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Ultimate Hemp Growing Guide

Ultimate Guide To Growing Hemp For CBD

CBD has become a huge business! From just under $300 million in annual revenue for 2016 to an anticipated $20 billion for the year 2020. This surge in popularity, and as a result, annual revenues, are causing CBD to be touted as America’s next gold rush. If you have been dreaming of getting into the hemp industry, then now is the time. Perhaps you have even thought of growing your hemp for CBD. Read on to find out what kind of hurdles you face and what it takes to accomplish this idea.

Grow Hemp It's A Cash Crop!

Why Grow Hemp?

Hemp farming is one of the most profitable textiles and industrial crops in the United States right now. Furthermore, with hemp and CBD derived from hemp being legal in the United States due to the 2018 farm bill, it has created a billion-dollar market that is expected to balloon in the next few years. Growing your own hemp can be an excellent way to tap into this market and make yourself some good money while doing so. Hemp is an extremely capable plant that can grow in a huge variety of climates with the exception of extreme deserts or very high mountains. However, even in these environments if the right protections are taken such as greenhouses, ample water, and further protection from the element’s, hemp could be grown. It is a very tolerant plant that does well in most environments, but it tends to favor warm weather areas with well-drained soils that are abundant in organic materials.


The versatility of hemp makes it an excellent crop for newbies and pros alike. Not only is it highly adaptable to most climates, but it is also relatively easy when compared to other major cash crops. Cannabis does not have the nickname “weed” for no reason. Hemp does not require as much attention as some other crops and therefore makes for an easier plant to grow when all things are considered.

Costs of Growing Hemp

This is going to be the hardest part of growing hemp for CBD. The costs of growing hemp will vary considerably based on a ton of factors such as machinery, farming methods, renting land, etc. However, we will explore what it would cost a typical farm with 10 acres to operate over the course of one growing season. For this thought experiment, we are going to assume that the operational output will be about 1,425lbs of raw material per acre, per season on rented land.

  • Rent $1,000 per acre
  • Machinery $800
  • Irrigation System $4,500
  • Drying barn $6,000
  • Drying materials $500

This would give you a fixed cost of $1,250 per acre.

Furthermore, the operational costs would be:

  • Soil Tests $4,200
  • Transplants $60,000
  • Labor $50,000
  • Machine Operation $3,000
  • Irrigation $3,700
  • Fertilization $2,500
  • Fertigation $500
  • Weed Control $3,000

Coming to a total of $12,690 per acre.

On top of that the non-operational costs are:

  • Licensing Fee $350
  • Testing Fee $1,500
  • Inspection Fee $700
  • Transportation $650
  • Suppliers $2,000
  • Security $350
  • Interest $5,200
  • Other Costs $1,500

Giving you a total of $1225 per acre. When added all up the total cost to grow hemp on 10 acres would add up to a grand total of $151,950 or $15,195 per acre. This is no small investment of money and time and can be a prohibitive factor when it comes to deciding whether or not to grow hemp for yourself. However, despite the high initial startup costs, it can be an extremely lucrative cash crop as the net harvest of these 10 acres could make you $306, 375. Minus your costs of $151,950 and you are left with $154, 425 before taxes. Essentially a successful season could double your initial investment. Although there are many factors that go into this and this is just an example based on the best-case scenario.

Eagle Moon Hemp Farm

Legal Hurdles of Growing Hemp

In addition to high startup costs to grow hemp yourself, there also may be a legal minefield for you to walk through in terms of licensing and fees. Each state has its own regulations and rules concerning the growth of hemp and things vary very differently from state to state. In fact, some states do not allow the growth of hemp such as Idaho. Be sure to check with local laws and regulations before going about growing hemp. There could also be different fees or licenses depending on the area and it is a good idea to investigate them fully. A good place to start is checking with your state’s health department or department of agriculture to get the best information.

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