By Richard Fast
Libertarian Party of Louisiana
January 29, 2014
The agricultural crop known as hemp did not always require permits from the U.S. Drug Enforcement Agency, excessive regulations, and bureaucratic red tape. There was a time before 1937, and then again briefly during World War II, in which hemp was not only a fairly common crop, but a thriving one at that! The Libertarian Party of Louisiana seeks to end a cumbersome policy and recreate a much needed market that will provide thousands of jobs. Illustrated here are the facts as to why the prohibition of hemp production does more harm than good, and why a resurgent hemp industry, particularly in Louisiana, would revitalize a much wounded economy.
In today’s U.S., there is a great misunderstanding of the differences between hemp and marijuana. With the increased demand for renewable resources, hemp provides a viable option. This alternative could fuel further growth of hemp product sales, especially in a “green” consumer market. Unfortunately, a large portion of the population mistakenly opposes the re-legalization of hemp because they believe it will be used to produce marijuana. To set the record straight: First, hemp and marijuana, although very similar in agricultural composition, are two different plants stemming from ‘Cannabis sativa’ used for two different purposes. Marijuana is a flower (hence, the term “bud”) used exclusively to “get high.” Hemp, on the other hand, is used to create fiber, rope, clothing, and oil, among other daily necessities. Second, while the hemp plant and marijuana both contain THC, the psychoactive ingredient that causes the “high”, hemp usually contains 1% or less-- a person could not achieve the desired effect even if they tried, whereas marijuana can contain 3-25%. Third, even while marijuana was facing prohibition, agricultural hemp was still in use and production was sent overseas, which Americans still pay for today. Now that the main misconceptions have been addressed, let’s examine why hemp is in the situation it is in.
In order to have a better understanding of hemp’s current condition, it is necessary to have some context about its history. The hemp industry in the U.S. before it was made illegal was huge. To paraphrase “How Hemp Became Illegal: The Marijuana Link,” because hemp was such a success in the first two decades of the twentieth century that it even rivaled huge cotton manufacturers, the owners of which used their connections in the federal House Ways and Means Committee to outlaw the crop. However, these congressmen did not use the word ‘hemp’ -- they substituted it with ‘marihuana,’ a word used by those near the Mexican border that the vast majority of Americans had never heard before. (1) Beginning in the 1930’s, ‘marihuana’ became a synonym for hemp and hemp became illegal. The Marihuana Tax Act of 1937 effectively outlawed both plants simultaneously by causing states one by one to start criminalizing its cultivation. An exception was made, however, when quick fiber production was needed during World War II. According the the Department of Agriculture (USDA), “In 1943, U.S. hemp production reached more than 150 million pounds (140.7 million pounds hemp fiber; 10.7 million pound hemp seed) on 146,200 harvested acres. This compared to pre- war production levels of about 1 million pounds.” (2) Although more than seventy years ago, this spike in demand is sure to reappear given increased awareness in the usefulness of hemp and the expediency of its products.
With regard to yearly imports of hemp-based items, a U.S. self-produced industry would create thousands of much needed jobs here in Louisiana. Because it is difficult to project the exact impact of a revitalized hemp industry in the U.S., estimates range on how much money and jobs could be brought back into the domestic economy. According to a 2013 publication by the Congressional Research Service, “Given (these) data limitations, available trade statistics indicate that the value of U.S. imports under categories actually labeled “hemp,” such as hemp seeds and fibers, which are more often used as inputs for use in further manufacturing, was nearly $11.5 million in 2011. Compared to available data for 2007, the value of imported hemp products for use as inputs and ingredients has more than doubled." (3) Evidence shows that not only is there a market, but that market is growing. The U.S. has what it takes to meet the demand. Additionally, with the increased demand for renewable resources, hemp provides a viable option. This alternative could fuel further growth of hemp product sales, especially in a “green” consumer market.
So, what would a domestic hemp industry look like in the U.S.? The Congressional Research Service continues to state, “Some estimate that the global market for hemp consists of more than 25,000 products” and that “Current industry estimates report that U.S. retail sales of all hemp-based products may be nearly $500 million per year.” This update from July 2013 clearly shows that a legitimate hemp industry would more than satisfy both consumers and producers. To get a better picture of what the U.S. would look like, an analysis of Canada is appropriate because of our common border and its status as leader of North American hemp production. Agriculture and Agri-Food Canada reports that, “Industrial hemp production statistics for Canada indicate that one acre of hemp yields an average of about 700 pounds of grain, which can be pressed into about 50 gallons of oil and 530 pounds of meal. That same acre will also produce an average of 5,300 pounds of straw, which can be transformed into about 1,300 pounds of fiber." (4) In addition, there is something to be said for hemp products assembled abroad but sold domestically. VoteHemp.com quotes the Hemp Industries Association as “estimat[ing] that the total U.S. retail value of hemp products in 2012 was nearly $500 million, which includes food and body products, clothing, auto parts, building materials and other products." (5) If the same could be accomplished in Louisiana, that would many much needed jobs created in hemp production and expansion, hemp retail, hemp transport, and hemp advertising. The possibilities are virtually endless and with the state of the national economy today, there is no better time than now to end the prohibition of hemp production and getting people back to work so they can provide for their families!
In summary, the prohibition of hemp cultivation is detrimental to the U.S. economy as well as an outdated law that needs to be repealed. The fact that history has proven that items made from hemp are in demand and that the U.S. continues to sit on its hands is an incredible loss of economic and job potential. The hemp plant is very useful for making everyday products and should not be confused with another sativa plant that produces a stronger psychoactive stimulant. The Libertarian Party of Louisiana encourages the repeal of hemp prohibition and stands with the increasing large group of folks that advocate hemp’s usefulness. Vote Libertarian!
REFERENCES
(1) “How Hemp Became Illegal: The Marijuana Link” Martino, Joe. collective-evolution.com Dec. 5, 2012. http://www.collective-evolution.com/2012/12/05/how-hemp-became-illegal-the-marijuana-link/.
(2) USDA Agricultural Statistics, various years through 1949. A summary of data spanning 1931-1945 is available in the 1946 edition. See “Table 391—Hemp Fiber and hempseed: Acreage, Yield, and Production, United States.”
(3) Johnson, Renée, "Hemp As An Agricultural Commodity," Congressional Research Service (Washington, DC: Library of Congress, July 24, 2013), p. 6.
http://www.fas.org/sgp/crs/misc/RL32725.pdf
(4) Agriculture and Agri-Food Canada, “Industrial Hemp” (no date), http://www4.agr.gc.ca/AAFC-AAC/display- afficher.do?id=1174595656066&lang=eng.
(5) R. Fletcher, “As Momentum Builds for Policy Change, U.S. Market for Products Made from Industrial Hemp Continues to Thrive: 2012 Annual Retail Sales for Hemp Products Hit $500 Million,” February 25, 2013, http://www.votehemp.com/PR/2013-02-25-hia_$500_million_annual_sales.html.