USDA’s Final Hemp Rule on Domestic Hemp Production to Go Into Effect Early Next Week: Hemp, Inc. Reports

Rhea-AI Summary

Hemp, Inc. (OTC PINK: HEMP) is moving forward with its business as the U.S. Department of Agriculture finalizes hemp production regulations, effective March 22, 2021. Key updates include a raised negligence threshold for THC levels to 1% and a streamlined disposal process for non-compliant plants. The company is also expanding its product line, enhancing online distribution, and forming partnerships for new marketing initiatives. With over a decade of industry experience, Hemp, Inc. aims to support hemp farmers and capitalize on growing market opportunities.

Positive

• U.S. Department of Agriculture's final rule on hemp production becomes effective March 22, 2021, reducing regulatory hurdles.
• Negligence threshold for THC levels increased to 1%, allowing producers more leeway.
• Company expanding product offerings, including new CBD items under King of Hemp brand.
• Plans for enhanced marketing initiatives and partnerships to reach new niche markets.

Negative

• None.

Las Vegas, NV, March 18, 2021 (GLOBE NEWSWIRE) -- via NewMediaWire -- Hemp, Inc. (OTC PINK: HEMP) a global leader in the industrial hemp industry with bi-coastal processing centers, is proud to report the U.S. Department of Agriculture’s final hemp rule to establish a domestic hemp production program is moving forward under the Biden administration and will become effective on Monday, March 22, 2021.  “The final rule includes provisions for the USDA to approve hemp production plans developed by states and Indian tribes including requirements for maintaining information on the land where hemp is produced, testing the levels of delta-9 tetrahydrocannabinol, disposing of plants not meeting necessary requirements and licensing requirements. It also establishes a federal plan for hemp producers in states or territories of Indian tribes that do not have their own USDA-approved hemp production plan.”

According to the USDA’s Agricultural Marketing Service, the key provisions of the final rule include:

·       Negligent violation – producers must dispose of plants that exceed the acceptable hemp THC level. However, if the plant tests at or below the negligent threshold stated in the rule, producer will not have committed a negligent violation. The final rule raises the negligence threshold from .5 percent to 1 percent and limits the maximum number of negligent violations that a producer can receive in a growing season (calendar year) to one.

·       Disposal and remediation of non-compliant plants – the final rule allows for alternative disposal methods for non-compliant plants that do not require using a DEA reverse distributor or law enforcement and expands the disposal and remediation measures available to producers. AMS will provide acceptable remediation techniques in a separate guidance document.

·       Testing using DEA-registered laboratories – there are an insufficient number of DEA-registered laboratories to test all the anticipated hemp that will be produced in 2020 and possibly 2021. DEA has agreed to extend the enforcement flexibility allowing non-DEA registered labs to test hemp until January 1, 2022 and is processing lab registration applications quickly to get more labs testing hemp DEA-registered.

·       Timing of sample collection – the IFR stated a 15-day window to collect samples before harvest. The FR extends this requirement to 30 days before harvest.

·       Sampling method – stakeholders requested that samples may be taken from a greater part of the plant or the entire plant. They also requested sampling from a smaller number of plants. The FR allow states and tribes to adopt a performance-based approach to sampling in their plans. The plan must be submitted to USDA for approval. It may take into consideration state seed certification programs, history of producer compliance and other factors determined by the State or Tribe.

·       Extent of Tribal Regulatory Authority over the Territory of the Indian Tribe – the IFR did not specifically address whether a tribe with an approved USDA plan could exercise primary regulatory authority over the production of hemp across all its territory or only lands over which it has inherent jurisdiction. The final rule provides that a tribe may exercise jurisdiction and therefore regulatory authority over the production of hemp throughout its territory regardless of the extent of its inherent regulatory authority.

Source Cited: Agricultural Marketing Service/USDA/Hemp Production

To read the full final ruling on hemp production, click here.

With fewer roadblocks and less red tape, Hemp, Inc. executives say this will likely present more opportunities for hemp farmers and growers to successfully navigate the industry. Hemp, Inc. continues to grow as the industry grows. The company has over a decade of experience in growing, harvesting, processing and selling industrial hemp, as well as having a strong foothold on the educational front with its Hemp University.

Hemp, Inc.’s main focus is now on marketing and is currently negotiating with a network marketing company to launch several new products for different niche markets.  Digital marketing campaigns are in the works including planning for display booths at all the concerts and events at the Veteran Village Kins Communities.  The Company is also selling directly to retail stores as well as distributing through all the King of Hemp Stores opening around America this year.  Online distributors such as http://www.naturalexposureCBD.com are also carrying the products.

The company recently added its second brand (Billy Hayes) in the King of Hemp® product line which already consists of Bubba Kush hemp; CBD Pre-rolls, Fortified CBD Pre-rolls, CBD and CBG Caviar/Moon Rocks; and Diamonds (which are 96%-98.7% CBD, the only product like this in the marketplace today). According to executives, there are a limited number of signed collector’s boxes that are also available. Those interested in being the first to collect this “pirate treasure” should click here. The third in the series will be the Notorious Smith Brothers (famous smugglers from South Florida) to be released at a later date. 

The Company’s website for its King of Hemp® line (www.kingofhempusa.com) also has CBD oil tinctures available for purchase. The tinctures are available in two flavors, Natural and Peppermint, and contain full-spectrum hemp oil extracted from the flowers and leaves of hemp plants sustainably sourced from Colorado. They are also compliant with the regulations created by the Colorado Department of Agriculture in regards to industrial hemp. The tinctures, as well as all CBD products, contain 0.3% or less THC and are compliant with the 2018 Farm Bill.

To learn more, go to the King of Hemp® website, here.

Those interested in King of Hemp® pre-rolls; hemp-derived CBD tinctures; Caviar; Diamonds; can visit www.kingofhempusa.com and email sales@kingofhempusa.com.

WHAT IS HEMP, INC.?

What is Hemp, Inc.? With a deep-rooted social and environmental mission at its core, Hemp, Inc. seeks to build a business constituency for the American small hemp farmer, the American veteran, and other groups experiencing the ever-increasing disparity between tapering income and soaring expenses. The Company is on a mission to be a powerful engine for social change and economic revival, worldwide, by providing hemp products that are eco-friendly, sustainable and healthy. Hemp, Inc. executives believe there can be tangible benefits reaped from adhering to a corporate social responsibility plan.

FORWARD-LOOKING DISCLAIMER AND DISCLOSURES

This press release may contain certain forward-looking statements and information, as defined within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and is subject to the Safe Harbor created by those sections. The Securities and Exchange Commission (SEC) requires issuers to provide “adequate current information” and Hemp, Inc. does… using the SEC’s Alternative Reporting Standard to publicly report its quarterly and yearly financials.  All current information can be found on www.hempinc.com/hemp-financial-disclosures/. This material contains statements about expected future events and/or financial results that are forward-looking in nature and subject to risks and uncertainties. Such forward-looking statements by definition involve risks, uncertainties.

Contact:

Hemp, Inc.    

855-436-7688

ir@hempinc.com

FAQ

What significant changes does the USDA's final hemp rule include for Hemp, Inc. shareholders?

The USDA's final rule, effective March 22, 2021, raises the THC negligence threshold to 1%, allowing Hemp, Inc. and other producers to operate with less regulatory pressure.

How is Hemp, Inc. preparing to take advantage of the new hemp production regulations?

Hemp, Inc. is expanding its product range and forming marketing partnerships to enhance distribution and reach various niche markets.

What is the main focus of Hemp, Inc. after the USDA hemp regulations are finalized?

Hemp, Inc. is focusing on marketing and expanding its product line, particularly through its King of Hemp brand.