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Hemp Laws Explained with Vicente Sederberg LLC

Hemp Laws Explained with Vicente Sederberg LLC

The times, they are a changin’. So are the hemp laws.

The hemp economy is growing at a rapid rate. The Farm Bill, passed in 2018, has opened the floodgates for states to establish their own legal hemp programs. But it isn’t an easy transition.

Some states aren’t on board yet, and some still have laws on the books that criminalize hemp. People are trying to get into the CBD industry, but there is still very little regulation, and a lot of the hype around could be dangerous.

What Are The Hemp Laws?

Every state has different hemp laws for the most part. But now the federal government has legalized “industrial hemp” for commercial production, processing and interstate commerce, conflicting with a lot of states’ current laws.

Industrial hemp, as defined in the Farm Bill, is any part of the cannabis sativa plant with a THC percentage lower or equal to .3%. A lot of states already had a similar law at the state level, and similar to legal cannabis on the state level, federal government entities for the most part left them alone.

Other states had even more strict hemp laws. The states with stricter hemp laws compared to new federal law do not have to conform to the new federal law, because they are technically still within that law.

Colorado, which had a Constitutional amendment added that granted the right to grow hemp that was .3% THC, removed that amendment prior to the passing of the Farm Bill with a vote. This way, Colorado completely takes on the new federal definition of industrial hemp, with no chance of state-constitutional conflict should the regulations change on the federal level in the future.

The Hemp CBD Dilemma

In most major cities, there are more and more natural health stores popping up with CBD products. Other major chains like Whole Foods, CVS and Walgreens are adding CBD to their shelves. But what’s the actual regulation around CBD?

The FDA currently has no standing regulation surrounding CBD. While the Farm Bill changed the regulation surrounding industrial hemp, there were no changes made to food products, supplements and the like made from hemp. This has a big impact on CBD products.

Most states match the food and drug laws to the FDA’s regulations, but some states have made local changes to allow products like CBD, Kratom and others. A major conflict that has arose since the CBD market has begun to take off is the question of whether or not CBD is a medicine, or a supplement.

According to the FDA, a product that is regulated and labelled as a drug, cannot also be sold a food supplement. There have already been drugs made from CBD for epilepsy, and this is causing a stand still. This makes branding CBD products a challenge, with people coming up with new names for what really is just CBD oil.

Hemp oil, hemp seed oil, hemp extract, etc., are all product names you’ll see on the shelves at your local health store. The chances of seeing a product labelled with CBD in the name are slim right now.

This Week’s Episode

There is so much more to dive into with hemp and CBD laws in the new market of 2019, that writing it all here would be thousands and thousands of words. So why not hear it from people who have been studying hemp law for years?

Shaun Hauser and Andrew Livingston head the Hemp Division of Vicente Sederberg LLC. Vicente Sederberg is one of the most well-known and renowned cannabis law firms in the country, and they have an entire wing devoted to hemp laws.

In this week’s episode Andrew, Chip, Justin and Shaun talk about the new hemp laws, how it affects the states, the complications of the new CBD industry and more surrounding the legal hemp industry and the new laws surrounding it. Most lawyers would charge hundreds of dollars just for one hour of consultation on hemp laws.

In this week’s episode of The Real Dirt, we get it all. FOR FREE. Listen to the full episode now, and join the Real Dirt Facebook Group to share your thoughts on the episode!

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Oklahoma Hemp Bust (Update)

Oklahoma Hemp Bust (Update)

Four men were arrest during an Oklahoma hemp bust back in January. Now two men are finally free, with the other two with unsure futures.

The Real Dirt reported on a story back in January that involved a company transporting hemp through Oklahoma. The hemp was poorly stored, resulting in odor that could be smelled 2 miles down the road, by police.

What happened next cause quite some controversy in the new legal Oklahoma hemp industry.

The Original Oklahoma Hemp Bust

In early January Andrew Ross from Aurora, CO was providing security for the transport of several thousand pounds of what he claimed to be industrial hemp from Oklahoma to Colorado. Ross and the semi-truck he was assisting was pulled over in Pawhuska, Oklahoma after running a red light. 

The officer smelled what he claimed to be cannabis as he approached Ross’ van, at which point Ross told him that they were the security for the semi-truck transporting hemp. Ross was then instructed to open the semi-truck, revealing over 9,000 pounds of hemp or cannabis.

After conducting a field test, which tests for any amount of THC, the officer believed the plants to be cannabis and not hemp. However, legal hemp can have up to .3% THC. This led to a lengthy delay in the case as the local police had to send the plants to be lab-tested, which was additionally delayed by the government shutdown in January.

During this time, two of the four who were arrested — Ross, one other in the van and another two in the semi-truck were arrested in total — have remained in prison since they couldn’t afford bail. They most likely won’t be released until the conclusive results of the tests come back.

The Update

While four men were arrested back in January, only the two truck drivers who couldn’t afford bail have remained in prison, until about a month ago. In late March, all charges were dropped against the truck drivers Tadesse Deneke and Farah Warsame.

But for Andrew Ross and his partner that provided security for the transport, the legal battle is not over. While a local man from Tulsa actually offered to pay the bond for Deneke and Warsame to get them out of jail, setting them free, The DA is still pursuing charges aginst the security company.

Of the seized material that was tested, eight of the eleven tests conducted came back “hot”. In other words, the THC levels of the samples tested above the legal amount of .3%, with the hot samples testing between .38% and .5% THC. That is no longer considered legal hemp under federal law.

According the DA’s ongoing investigation, the security drivers for the truck may have had more knowledge about what they were transporting compared to the truck drivers. Implicating that they could have know they were transporting illegal hemp, and let the drivers, who had no experience with hemp, transport it anyway.

What Comes Next?

While the security guards are not being held in jail since they posted bail, their charges have still not been dropped. If convicted, they could face up to 20 years in prison for transportation of illegal cannabis.

And this is case is still far from over. The next court appearance for the security guards is not until August 8th, 2019. The evidence is starting to point toward foul play. If the security guards knew they were transporting illegal material, they will be held responsible, along with the company that grew the hemp to begin with.

If it really is true that almost none of the hemp on the truck was .3%, then this is a case of someone trying to skirt the law, but not getting close enough to do it. This is a weeding out process, and people will try to take advantage of a new, infantile industry with little regulation or state oversight currently.

The Real Dirt will continue coverage of this case as it develops.

For the latest hemp and cannabis industry news, join The Real Dirt Facebook Group! Get exclusive content, discussion and more when you join.

Everything You Need to Know About Growing Hemp in Alabama (Pt. 2)

Everything You Need to Know About Growing Hemp in Alabama (Pt. 2)

At this point you’ve already decided whether or not you’re growing hemp from seed or clones. Now it’s time to get it planted.

Over 150 farms have already been approved to start growing hemp in Alabama. A lot of them are going to fail.

Why?

Because they’re going to treat hemp like any other row crop.

Planting and Caring for Hemp

In Alabama you should plant at the end of May through the first week ofJune with 2000 to 4000 plants per acre. It is best to sew directly into the ground, however many people find success by using automated plug planters. These planters allow you to plant clones and seeds in a root plug.

Bigger is not better. It’s best to grow plants that are under 5 feet tall and spaced appropriately where they still touch. Your hemp fields should look more like a corn or wheat field than your traditional ganja plant.

To put it simply: It’s all math.

Smaller plants are easier to harvest, easier grow, and don’t require staking. Larger plants require staking, more water, and more nutrition. If you have the land, it’s much better to plant more acres out than less plants. If you choose to grow large plants you will absolutely eat up all your profits and harvesting.

It’s easy to calculate the weight of a field. A foot-tall plant at a density of 2000 plants per acre will yield 2,000 to 4,000 pounds in acre. If you plant with a greater density of 4,000 plants per acre, you will be able to use mechanical harvesting techniques for easier collection. Bean pickers are already being used to harvest hemp throughout the country. You just need more plants per acre for it to be worth your while.

Best Hemp Practices

On a very small scale of 1 to 10 acres, it’s easy enough to plant your seeds or clones by hand. Anything bigger than that and you’ll either need a lot more hands or a mechanical planter.

Hemp clones and seeds require water to grow. They grow best in irrigated fields, however I have been to dozens of hemp fields throughout the country that don’t have irrigation and just rely on God‘s grace and the the rain.

Cross your fingers and it could work out great for you.

For guaranteed success, supplemental irrigation is essential. With any irrigation technique, hemp plants will suck up the water you give them. It is important for them to be in well-draining fields so they don’t get overwatered. You’ll also need to fertilize your fields.

That’s right Hemp requires fertilization. Smart farmers test the soil prior to planting and apply the appropriate supplements. Hemp mostly needs added nitrogen and calcium. You can apply this with all the traditional means from chickenshit to gypsum, ammonium nitrate to calcium nitrate.

Harvesting Your Hemp

growing hemp and harvesting hemp in Alabama

Harvest can be a confusing component of hemp cultivation.

You can begin harvesting your hemp for extraction as soon as your plants’ CBD levels have started to reach their peak. This occurs approximately 35 days after your initial flower set.

This translates to a harvest in mid September to late October. Since we are mostly harvesting hemp for its CBD component and not its THC component, we have a wider latitude for harvesting.

Lastly, it is smart to invest in at least one or two chemical analyses of the CBD. The best time for testing is between three and six weeks into flower. This will give you a gauge of your harvest times and periods for next year as well.

While it might seem relatively simple, nobody has ever grown hemp on the scale that the US is about to begin growing. There will be a lot of problems that farmers across the country will have to combat. In different states with different climates, different problems will arise for the growers there. But now that it is a legal industry with unlimited potential, and with the help from social media platforms and podcasts like The Real Dirt, the answers to these problems will be much easier to find than they are now.

Learn more about hemp in Alabama specifically on The Real Dirt Podcast. And join our Real Dirt Alabama Facebook Group for news exclusive to Alabama, grow tips and more.

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Inside The Alabama Hemp Industry

Inside The Alabama Hemp Industry

Hemp is legal in Alabama…and everywhere else in the US. But that doesn’t mean all the laws are the same.

The 2018 Farm Bill federally legalized industrial hemp, opening up a brand new marketplace for interstate commerce with federal regulation. This is a huge step for hemp and cannabis (since they are the same thing), but the bill isn’t perfect.

One unique aspect of the bill is that it gives states a year from its passing (December 2018) to either draft their own industrial hemp laws that still fit within federal regulation, or get rid of any hemp laws they currently have, and accept the new federal regulation as their own.

While states like Colorado — that had an amendment to its constitution allowing for the production of industrial hemp — voted to remove the amendment from the constitution to avoid any backlash from federal government, others still have hemp laws on the books.

Alabama is one of them.

Hemp Laws in Alabama

To get the most accurate description of Alabama’s new laws, the best place to go is the Alabama Department of Agriculture and Industries.

Hemp is now deemed an agricultural commodity and is no longer classified as a controlled substance in the US, and in turn, Alabama. It is important for the public to understand that hemp is not legal to grow or process in Alabama until a plan is developed and approved by the United States Secretary of Agriculture.

The USDA will require participating states to include information on applicants, testing procedures, inspection of growing/processing facilities and disposal procedures. The Alabama Department of Agriculture and Industries (ADAI) will work in consultation with the Governor’s office, the Attorney General’s office and law enforcement agencies to create a plan of action regarding statewide regulation.

So, while hemp is federally legal and Alabama is not fighting that, the state is still setting up its legal industry. At the time of this writing (April 2019), Alabama will have already closed its application window for growers, processors and distributors.

Over 180 farmers have been approved, with some 60 processors in addition.

This Week’s Episode of The Real Dirt

One such person that was able to obtain a farming license for industrial hemp in Alabama was Brett Terry. A longtime friend of Chip’s, Brett works with Front Range Biosciences in Boulder, Colorado.

Front Range Bio is working to rapidly advance the growth methods and techniques for cannabis and industrial hemp, from cleaner farming practices to cell cultures. Originally from Alabama, Brett saw the massive market potential for hemp in the state.

As a strong agricultural provider for the country, Alabama is packed with farmers looking for new opportunity. While those that didn’t meet the March 1st deadline must now wait until October to apply for licensing, Brett is already getting started.

Hear Brett’s story and what he’s experienced so far in Alabama’s legal hemp industry in this episode of The Real Dirt Podcast.

Join our private Facebook Group for conversations with other ganjapreneurs and cannabis updates you won’t get anywhere else!

And join our new Real Dirt Alabama Group for exclusive Alabama hemp news, tips and more.

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Everything You Need to Know About Growing Alabama Hemp (Pt. 1)

Everything You Need to Know About Growing Alabama Hemp (Pt. 1)

Wow. Finally by the grace of God, hemp is finally legal. In Alabama, this is an exciting time and opportunity for many people.

With the passing of the 2018 Farm Bill, hemp is now considered a legitimate farm crop in the US. The problem is that hardly anyone knows how to grow hemp, and the people that have been growing hemp have only grown limited amounts, in limited environments.

Now Alabama and a number of other southern states have “legalized it.” But what does that mean?

What is hemp?

Hemp is considered any cannabis plant that has less than .3% THC. This is the only thing that defines what makes hemp legal in the US. With the new Farm Bill of 2018 comes the ability for farmers and states that have regulated the production of hemp to legally farm it.

Even though it’s called industrial hemp, there is very little industrial use of hemp today.

Out of hemp you can make everything from paper to plastics, cement to chipboard. We are on the cutting edge of this technology and we have yet to see industry spring up around it. In the future we will see the above and more utilized for industrial hemp. But until then farmers will have to settle on growing hemp for CBD extraction and potentially seed for food.

Growing hemp for grain can be lucrative. The seeds are inexpensive, however you have to be mechanically geared for the scale of this type of production. Think hundreds or thousands of acres.

CBD, or cannabidiol, is the most lucrative side of industrial hemp today. It is a medicinal component of the cannabis plant that doesn’t share any psychoactive affects with its relative, THC. CBD is used in everything from skin creams to anti-seizure medications. It truly is a wondrous natural supplement.

As of today, CBD is the only way that you’ll be able to be cash positive from any hemp farming activity. If you’re lucky enough to have applied and received an Alabama Hemp License to grow hemp, then it’s time to get started.

The Plant

CBD hemp has many growth patterns and harvest times. It can be planted from June to August in most of the US. Alabama hemp is no different.

Unlike its cousin (i.e. ganja, marijuana, herb), Alabama hemp is grown on a considerably larger scale, with very different techniques.

The first thing you need decide before starting in Alabama hemp, is whether you want to grow from clones or seeds. High-CBD hemp seeds are available for approximately one dollar a seed on the current marketplace. These are feminized seeds that only produce female plants (or at least 90% or female plants).

That’s right. You still can have some percent of males show up, but that’s a little more complex science than we want to get into now. Basically, if you buy 10,000 feminized seeds you’re mostly going to get female plants. Don’t worry if you get a little seed in your hemp either.

You can just as easily purchase traditional seeds that will randomly be male and females. On a small scale of 5 to 10 acres this could be an excellent choice. It is easy enough to cut down all the males as they show their sex, leaving only the females in your field.

However if you do this you have to plant at twice the density in order to compensate for losing half of your plants.

Clones are by far the best way to have consistent yields and performance.

In part 2 of this guide, we’ll go over tips for planting properly, keeping your Alabama hemp plants healthy and maintaining your fields.

You can also hear from somebody who’s breaking into the Alabama hemp industry right now, Brett Terry, on The Real Dirt Podcast.