Two trade groups announced plans to spearhead a discussion across the hemp industry on the creation of a checkoff program to promote industrial hemp, similar to producer-funded checkoffs that boost cotton, milk, and Christmas trees. The National Industrial Hemp Council and the Hemp Industries Association said on Wednesday that they had entered into an agreement to work together on the project.
“A checkoff program further legitimizes a rapidly growing industry and will help hemp farmers compete on a level playing field with producers of other agricultural-related commodities,” said Patrick Atagi, chairman of the Hemp Council. Rick Trojan, president of the Hemp Association, said the agreement “creates a focus on gathering data and distributing education as hemp cultivation expands nationally.”
The trade groups said they will form a working group to discuss how to structure a national checkoff program and how it would operate. Groups usually submit checkoff proposals to the USDA for review with an eye toward a referendum on whether to establish the checkoff.
At present, Montana is the only state with a hemp checkoff, set at 1 percent of sales, for research, market development, and education. There is interest in Colorado and Pennsylvania in checkoff programs, too.
The 2018 farm law legalized the cultivation of industrial hemp.