In this news article we give a quick update from the hemp space. The USDA (United States Department of Agriculture) has finally started its process on making official rules and regulations and processes in place for growing industrial hemp. That’s the good news. The bad news is, that these processes and rules and regulations will not be fully in place for this year’s growing season. These rules and regulations are expected to come out in fall of 2019 in time for the 2020 growing season.
There’s a couple reasons for that too. There’s been some growing of hemp obviously in certain states, but not on the level that it is now. They’re still collecting a lot of data from those farmers and we expect that in 2019 they’re going to collect a whole lot more data. Because 2019 will be the most acreage of hemp planted in America since have farming became legal again in 2014. This is going to be a big year of learning.
The regulations are expected to be released by the end of 2019
It’s a little annoying that some of these things aren’t in place for this growing season even though the farm bill has been passed. But the good side of it is that it gives you time to hone your skills, to get your genetics down, to get your special sauce down or whatever you’re doing that’s unique or what you’re trying to do this year. You can chill and you don’t have to go crazy this year, because the rules and regulations aren’t even in place yet by the USDA.
The USDA said regulations for states or tribes who submit Hemp growing plans will include provisions for:
- Land to be used for planting.
- Effective disposal of industrial hemp plants and products.
- Compliance with law enforcement agencies.
- Annual inspections.
- How to submit necessary information to USDA.
- Certification that resources and personnel are available to carry out the practices and procedures described above.
For example, we are expecting the USDA to start issuing their rules to be USDA Organic hemp and all that stuff. And that’s a big deal for people. We think the good news is that, because this won’t be officially in place until 2020 growing season, it gives you time to experiment, to hone your skills, to get your farm operation down, to get your personnel down and all these things.
- The New Hemp Laws 2019 – What can we expect, what changes?
- Farm Bill 2018 – Changes for the Hemp Industry
Do not lose yourself in all the hype in the hemp industry
Because one of the problems with all the hype in the hemp industry, that we think this affects the farmers or pretty much any businessperson or entrepreneur in the space is that, there’s all this hype and you feel like, if you’re not already number one it’s too late. But we don’t think that’s true and we think this is a great example of why, because even if you were ahead of the game you are still subject to the rules and regulations set out by the USDA as well as the FDA.
You are not behind, don’t worry, stay calm and just keep pressing on in your plan. Obviously make sure that your business plan makes sense in terms of the numbers. One thing we’ve talked about in one of our other Articles on the hemp industry is, that you do have to make sure that, if you’re growing hemp you have a business plan that makes sure that your operation is profitable.
We know that sounds kind of obvious, but it can be very easy to get caught up in the hype and believe that this is just this is like growing gold basically or something that it just has this great great value no matter what. And you’ll make millions no matter what. It’s not really like that, because it has a market price and it is becoming a commodity item. The more people that grow it, the more the price will decrease.
Have a unique strategy to separate yourself from others
One thing that stands out and we keep hearing this over and over again from experienced growers in the space is, that having unique genetics, having a really high-end boutique operation is an effective way to go to separate yourself from major producers with way more capital and people than you might have.
We hope that you are excited about this and we are going to link you to the article that we was checking out about the USDA and their plans, so you can read it for yourself. But please, do chime in in the comments below, we’d like to hear your thoughts, especially from the people out there that are already growing hemp or just planning to start this year.