Results from the Hemp 2020 production survey are in
Have you ever wondered who it is that does the reporting on the emerging hemp industry today? Or have your thoughts ever travelled to thinking about why is there any such reporting? The Jacobsen is a price reporting agency that has been around since 1865, when they began covering the budding hemp industry.
Insights from the study
- Crop breakdown for CBD CBG Fiber and Grain
- Planned acreage for Organic vs. Non-Organic Hemp
- Those purchasing crop insurance
- Average Yield/Acre CBD CBG and grain
- Planned acreage for 2020
The numbers
The Jacobsen report from the research firm that had its base roots in Boulder, Colo. was conducted with the help of 400 participants. The survey was established through the month of April.
CBD/CBG
Of the participants involved in farming to grow hemp, nearly 80% of the farmers would grow hemp for the CBD extraction. The remaining 15% of farmers who are choosing to grow hemp are dedicating their acreage for the production of minor cannabinoids like CBG. The retail markets for CBG are limited at this time and are perhaps the reason for the low-level interest in hemp for the cannabinoid CBG.
Grain
Hemp grain is estimated to take hold of 3.6% of planted acreage of hemp for 2020. The study indicated that the hemp seed was demanded globally. Although the demand for the hemp plant's fibre is limited, the projection of companies needing raw hemp fibre could be on the increase in a relatively short amount of time, according to the report.
Insurance
About 20% of the acreage that the respondents have reported to the study will be covered by crop insurance.
Testing
Those farmers who chose to grow hemp were planning to test their crops twice during the growing season for the THC levels.
Yields
CBD average yield of CBD was reported to be about 1520 pounds for each acre grown. The estimated return for the lesser-known cannabinoid CBG is 1167 pounds per acre. The average reported grain yields were 1250 pounds per acre. The report also indicated that 25% of the participants in the study said that their crops were classed as "hot crops" because the plant contained more than the regulated 0.3% THC limit.
Thoughts
It appears that CBD products will be one of the hemp uses at the forefront of the 2020 hemp growing session. CBD is not the only cannabinoid that was looked upon during the study. Other hemp uses were being noted by the farmer who took it upon themselves to grow hemp for profit. As more producers of hemp come on board, the experimenting of various hemp genetics is part of the process involved in the growing of hemp for the upcoming and for-seeable future.
The regulatory authorities have changed the categories of CBD, and this has some hemp stocks poised and ready for the surge in the demand of the derived hemp product. Companies whose hemp stock investors are looking and patiently waiting for the surge include Charlottes Web and Canopy Growth. Are you as an investor watching those who grow hemp with a brightened interest since the enacting of the Farm Bill?
