A Transformative Year for the Hemp Industry


As 2024 comes to a close, the hemp industry stands at a crossroads of growth, innovation, and regulatory complexity. Across the United States and around the globe, hemp has continued to solidify its reputation as a versatile eco-friendly resource, even as it faces ongoing challenges. Here is an end of year reflection on the pivotal moments and pressing issues that shaped the hemp industry in 2024.


Policy Shifts: Progress and Peril

In the United States

The hemp industry in the U.S. spent much of 2024 navigating uncertain regulatory terrain. Delays in the passage of the Farm Bill left stakeholders in suspense over crucial updates, including bifurcating hemp fiber and grain from hemp floral and cannabinoid crops. While this change holds the potential to boost agricultural output and product diversity, legislative gridlock has left farmers and businesses in limbo.

One of the most contentious issues was the regulation of hemp-derived cannabinoids such as CBD and delta-8 THC. The FDA, after years of indecision, announced it would not regulate CBD as a dietary supplement, instead calling for congressional action to establish a new regulatory framework. This move stirred anxiety within the industry, as businesses, congressional representatives, and consumers alike called for clarity to ensure market stability.

In tandem, several states, including Colorado and California, moved to align hemp and cannabis policies, focusing on product testing, labeling, and interstate commerce. These harmonization efforts aim to reduce confusion but have also raised compliance costs, disproportionately impacting small businesses. Meanwhile, other states such as Kentucky, Florida and Minnesota have enacted policies to regulate what is called out in the media as ‘intoxicating hemp products’. Indigenous communities pushed for recognition of their sovereignty in hemp cultivation, advocating for access to federal funding and markets without state interference. Their advocacy highlighted the importance of equitable policies in the industry’s future.

On the Global Stage

Internationally, hemp’s momentum continued to grow. The European Union’s decision to raise its THC threshold for industrial hemp to 0.3% aligned its policies with global standards, enhancing the competitiveness of European farmers. In Asia, China maintained its position as the world’s largest hemp producer, while India’s government launched pilot programs to integrate hemp into its agricultural economy. In November, Thailand held its 3rd Annual Asia International Hemp Expo in Bangkok and the Thailand hemp industry is rapidly emerging as a regional leader in Southeast Asia, driven by progressive regulatory reforms and government-backed initiatives to promote industrial and medicinal hemp cultivation. 

Sustainability remained a central theme globally. Countries like Canada and Australia explored the inclusion of hemp in carbon credit programs, recognizing its potential to sequester carbon and reduce the environmental impact of traditional farming.


Milestone Moments and Industry Trends

Hempcrete Approval: Building the Future

A landmark moment for the U.S. hemp industry arrived with the official approval of hempcrete for residential construction in the International Residential Code (IRC) for the 2024 edition. This recognition positions hempcrete as a sustainable alternative to conventional building materials, paving the way for its adoption in eco-friendly architecture and construction.

Hemp Feed Approval for Egg Laying Hens

In 2024, a major milestone was achieved in the U.S. agricultural and hemp industries with the approval of hemp seed meal as a feed ingredient for egg-laying hens. This approval, granted by the Association of American Feed Control Officials (AAFCO), marks a significant step in integrating hemp into mainstream agriculture. Hemp seed meal is rich in protein and essential nutrients, offering a sustainable and nutritious option for poultry feed. The decision is expected to benefit both farmers and the hemp industry, creating new market opportunities while promoting low-impact practices in livestock production.

Advances in Bioplastics and Biofuels

Major corporations turned their attention to hemp as a raw material for biofuels and bioplastics, signaling a shift towards sustainable manufacturing. Collaborative efforts across the U.S., Europe, and South America resulted in the launch of pilot projects, highlighting hemp’s potential to replace petroleum-based products.

The Delta-8 THC Debate

The legal status of delta-8 THC remained a polarizing issue. While some states enacted bans citing safety concerns, others embraced it as a legal alternative to marijuana. The resulting patchwork of regulations deepened divisions within the hemp sector and underscored the need for unified federal guidelines.

Global Standardization Efforts

The establishment of global standardization and harmonization of policy objectives is underway.  Organizations such as FIHO – The Federation of International Hemp Organizations, EIHA – European Industrial Hemp Association, NIHC – National Industrial Hemp Council of America, and the newly formed AIHF – Asia International Hemp Federation, are all working together on this initiative that aims to reduce barriers to international commerce and foster innovation, offering a promising step toward global cooperation in the hemp industry.

Rise in Grant Funding

Also in 2024, the hemp industry experienced a notable rise in federal and state grant funding. Among the organizations awarded grants are Hempitecture, The Lower Sioux Indian Community, the National Hemp Association, IND Hemp, Oregon State University and The Global Hemp Innovation Center, the National Industrial Hemp Council of America, The Hemp Building Institute, PureHemp Technology, Sativa Building Systems, and Americhanvre.

Indigenous Leadership in Hemp

Indigenous-led hemp and cannabis cooperatives gained traction worldwide, leveraging traditional ecological knowledge to champion regenerative agriculture and economic self-determination. These initiatives serve as a model for equitable and sustainable development within the industry.


Challenges and Opportunities and Heading into 2025

Despite its progress, the hemp industry continues to grapple with hurdles. Oversupply, and undersupply, and inconsistent regulations remain persistent issues, as do public misconceptions about hemp’s uses and benefits. However, 2024’s advancements—from hemp feed approval to international collaborations—underscore the crop’s resilience and versatility.

The hemp industry is positioned for steady growth in 2025 and beyond. By tackling regulatory hurdles, focusing on innovation, and enhancing collaboration among key stakeholders and organizations, hemp holds the potential to revolutionize sectors such as food, wellness, construction, and energy—all while advancing a more regenerative future.

As 2025 approaches, industry stakeholders have exciting opportunities to connect both online and in person. To be part of the conversation, make sure to attend key events, including the 11th Annual NoCo Hemp Expo from April 10-12 in Estes Park, Colorado; the 22nd EIHA Conference and Experience Hemp Berlin from June 11-13 in Berlin, Germany; and the 4th Annual Asia International Hemp Expo from November 5-8 in Bangkok, Thailand.

The mention of companies and other enterprises in news stories and Q&As does not imply an endorsement by Let’s Talk Hemp or any business relationship.



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