Hemp Industry Turmoil: Navigating USDA Regulatory Conflicts And Genetics Manipulation Debate

USDA Ultimatum: Hemp Or Marijuana

The hemp industry is undergoing significant transformations, confronting both regulatory inconsistencies and debates over genetically modified crops. The U.S. Department of Agriculture (USDA) recently mandated that farmers must choose between growing hemp or its psychoactive counterpart, marijuana. 

This decision is causing significant financial and operational challenges for farmers. For instance, according to Politico, Vermont farmer Sam Bellavance predicts a loss of at least $250,000 in revenue due to the USDA’s revocation of his hemp license.

This tension arises from the inconsistent legal status of hemp and marijuana in the U.S. despite the 2018 farm bill legalizing hemp while marijuana remains federally illegal. This legal discrepancy has led to a sharp decline in hemp cultivation. In 2019, 275,000 acres were planted, which dropped to just 21,000 acres last year. 

Farmers in states without state-run hemp programs, like Vermont, Mississippi and Missouri, have been particularly affected. However, others like Oregon and Colorado operate under different rules, with separate state regulations that allow the coexistence of hemp and marijuana cultivation, highlighting discrepancies in enforcement between state and federal oversight.

Emerging Concerns Over Genetically Modified Hemp

The industry also faces challenges from the introduction of genetically engineered (GE) hemp varieties. The USDA’s approval of a genetically modified hemp breed designed for ultra-low THC levels has prompted the Federation of International Hemp Organizations (FIHO) to call for a moratorium on outdoor cultivation of such crops, reported HempToday.

FIHO raises concerns about potential environmental impacts, international trade implications and the risk of destabilizing the global market. Among the issues are the risks of cross-pollination, reduced genetic diversity and the challenges posed to small-scale farmers. Additionally, genetically modified crops could change public perception of hemp, generally favored for its natural qualities.

Industry And Legal Implications

The revocation of hemp licenses and the introduction of genetically modified hemp varieties pose significant challenges for the industry. The USDA’s actions have gone largely unnoticed by lawmakers and could potentially lead to legal disputes. Furthermore, the introduction of genetically modified hemp raises critical questions about consumer perceptions, environmental impacts, and the future of small-scale farming in the hemp industry.

Photo by Matteo Paganelli on Unsplash