Friday, March 27, 2015

Hemp pilot projects finding fertile ground in Kentucky

by Dan Dickson
Source: bizlex.com

Cynthiana farmer Brian Furnish has a successful tobacco and cattle operation but wants to make life better for his family and many other Kentucky farmers who once depended on tobacco for their living.
“I’ve seen what’s happened with the decline of tobacco,” said Furnish. “Central and eastern Kentucky need a new crop. If we can build an industry around hemp here, it’ll be beneficial to growers.”
Furnish is also the chair of the Kentucky Hemp Industry Council, a 16-member group from around the state and nation that represents various stakeholder in hemp’s future, from farmers and crop processors to industries and retailers that want to process and sell hemp products. Hemp’s fiber and oil can be used in a multitude of goods, including food, paper, building materials, beauty products and much more.
Kentucky is entering its second year of industrial hemp pilot projects. The first round in 2014 produced a wealth of data about production methods, seed varieties, harvesting, processing techniques and uses for harvested hemp.
“We’re looking to conduct a wide scope of pilot projects in 2015,” said Agriculture Commissioner James Comer, a strong advocate for hemp and a Republican candidate for governor.
“There are more agriculture processors in Kentucky today making an investment in the state, signing contracts and hiring people. This is something we’ll be able to look back at and say ‘This was a good decision,’” said Comer.
Comer says one company that showed an early interest in developing the state’s hemp industry is Dr. Bonner’s Magic Soaps, a company selling hemp formulated soaps, organic bars, lip balm and body care products, according to its website. The company donated $50,000 to aid the hemp council’s work in promoting a future for hemp in Kentucky.
Comer says hundreds of others have applied for permits to participate in this year’s hemp pilot program. “There’s no shortage of farmers who want to grow hemp,” he said.
Lexington attorney Jonathan Miller is legal advisor for the hemp council.
“We would like to resume our leading role as the industrial hemp capital of the globe,” he said.
Miller and others have lobbied Congress and President Barack Obama’s administration to try to regain full legalization of hemp, which was banned 75 years ago, along with its intoxicating plant cousin, marijuana.
In the last year, no hemp has been commercialized in Kentucky. It remains in the experimental stage.
“When the day comes that commercial hemp production is open to all producers and processors in Kentucky, we want to be ready,” Comer said.
Numerous companies are trying to get in at the ground floor of what state agriculture interests hope will be the next hemp boom. Comer said a New York-based family, which he declined to identify, is interested in central Kentucky hemp for industrial textiles. The company reportedly already has contracts with the military to supply such items as utility belts, tents and truck covers.
“Every firm that comes to Kentucky wanting to process isn’t just a little day-dreamer,” said Comer. “They are big-time entrepreneurs with a lot of ability and net worth.”
Comer acknowledged that a year ago there was opposition to redeveloping Kentucky’s hemp industry.
“[Opponents] didn’t want to see a good idea, which is a problem we have in our state,” said Comer.
One prominent Kentucky company hoping to land some big hemp contracts is Caudill Seed, based in Louisville. Caudill is a seed and supply distributor serving the agricultural, turf seed, contractor supply and reclamation industries. The company has been in on the earliest discussions about Kentucky hemp with Comer and U.S. Sen. Mitch McConnell (R-Ky.).
“Anything that is good for Kentucky farmers is good for Caudill Seed,” said Carl Gering, who handles public relations for the company.
Caudill Seed wants to distribute hemp seed for Kentucky. Kentucky has a working agreement with the Drug Enforcement Administration (DEA) to hold hemp seeds for its pilot projects. Caudill hopes one day someone other than the state will be allowed to possess them.
“A farmer in Lexington may say: ‘I need a certain variety of seed for strong hemp fiber,’ and we would like to be able to sell it to them,” said Gering.
The company already has seed cleaning equipment and could also produce hemp oil after crushing the seeds in a press.
From his central Kentucky farm, Furnish is optimistic about the future of hemp in Kentucky.
“Something good is going to happen, and fairly quickly. This is going a lot faster than I thought it would go.”


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