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Missouri Hemp Production Drops as U.S. Expands

Missouri Hemp Production Drops as U.S. Expands


By Blake Jackson

In 2024, more than 45,000 acres of hemp were planted across the United States, showing a 64% increase from the previous year. However, Missouri contributed just 550 acres—its lowest total since hemp data collection began in 2021.

Despite early optimism, Missouri’s hemp industry faces serious challenges. According to Eleazar Gonzales, an agricultural economist at Lincoln University, farmers have found hemp less profitable than traditional crops like corn and soybeans. “Most of the farmers who started with hemp — they lost money,” Gonzales said.

Lack of local processing facilities remains a major hurdle. Transporting hemp hundreds of miles to processors adds high costs, deterring growers. Efforts by Lincoln University’s Hemp Institute to build markets and pay farmers to plant hemp haven’t reversed the trend.

Additionally, policy uncertainty and regulatory risks are contributing factors. Missouri lawmakers have proposed restrictions on hemp-derived products, which some farmers see as business threats.

Gonzales explained that exceeding 0.3% delta-9 THC in hemp leads to crop destruction, increasing risks for farmers.

In 2023, 1,410 acres of hemp were harvested in Missouri, but only 210 acres were harvested in 2024. Lincoln University lost 300 acres to frost. Although the university’s Climate Smart Hemp program aimed to develop regional varieties, its future is uncertain after the USDA suspended its funding program.

To continue, projects now require at least 65% of funding to go directly to farmers. Gonzales fears Lincoln’s program will not meet this threshold. “There is a cost — opportunity cost — to grow something else. It is more profitable to grow corn or soybean.”

Nationally, 15 states increased hemp planting in 2024, while 12 reported declines. Missouri's struggle stands in contrast to the broader revival of hemp across the country.

Photo Credit: lincoln-univsersity-missouri

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Categories: Missouri, Business, Crops, Government & Policy

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