Louisiana agriculture officials have started issuing the first hemp production licenses to farmers, processors, and transporters. Additionally, hemp businesses operating from gas stations or pharmacies have been given the green light to sell products containing CBD within the state.
Louisiana’s hemp production plan was approved by the USDA, and hemp handlers can now apply since the state has launched the application process.
On Thursday, agriculture officials said that the state of Louisiana had finalized its hemp rules and that it has started issuing permits for industrial hemp cultivation, processing, and transportation.
The legislation to create Louisiana’s first industrial hemp program was approved in June 2019. And since the state di not have a pilot research program under the 2014 Farm Bill, the state’s hemp production program must be operated under the 2018 Farm Bill, and approval from the USDA was a prerequisite.
Louisiana Agriculture Commissioner Mike Strain predicted that this year more than 200 farmers would apply for licenses to cultivate industrial hemp, and this would amount to 80,000 acres of hemp crop.
Louisiana hemp production laws state that:
- Hempseed producers, hemp growers, hemp transporters, and hemp processors must be issued with separate permits.
- Past convicts are prohibited from participating in the industrial hemp industry for a period of ten years.
- Permits for cultivators and prosecutors would be capped at $500 per year.
- THC testing fees are capped at $250 per year.
Louisiana has two agricultural research institutions, and they are exempted from having to destroy hemp plants that test above the stipulated limit of 0.3% THC. These institutions include Louisiana State University and Southern University. However, commercial farmers should adhere to the testing caps placed on hemp.
According to a Baton Rouge Advocate, approximately 1,500 businesses that applied to sell CBD products within the state have been granted permits by the Louisiana Alcohol and Tobacco Board.
But, retailers who want to start selling CBD products within the state had to wait until June 17. By September, the state authorities had already issued 775 temporary licenses to liquor stores, gas stations, and specific shops that are looking to sell CBD.
After the state passed the law explaining how retailers could sell products containing CBD, the state’s Office of Alcohol and Tobacco Control received over 1,000 license applications.
The temporary licenses that allowed CBD sales would be expiring this month after the permanent rules are implemented. Retail permits would be capped at $175 per year.
Hemp-derived products can be sold in Louisiana as long as they have less than 0.3% THC.
The state of Louisiana has prohibited the sale of smokable hemp products, CBD-infused beverages, and edibles. This is because federal authorities have not approved CBD as a food additive.
The CBD products being sold within the state must:
- Have scannable bar codes, QR codes, or any other document or label verifying the product’s certificate of analysis.
- Carry a warning. The product has not been evaluated by the FDA, and it is not intended for use in any diagnosis, treatment of any ailment, or preventing diseases.
Experts are of the view that industry actors like SinglePoint Inc. (OTCQB: SING) are pleased that Louisiana has finally started receiving production license applications, so the people can now begin taking steps to benefit from this versatile industry.
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