NIHC Receives USDA Market Access Program Funding for International Research and Promotion of Hemp

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NIHC Becomes First Hemp Organization Officially Recognized by USDA Foreign Agricultural Service as Market Access Program (MAP) Partner

File photo shows hemp field.

WASHINGTON – The National Industrial Hemp Council announced it received $200,000 in U.S. Department of Agricultural (USDA) Market Access Program (MAP) funding to support export market development of industrial hemp.  

“We are grateful for USDA confidence and the recognition of NIHC as the industry leader in industrial hemp trade and marketing,” said Kevin Latner, NIHC’s Senior Vice President for Trade and Marketing who will be responsible for implementing the program.  “Today’s announcement makes NIHC a trusted partner to USDA for hemp fiber, feed, food and CBD companies looking to break down trade barriers in markets overseas.”

MAP funds are administered through USDA’s Foreign Agricultural Service (FAS). Through the MAP program, FAS partners with U.S. agricultural trade associations, cooperatives, state regional trade groups and small businesses to share the costs of overseas marketing and promotional activities that help build commercial export markets for U.S. agricultural products and commodities. These funds can be used for facilitating trade missions and meeting with industry stakeholders and government regulators overseas. 

NIHC programs will focus on Europe and China and include market research, trade policy and trade facilitation. The global industrial hemp and products market was estimated at $11.1 billion in retail sales in 2019.  With an annual growth rate of 52%, driven by continued strength in textiles, food and industrial uses and hemp-derived cannabidiol (CBD), the global market is forecast to be worth $89 billion by 2025.   

Hemp for industrial use, textile and CBD market is expected to quickly expand and be the primary driver of global industry growth. By 2021, the global trade of hemp is forecast $8.1 billion across all markets, representing a three-year compound annual growth rate (CAGR) of 83%. Europe, China, and Canada are currently the primary sources of industrial hemp. With the passage of the 2018 Farm Bill, the U.S. has become the world’s third largest producer of industrial hemp.  

Europe has rapidly developed a robust hemp and CBD market.  Europe is also a strong producer of industrial use hemp products with $424 million in industrial product sales. China has led global markets in textiles with almost 80% of the $1.7 billion hemp textile market in 2019.   

In addition, National Industrial Hemp Council members will now have unprecedented access to United States trade negotiators; foreign government counterparts; and a network of international hemp industry association counterparts. Foreign governments understand that NIHC is now supported by the U.S. government and represents U.S. industry interests. 

Market Access Program funds can be used by NIHC throughout the world to support market access and trade policy work, international trade promotion including supporting business-to-business facilitation and consumer and brand marketing.

MAP funds for 2021 will be administered to NIHC through the Food Export Association of the Midwest USA.   

“We’re extremely confident and trust that NIHC will represent the best interests of U.S. industrial hemp abroad. We’re excited to be working with them as part of the USDA cooperator community,” said Tim Hamilton, Executive Director of Food Export Association of the Midwest USA.

About the National Industrial Hemp Council: The National Industrial Hemp Council provides high-quality networking and resources for its members, from farm to consumer. Its leadership is composed of leading international, federal, state, private industry, and government professionals throughout the sector. The organization is dedicated to furthering market development, assisting members in entering the industry, and educating consumers on industrial hemp and its applications. For more information please go to www.hempindustrial.com.