What's the future of industrial hemp in Minnesota? More growth

Nora G. Hertel | St. Cloud Times

ST. CLOUD — The number of hemp growers in Minnesota increased from six to 343 since it became legal to grow industrial hemp five years ago.

Whitney Place, assistant commissioner of the Minnesota Department of Agriculture, called those growers "pioneers" at a conference in St. Cloud on Tuesday.

"A lot of the people in this room really took a chance," Place said. "And they're building an industry from scratch."

As the industry grows, there is an increasing need for hemp processors — businesses that can convert the versatile plant into fiber, food, fuel, feed for animals as well as CBD, or cannabidiol, products.

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Recent changes in federal regulations free up the movement of hemp seed, cannabis plants and processed hemp products across state lines.

It is an exciting time for hemp, with upcoming challenges and opportunities, said Joe Radinovich, executive director of the Minnesota Hemp Association, which put on the Minnesota Hemp Conference and Expo Tuesday.

The event drew about 450 farmers, processors, retailers and other supporting business reps to the River's Edge Convention Center in St. Cloud.

Environmental activist and hemp grower Winona LaDuke brought what she believes is the first hemp rope produced in the state in 70 years, made with hemp from her farm on the White Earth reservation in northwest Minnesota.

"From my perspective this plant is magical. It's a magical plant," LaDuke said during her speech at the conference.

Every part of the plant can be used for different products.

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When did it become legal again?

Before 2014 it was illegal to grow industrial hemp in the United States. Hemp is related to marijuana, but it lacks the intoxicating component tetrahydrocannabinol, or THC.

The 2014 Farm Bill allowed states to regulate hemp, and Minnesota lawmakers OK'd the launch of a hemp program in 2015.

The pilot program kicked off in Minnesota in 2016 with about 40 acres of hemp. This year 8,000 acres and 400,000 square feet of indoor space were used to grow hemp in Minnesota, according to the state's website on the pilot program.

Just one year ago, the 2018 Farm Bill removed industrial hemp from the controlled substances list, launching new rule changes and additional growth in the industry.

Farmers still have to submit to regular checks on their crops, and they must maintain THC levels below 0.3% or risk destruction of their plants.

Most of the hemp — 78% — grown in Minnesota is used for CBD products. CBD has been used for treatment of seizure disorders and touted as a treatment for other ailments.

Hemp for CBD may remain a niche market in Minnesota, said Margaret Wiatrowski, the Industrial Hemp Program coordinator for the state.

But if a manufacturer sets up in Minnesota, such as one that makes construction materials with hemp, that could spur demand for tens of thousands more acres, Wiatrowski said.

What can you build with hemp?

Todd Mathewson wants to see hemp building blocks constructed in Minnesota.

Mathewson is a regional sales representative for the Canadian company BioFiber Solutions, which will open a facility in Alberta, Canada, to build the modular building blocks with hemp.

They look like big Legos and fit together in the same way. They're mold resistant, non-toxic and sequester carbon, according to Mathewson's presentation.

"My personal goal is to have Minnesota be the first production facility in the U.S.," Mathewson said.

Minnesota could also follow the lead of a company in Kentucky and use hemp to make "classy flooring," said Harold Stanislawski, project development director for the Agricultural Utilization Research Institute.

"Oak is out; hemp is in," Stanislawski said.

The Agricultural Utilization Research Institute published a report this fall on the future of the hemp industry in the state.

And the institute bought a hemp decorticator to help entrepreneurs with research and development, Stanislawski said.

A decorticator separates the fibers of the hemp stalk, and they're expensive.

How can hemp become fabric?

Looking for a decorticator is like looking for a unicorn, said LaDuke.

Minnesota used to be home to 11 hemp mills, LaDuke said. But there aren't any now.

LaDuke got a decorticator in China and has used it to process some of her crop.

She doesn't want to make boutique products from hemp fabric, she said. She wants to see hemp production scaled up in Minnesota so that hemp could be used for canvas boat covers rather than blue plastic wraps.

She wants to see hemp clothing made here, rather than in China.

LaDuke became interested in hemp because of her activism with water issues. Hemp uses a fifth of the water that cotton requires, and it's natural compared to the petroleum fibers in synthetic fabrics.

Processing hemp into fabric provides an opportunity to work together, LaDuke said.

"We're going to need some co-ops," LaDuke said. "Not everyone needs a decorticator."

Who can eat hemp products?

It might be a few more years before hemp animal feed gets approval from the American Association of Feed Control Officials, Stansilawski said.

And it's likely that poultry feed will get the green light first.

Hemp seed cakes could also work for pets, according to an Agricultural Utilization Research Institute info sheet.

Humans can eat hemp products already, and growing hemp for food might be more comfortable for Minnesota farmers than other industrial hemp uses, Stanislawski said. That's because they grow other crops like corn and soybeans.

Hemp oil can be used for salads and cooking. The plant can be used to make hemp milk or hemp beer.

Whether for food, fiber or building materials Stanislawski urges farmers to know what they'll do with their hemp crop before they plant it.

"Know your market first," he said. "Always look for a contract before you get involved in this."

Note: This story is the first in an intermittent series at the St. Cloud Times about the future of agriculture in Minnesota.