Early indicators show no slowing down of hemp cultivation. A Brightfield Group report on the cultivation landscape of hemp estimates that industrial hemp will be worth $23 Billion by 2023. For farmers, that values hemp at $40,000 per acre. Their Hemp Cultivation Landscape Study estimates that 285,000 acres of industrial hemp were planted in the U.S. this year. That number would indicate a 72% growth from last year.
The report outlined the usage of hemp being cultivated, with 87% of this years crop being used for CBD production. By 2023 this number is expected to drop to 82%. The estimate is that there will be 2.7 million acres of hemp planted by that year.
Not all states grow hemp in the same numbers with:
• 42,500 acres grown in Colorado
• 29,859 acres grown in Oregon
• 29,400 acres grown in Montana
• 20,000 acres grown in Tennessee
• 18,000 acres grown in Arizona
Estimates for the coming years keep Colorado and Oregon in the lead for acreage. With estimates for 2023 being:
• 313,059 acres in Colorado
• 275,357 acres in Oregon
• 252,487 acres in California
• 243,786 acres in Arizona
• 243,786 acres in Tennessee
Hemp is showing to be a promising crop for farmers already growing it. On average, farmers spent $300 to $350 per acre on fertilizer. That number has a large range though, with some farmers on the lower end only spending $85 and some spending up to $1000. Some farmers do not believe that fertilizer is necessary to grow hemp.
The analysis is wary of four limits to cultivating hemp:
1. The difficulty of finding clones or feminized seeds.
2. Not having specific processing equipment, making hemp a very labor-intensive crop.
3. Cross-pollination and pollen drift issues.
4. A lack of traditional markets.