report: $620 Million in Hemp Products Sold in the U.S. in 2014

Report: $620 Million in Hemp Products Sold in the U.S. in 2014

Hemp Foods and Body Care Retail Market in U.S. Achieves 21.2% Growth in 2014

WASHINGTON, DC — The Hemp Industries Association (HIA), a non-profit trade association consisting of hundreds of hemp businesses, has released final estimates of the size of the 2014 U.S. retail market for hemp products.

Data from market research supports an estimate of total retail sales of hemp food and body care products in the United States at $200 million.  Sales of popular hemp items like non-dairy milk, shelled seed, soaps and lotions have continued to skyrocket against the backdrop of the new hemp research provision in the Farm Bill, and increasing grassroots pressure to allow hemp to be grown domestically on a commercial scale once again for U.S. processors and manufacturers. The HIA has also reviewed sales of clothing, auto parts, building materials and various other products, and estimates the total retail value of hemp products sold in the U.S. in 2014 to be at least $620 million.

The sales data on hemp foods and body care, collected by market research firm SPINS, was obtained from natural and conventional retailers, excluding Whole Foods Market, Costco and certain other key establishments, who do not provide sales data — and thus it underestimates actual sales by a factor of at least two and a half. According to the SPINS data, combined U.S. hemp food and body care sales grew in the sampled stores by 21.2% or $14,020,239, over the previous year ending December 31, 2014 to a total of just over $80,042,540. According to SPINS figures, sales in conventional retailers grew by 26.8% in 2014, while sales in natural retailers grew by 16.3%. Indeed, the combined growth of hemp retail sales in the U.S. continues steadily, as annual natural and conventional market percent growth has progressed from 7.3% (2011), to 16.5% (2012), to 24% (2013), to 21.2 in 2014.

“The HIA estimates the total retail value of all hemp products sold in the U.S. to be at least $620 million for 2014,” says Eric Steenstra, Executive Director of the HIA. “Eleven new states have passed legislation and new businesses are rapidly entering the market now that American farmers in a handful of states are finally beginning to grow the crop legally. Challenges remain in the market and there is a need for Congress to pass legislation to allow farmers to grow hemp commercially in order for the market to continue its rapid growth,” continues Steenstra.

When the 2013 farm bill was signed into law in February of 2014, the hemp amendment to the farm bill, Sec. 7606 Legitimacy of Industrial Hemp Research, defined industrial hemp as distinct from marijuana in states where hemp is regulated under authorized hemp pilot programs. This was an historic moment in the longstanding effort to legalize hemp as the act asserts that industrial hemp is not psychoactive, having less than 0.3% tetrahydrocannabinol on a dry weight basis and therefore presenting no drug value.

The bill further allows for states that have already legalized the crop to cultivate hemp within the parameters of state agriculture departments and research institutions. In 2014, 1831 acres of hemp were licensed in Kentucky, Colorado and Vermont. Many licensees were unable to obtain seed in time to plant due to DEA seed import requirements. We estimate that approximately 125 acres of hemp crops were planted during 2014.

In January of 2015, The Industrial Hemp Farming Act was introduced in both the House and Senate, H.R. 525 and S. 134 respectively. If passed, the bill would remove all federal restrictions on the cultivation of industrial hemp, and remove its classification as a Schedule 1 controlled substance.

Currently, 21 states may grow hemp per Sec. 7606 of the Farm Bill, including California, Colorado, Delaware, Hawaii, Illinois, Indiana, Kentucky, Maine, Michigan, Missouri, Montana, Nebraska, New York, North Dakota, Oregon, South Carolina, Tennessee, Utah, Vermont, Washington, and West Virginia.

CONTINUE READING…

Farmers, Industry Leaders Excited About Future of Industrial Hemp in Kentucky

KENTUCKY — Kentucky Hemp is coming back. Fiber, seed, fuel, oil, and artisan products are simmering in the recently revived hemp industry.

 

kentucky-set-to-be-first-state-to-legalize-hemp-production.si

 

SEE GRAPHIC HERE

Research and debate about bringing hemp back has circulated since the 1990s, when other countries like Canada and Australia re-legalized hemp production. Finally, last year, the 2014 Farm Bill provided a framework for U.S. state agricultural departments and universities to plant hemp seed on U.S. soil as long as individual state law allows it.

Now, Kentuckians are turning their research and theories into a promising hemp industry.

“We don’t want to put the cart before the horse,” said Josh Hendrix of the newly formed Kentucky Hemp Industries Association (KYHIA). “We haven’t had a hemp industry for over 70 years.”

He says research is necessary to reduce risk to farmers. His organization and others, who have participated in hemp trials, are testing for the best seeds to plant, and the best way to harvest and process hemp crops. Part of KYHIA’s mission is to disseminate its research and provide education about the hemp industry.

Hemp production was deterred in the 1937 Marijuana Tax Act. Then, in 1970, the Controlled Substance Act coupled hemp with the drug, marijuana, making hemp illegal as a narcotic. Hemp does not hold the drug’s THC properties, but the plant is from the same genus, cannabis, and looks similar.

Before 1937, 98% of hemp seed used in the U.S. came from Kentucky. Now, they have no seeds. Hemp trials have used seeds imported from other countries.

“2014 was a celebratory year, just to get seed in the ground,” said Hendrix. “2015 has seen a nice expansion, with 326 applications.”

Kentucky farmers can submit applications to the Kentucky Department of Agriculture to participate in the hemp revival. They must provide production plans to be approved, and pass a background check to appease the Drug Enforcement Agency (DEA).

Kentucky U.S. Senators Mitch McConnell and Rand Paul, along with two Oregon senators, submitted a bill on January 8, 2015, to decouple hemp from marijuana, and remove hemp production from DEA enforcement.

“We don’t know if or when it might become a legal crop,” said David Williams, of the University of Kentucky. “We also do not know how large an industry the market will support. We extrapolate based on data from other markets, but we cannot know exactly what the market will be in the U.S.”

A Promising Market

Kentuckians have deep roots with the hemp plant, and have grand plans for bringing the industry back. Industries, like tobacco and coal, are facing hard times, and hemp may offer both profitable alternatives.

Hemp advocates, like Hendrix, also see hemp as a crop to sustain dwindling family farms, and increase young and new farmers. Artisans can use hemp for cloth, beauty products, teas, and countless other items. The organic market for hemp is also highly profitable and growing.

Seventh generation family farmer, Andy Graves, grows conventional grains like soy, wheat, and corn. His generation is the first in his family to not grow hemp. The Graves family was the top hemp seed producer when hemp was legal, and is set on renewing that legacy.

“The market is so big,” Graves said. “We haven’t even scratched the surface.”

Graves is also the CEO of Atalo Holdings, Inc. The group contracted 5 farms to grow hemp in 2014 and for 2015 they’ve expanded to 26 farms. Atalo has three subsidiaries: Hemp Oil Kentucky, Kenex, and Kentucky Hemp Research and Development — each focuses on seed, fiber, and research and development, respectively.

Oil from seed, Graves said, has a quick return. Once Atalo has a revenue stream from oil, it will invest in fiber operations. Fiber operations have a higher barrier to entry because of the cost of new machinery.

Hemp seed can be harvested using the same equipment as conventional grain. As far as processing, Graves said that seed pressing equipment that is currently used for chia and sesame seeds can also be used for hemp. He will add chia and sesame to his portfolio as well.

Graves is using the most popular hemp seed for oil: Finola, from Finland. Atalo has guaranteed a no loss crop by securing a deal with Hemp Oil Canada to buy any seed Atalo cannot sell.

‘We haven’t scratched the surface of the market.’

Atalo has been approved for 356 acres of hemp, and is hoping for up to 500. 10-12 acres will be devoted to organic hemp seed production. Their research and development subsidiary aims to be an educational asset to the hemp industry in the U.S., Graves says.

Hendrix, Graves, and Williams all emphasize that they are building a new industry from the ground up. It will take research and time, but, Hendrix believes they have “the right people, the right place, and the right time” to build the industry and create jobs.

The Hemp Capital of the U.S.

Other groups germinating in the Kentucky hemp industry include The Kentucky Hemp Growers Cooperative Association, which focuses on biomass and high capacitance graphene nano-sheets; and Sunstrand LLC, which focuses on industrial fiber. There are many others cropping up. Stay tuned, says Graves, new developments are breaking on Kentucky soil.

The laws may not be set yet, but hemp advocates in Kentucky are confident that their state will soon be known for more than bourbon, and re-claim their name as the ‘Hemp Capital of the U.S.’

CONTINUE READING…

JOIN THE KENTUCKY INDUSTRIAL HEMP ASSOCIATION (KYIHA) HERE

U.S. House of Representatives Votes to Legalize Industrial Hemp

 

 

WhiteHouse

The U.S. House of Representatives voted 225-200 on June 20 to legalize the industrial farming of hemp fiber. Hemp is the same species as the marijuana plant, and its fiber has been used to create clothing, paper, and other industrial products for thousands of years; however, it has been listed as a “controlled substance” since the beginning of the drug war in the United States. Unlike marijuana varieties of the plant, hemp is not bred to create high quantities of the drug THC.

The amendment’s sponsor, Jared Polis (D-Colo.), noted in congressional debate that “George Washington and Thomas Jefferson grew hemp. The first American flag was made of hemp. And today, U.S. retailers sell over $300 million worth of goods containing hemp — but all of that hemp is imported, since farmers can’t grow it here. The federal government should clarify that states should have the ability to regulate academic and agriculture research of industrial hemp without fear of federal interference. Hemp is not marijuana, and at the very least, we should allow our universities — the greatest in the world — to research the potential benefits and downsides of this important agricultural commodity.”

The 225-200 vote included 62 Republican votes for the Polis amendment, many of whom were members of Justin Amash’s Republican Liberty Caucus or representatives from farm states. But most Republicans opposed the amendment, claiming it would make the drug war more difficult. “When you plant hemp alongside marijuana, you can’t tell the difference,” Representative Steve King (R-Iowa) said in congressional debate on the amendment to the Federal Agriculture Reform and Risk Management Act of 2013.

“This is not about a drugs bill. This is about jobs,” Representative Thomas Massie (R-Ky.) countered King in House floor debate June 20. Massie, a key House Republican ally of Senator Rand Paul of Kentucky and a member of the Republican Liberty Caucus, opposes marijuana legalization but had signed on as a cosponsor of the Polis amendment.

The amendment would take industrial hemp off the controlled substances list if it meets the following classification: “The term ‘industrial hemp’ means the plant Cannabis sativa L. and any part of such plant, whether growing or not, with a delta-9 tetrahydrocannabinol concentration of not more than 0.3 percent on a dry weight basis.” The amendment would allow industrial farming of hemp “if a person grows or processes Cannabis sativa L. for purposes of making industrial hemp in accordance with State law.” Most states have passed laws legalizing industrial hemp, in whole or in part, but federal prohibitions have kept the plant from legal cultivation.

However, the annual agricultural authorization bill subsequently went down to defeat in the House by a vote of 195 to 234. Sponsors of the amendment hope that it will be revised in conference committee, where it has strong support from both Kentucky senators, Rand Paul and Senate Minority Leader Mitch McConnell.

The legislation, originally offered as the bill H.R. 525, was sponsored by Jared Polis (D-Colo.) and Earl Blumenauer (D-Ore.), who represent states where voters recently considered ballot measures that legalized marijuana within their states, a fact King pointed out in House floor debate. Voters in Colorado and Washington approved the ballot measures in 2012, but voters in Oregon rejected a ballot measure that would have legalized cultivation of marijuana.

Recent polls have indicated that most Americans want legalization of marijuana, as well as hemp. Though support for marijuana legalization is by only a slim majority of the public, there’s a larger divide among age groups, with younger voters more heavily favoring legalization.

None of the debate on the amendment related to the constitutional authority of Congress to ban substances. Nor did any congressman reference the first time Congress banned a drug — alcohol. At that time, Congress followed proper constitutional protocol to amend the U.S. Constitution first, giving it the legitimate power to ban alcohol (i.e., the 18th Amendment). No comparable constitutional amendment has been passed for hemp, marijuana, raw milk, or any other substance prohibited by the federal government.

Marijuana fed pork becoming highly sucessful

 

 

SEATTLE, Washington (KING) – It’s a different kind of head shop found just down the stairs from the Pike Place market.

It’s the BB Ranch selling something that’s even better than bacon. It’s marijuana fed pork.

“The pig farmer has been feeding them marijuana for the last two and a half months of their life and they’ve been happy as hell,” said William Von Schneidau, owner of the butcher shop.

This is all thanks the voters of Washington who legalized marijuana in the last election. That’s when Von Schneidau saw the opportunity wasn’t just blowing smoke.

“And then all of a sudden marijuana, you know, became legal a few months ago and somehow, I don’t know how, I met the commercial growers and they needed to get rid of some of their stuff. So rather than going into the compost pile we said, ‘Lets try it out.’ So here we go,” said he said.

The pigs are raised in a farm about an hour outside of Seattle. In fact, these pigs are on the rock star diet. The mix contains drugs and alcohol, the booze coming by way of the spent grains from Woodinville’s Project V Vodka.

The pot pigs grow to be extra fat and really happy according to the farmer who wants to be anonymous.

Here’s the tough part of the story. The pigs love eating weed, and what gives me pleasure is BBQ pork.

So I brought some pot pork belly to my buddy Steve Freeman at Celtic Cowboy BBQ in Edmonds. And we decided to smoke it.

Steve rubbed the belly, which is basically the part that bacon comes from, with spices and tossed it into the smoker for about 45 minuets. He then seared it on a skillet.

Steve says the results are stunning.

“That’s some pretty happy pork right there. He’s done a good job with that. I really like that,” he said.

And that takes us back to the happiest farm in Washington. Yes, the pigs will become BBQ one day.

But if you gotta go, why not go out on a high.

CONTINUE READING/VIDEO….

KELLY: Hemp vs. oil: How corporate & gov’t collusion perverted the free market

Travis Kelly

 

mmj2

Since the days of Cain and Abel, hemp has been one of the world’s largest and most versatile crops, used to make textiles, paint, soap, rope, building materials, fuel oil, protein supplements, and medicines. An acre of hemp produces far more paper than an acre of trees — and you would have to smoke an acre of it to get high, as industrial hemp, though similar in appearance to its close cousin, marijuana (cannabis), contains almost no THC.
Today, in only one industrialized nation in the world, is the cultivation of hemp illegal. You guessed it: Ours truly. And it makes as much sense as outlawing ALL mushrooms because some of them are psychoactive or poisonous. How this travesty came about in 1937 is a lesson in the collusion of big corporations with big government and big media to pervert the free market and stymie competition.
In the early 1930s, Henry Ford’s experimental biomass plant in Michigan extracted methanol, charcoal, tar pitch, and other distillates from hemp, demonstrating that it was an alternative to fossil fuels as an energy source, as well as a competitor to other petrochemical products then being introduced by the DuPont corporation, DuPont had a powerful ally in Washington — Secretary of Treasury Andrew Mellon, a banker who also had a controlling interest in the Gulf Oil Corporation.
Mellon appointed his loyal nephew, Harry Anslinger, as chief of the new Federal Bureau of Narcotics in 1932. Anslinger promptly began lobbying Congress to outlaw “marihuana,” using a series of hysterical propaganda stories run by newspaper tycoon William Randolph Hearst — that era’s Rupert Murdoch. Hearst owned vast timber lands in the Northwest that supplied the wood pulp for most of the American newspaper industry; DuPont chemicals were used to process that pulp. The “reefer madness” scare featured lurid, racist stories of “Mexicans and Negroes” going on murderous rampages while stoned; innocent white women seduced into ruin; teenagers going instantly insane after a puff; and other fearmongering fictions.
Anslinger told Congress that hemp — ALL hemp, whether smokable or not — was “entirely the Monster Hyde, the harmful effects of which cannot be measured.” The Marijuana Tax Act was rammed through Congress in secret committees controlled by DuPont allies. That same year, 1937, DuPont filed its patent on Nylon, which took over the textile and cordage markets that had been dominated by hemp. DuPont also supplied GM, which produced more than half of all American cars, with its petrochemical paints, varnishes, plastics and rubber, all of which could have been produced equally well from hemp. But no more. The competition had been criminalized.
The prohibition was suspended during WWII, with a Hemp for Victory campaign, then reinstated in 1955. Since then, our closest cousins, England, Australia and Canada (1998), have all legalized industrial hemp. China is the world’s number-one producer, exporting most of it to us — the world’s leading hemp importer — exacerbating our trade imbalance.
As global oil supplies continue to decline versus growing demand, and become harder to extract and import due to geological and political factors, domestic hemp could easily replace many petrochemical products with significant advantages.
Hemp is a renewable resource, one of the fastest growing and most productive plants on earth, yielding four crops and 25 tons of dry matter per hectare per year. It requires few pesticides and no herbicides. It is now being used as a building material, Hempcrete, and, combined with fiberglass and flax, to make body panels for automobiles. It has also proved excellent as a “mop crop” for cleaning up contaminated soil. In all these cases, hemp is carbon neutral or even carbon negative, scrubbing and sequestering CO2 from our warming atmosphere.
Several states have licensed the growing of industrial hemp — California, Hawaii, Kentucky, Maine, Maryland, Montana, North Dakota, Oregon, Vermont, and West Virginia — but have not yet grown a single plant due to continued resistance by the DEA, who is still stuck in 1930s “reefer madness” paranoia, despite now overwhelming evidence that hemp’s cousin, marijuana, is far less harmful than alcohol for both health and public safety. To grow industrial hemp, the DEA must issue a permit under the 1970 Controlled Substances Act — and it never does.
Colorado can join that roster on Nov. 6 by voting for Amendment 64. Eventually, we will budge the DEA from its archaic stupidity, end the virtual dictatorship of the petrochemical industry, and safeguard our national security by again realizing Thomas Jefferson’s maxim: “Hemp is of first necessity to the wealth and protection of the country.”
Travis Kelly is a web/graphic designer, writer and cartoonist in Grand Junction. See his work or contact him at www.traviskelly.com.

CONTINUE READING…