FORT COLLINS, COLORADO, US — Grain and fiber uses of industrial hemp are seen as sources of market growth for the crop in the coming years, according to “The Hemp Industry 2022 Opportunity Report” published by Let’s Talk Hemp Media.
Hemp is used worldwide to make a variety of commercial and industrial products from cannabinoids (CBD) used in food, beverage and dietary supplements and cosmetics to paper, textiles, plastics, building materials, protein, animal feed and biofuels, the report noted.
The pandemic and a glut in biomass supply saw American farmers turn away from hemp, the report said, and licensed acreage in 2021 dropped by 55% year over year. CBD market prices fell below production costs due to a glut of product.
However, the report said a “bright spot was the supply and demand for fibers and grain.” Though less profitable than other uses, more US farmers may see more potential for hemp fibers and grains, which could exceed hemp acreage planted for CBD by 2024-25, said economist Beau Whitley, a report contributor.
The National Agricultural Statistics Service of the US Department of Agriculture is scheduled to release its first National Hemp Report on Feb. 17, with data on planted and harvested area, yields per acre, production, and value of industrial hemp, based on a survey sent to 20,500 producers.