The use of hemp for industrial purposes—such as grain and fiber—has been the next big thing since the passing of a farm bill legalizing production in 2018.
Since then, a parallel market has sprouted up alongside the cannabinoid industry.
Unfettered optimism was high at the beginning, which triggered a moonshot planting in 2019.
Four years later, seasoned farmers and venture capitalists alike are struggling with a saturated market and oversold expectations on both ends of the industry.
Historically, advocates have marketed hemp as a sort of miracle crop with gusto. The movement gained serious traction as an investment within the United States once Cannabidiol (CBD) garnered a reputation for having medicinal benefits, which began in California in 1996.
Industrial applications followed once the United States Department of Agriculture (USDA) approved the bill to officially legalize hemp as an agricultural commodity, removing the plant’s long stigmatized status.
Just one year after legalization, licensed hemp plantings catapulted to 511,442 acres nationwide in 2019. Though by 2021, that number dropped to just 107,702 acres.
This year, licensed hemp acreage fell another 53 percent.
Some experts partly attribute this to blowback from supply wildly exceeding demand early in the game.
Cocaine will soon be Legal under Biden administration , they can switch to that !!!!!
Gotta keep Hunter boy happy.