January 25, 2019

5 Important Ways That The 2018 Farm Bill Changes The Hemp Farming Market

January 25, 2019
The 2018 Farm Bill has brought about many changes for the hemp industry and market.

If you are a connoisseur of cannabis (or hemp) there is a good chance that you have been keeping a close eye on the political successions as of late. As a smoker, this is something that most people wouldn’t expect you to do, but it seems that marijuana and hemp are now being seen in a different light. The shadow that once overcast the substance is now lifting and more and more people are starting to realize the potential medical benefits that this plant can offer. And, it seems that the 2018 Farm Bill could be just the Bill that changes everything for the hemp industry, making hemp legal throughout the entirety of the United States for the first time in nearly a century.

1. It Will End All Legality Debates
If you are like most hemp users you are probably thinking, “Well, I already thought hemp was legal. I have been buying hemp-based products in stores for months now.” This might be true, but hemp has always been federally restricted, which means there is a bit of gray area when it comes to its legality. And, some of this is in part due to the 2014 Farm Bill. This Farm Bill allowed hemp farmers to grow, cultivate, and sell hemp. However, it was up to each individual state to accept this bill. Even though this bill was passed in congress it still has to be passed by each individual state. That will not be the case with the 2018 Farm Bill. This bill made hemp legal in all states and finally end the debate of its legality once and for all.

2. It Will Make Doing Business Much Easier
It is no doubt that the hemp industry is a big one and it is expanding on a daily basis. Despite this fact, there are still many businesses and banks out there that are hesitant about going business with anyone that is involved. This is especially true when it comes to financial institutions like banks. And, this is because there is such a gray area created by the federal restriction, which was mentioned above. When hemp farms and vendors can’t get loans of secure their funding through a bank it really puts them at a disadvantage and might even prevent them from going in business, but the 2018 Farm Bill could potentially change all that. The Bill will remove hemp from the controlled substance list and make it a lot easier for businesses and farmers to do business. They will have access to lines of credit and more credit card processing services.

3. It will Provide Protection For Hemp Farmers
As of right now, there are many industrial hemp farmsthat are at a huge disadvantage. And, this is because even though hemp can be legally grown in many states hemp farmers still do not have access to federal crop insurance because the Farm Service Agency (FSA) doesn’t recognize hemp as an agricultural resource. That means that if a hemp farmer lost his entire crop due to a natural disaster he would simply have no insurance to cover his loses. This is extremely troubling when you think about it and it could potentially cause that farmer to lose his business. Well, the 2018 Farm Bill will change all this as it will force the Farm Service Agency to recognize hemp as an agricultural crop. This means that farmers may be able to apply for insurance and get the protection that they need.

4. Hemp Could Be Seen As A Useful Medical Tool
It should be noted that hemp is by no means a cure for any medical condition, but there has been a great deal of research that shows that the cannabinoids in hemp have the potential to provide significant health benefits. Hemp has already shown great potential in the medical industry and once the federal restrictions are removed researchers and medical scientists will be free to conduct more research and perform in-depth testing. In fact, there might even be government-sponsored research programs available, which means there will be huge opportunities for government grants.

5. More Business Opportunities For Farmers
Hemp is already a booming business, but with the federal restrictions removed the sky is the limit for farmers. In fact, it has been estimated that the hemp industry could potentially be a one to two billion dollar industry just within the next one or two years. And, this is because hemp is extremely versatile. It is not only used in CBD based products, but it can be used to great skin care products, fuel, animal food, rope, fabric, and even paint. As of right now the United States imports at least $753 million worth of hemp-related products every year because they simply cannot legally manufacture them in the United States. That will no longer be the case, as the Farm Bill opens up huge opportunities for hemp farmers.


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