Risks come with any crop farmers attempt to produce in the Southeast. Between diseases, pests, input costs, unpredictable weather and instability in the marketplace, producing a crop and making a profit is not a guarantee.
Hemp production is no different. Producers need to do the appropriate research before planting their crop next spring. This is especially important since hemp is a newer crop that is trying to find its footing.
Adam Rabinowitz, Assistant Professor and Extension Economist at Auburn University, implores interested producers to do their homework. They need to know who they are contracting with before seeds are planted.
“It is important that if you are going to get involved in hemp production that you not just understand the production risks involved, how difficult it is to grow and the labor needed to grow in this region but make sure that you’re contracting with a reputable company for the inputs,” Rabinowitz said.
“Whether it be for your seed or your transplants but also for your finished product, most of that product in this area is going to CBD oil; for that oil production, you need to have a reputable company. We know where there have been contracts where even though a contract existed, processors have gone out of business or just didn’t honor it. That is a concern making sure you know who you’re dealing with.”
Applications for new Georgia Hemp Grower Licenses and Hemp Processor Permits will be accepted beginning in January, 2021. Hemp applications and registrations are closed for Alabama.