USDA's Final Rule Brings Clarity to the Hemp Industry

USDA's Final Rule Brings Clarity to the Hemp Industry

The USDA's final rule supersedes the final rule that established the Domestic Hemp Production Program, as mandated by the Agriculture Improvement Act of 2018. This rule regulation includes USDA regulations to approve states' plans and Native American tribes for domestic production. This program provides requirements for maintaining records, testing, disposing of non-compliant plants, licensing, and THC total. This program becomes effective March 19, 2021. 

How does this impact Hemp Farmers and, more importantly, Jades Elevation?

  The USDA's final rule changed what it means to negligent. Hemp exceeding the standard THC level may not be handled or enter the stream of commerce. However, the final rule increased the THC compliance level to .5%, requires that the entire plant be tested. It does not focus on the flower. If farmers are not compliant, they are not necessary to destroy the crop. Hemp Farmers can utilize your product for fiber. You can also remediate. 

Jades Elevation can preserve our crop, find other uses, and challenge the DEA's ruling. Before this new ruling, THC violations resulted in possible jail time and license suspension. This new legislation is a small step for the cannabis industry but one giant leap for hemp farmers. The final rule narrows its focus on Delta-9 Thc and or CBD and the entire plant. Delta THC ,delta-9-tetrahydrocannabinol, is by far the most well-known of these cannabinoids. Delta- 9 THC is psychoactive component which determines if a product is legally considered " hot" hemp or marijuana. It ensures compliance, but it does not eliminate the controlled substance identification. Therefore requires DEA testing.

There are not enough DEA testing facilities. USDA acknowledges that the issue requires testing facilities to register with the DEA by December 2022. Time allows for congress to review the Moore Act and Rand Paul's Amendment. Visit our previous blog for more information on Paul's HEMP Act. 

 It allows for Hemp shipment across state lines without additional testing. Jades Elevation can expand our sales of hemp. Once the plant is tested, it maintains THC compliance across state lines. The farm bill of 2018 left farmers financially crushed, but the new ruling accommodates Hemp farmers' and processors' needs.
Overall, the final ruling supports hemp farmers and processors. The consequences for "hot hemp" do not result in immediate suspension, destruction of harvest, or possible jail time. Farmers are offered three strikes before reprehension. They are allowed to advocate for their crops and maintain a livelihood through the new regulations. 
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