A Growth Spurt In Hemp Production

Hemp production in the United States has experienced significant fluctuations since the passage of the 2018 Farm Bill, which removed hemp from the controlled substance list and established a national regulatory framework. The United States Department of Agriculture (USDA) published its first National Hemp Report in early 2022, providing a benchmark for the industry by capturing data from the 2021 growing season.

The reports show that harvested acreage dropped sharply after 2021, with a 45% decrease in acreage from 2021 to 2022. According to the most recent USDA data, the 2024 harvested acreage is similar to levels seen in 2021, indicating a partial rebound after the steep declines of 2022 (Fig 1).

In 2024, we saw in increase in hemp production across the United States, with 45,294 planted acres, an increase of 64% compared to the 27,680 acres planted in 2023. Despite this increase in planted acreage, the number of acres actually harvested was lower. The report does not specifically explain the gap between planted and harvested acres, but common factors likely include crop losses due to weed pressure, adverse weather events, or crops testing above the legal THC threshold of 0.3%, which would require destruction. Hemp grown for fiber and hemp grown for floral tissue accounted for the majority of harvested acres, followed by grain, seed production, and hemp grown under protection.

Fig 1. Harvested hemp acres 2021-2024 in the United States. Data from USDA National Hemp Reports

Fig 1. Harvested hemp acres 2021-2024 in the United States. Data from USDA National Hemp Reports

 

As the 2025 growing season gets underway, Indiana has 21 licensed hemp growers cultivating a total of 165 acres for cannabinoid production and 222 acres for grain. Currently, there are no registered acres for fiber hemp in the state. This absence is not surprising, given that Indiana lacks any operational fiber processing facilities. The nearest fiber processor is located in St. Louis, Missouri, and it remains uncertain whether a closer facility will become operational in the near future.

References

National hemp report. Cornell University. (2025, April 17). Retrieved May 8, 2025, from https://downloads.usda.library.cornell.edu/usda-esmis/files/gf06h2430/ww72d7715/4f16f032g/hempan25.pdf

 

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