The Tasmanian hemp industry has grown exponentially during the 2018/19 season, with the potential for hemp to become a serious cash crop option for Tasmanian growers.
With decrease in the area sown to poppies, the popularity of producing hemp as an alternative cropping option is increasing. In 2018/19, 1300 hectares of hemp was grown - a 66 per cent increase in area from 2017/18. There has been a strong drive to boost grain production of hemp in Tasmania due to the recent crop failures in the mainland states.
Hemp is sown in late spring and harvested in early autumn, fits in well as a rotational crop and offers a comparable return to grain crops, with gross margin figures of $1500-$2000 a hectare.
Due to its late November sowing window, it has opened new opportunities for crop production. It allows growers who have harvested spring vegetable crops, a later sown cash crop option. For livestock producers it also enables them to use their spring feed for a longer period prior to planting a cash crop.
Tasmania is the largest producer of industrial hemp grain, harvested seed is exported to the mainland with a small quantity being exported overseas. Most processing of the grain occurs in Victoria, with the final packaged product heading to markets as hemp seed or hemp oil. The grain and oil products are used in various forms of food production such as baking, salads and breakfast cereals.
Southern Farming Systems is working with RED Agriculture conducting variety trials and trials aimed at improving agronomic practices. Cann Harvest in conjunction with ag consultancy firm Macquarie Franklin, are also conducting field work to improve understanding of the crop potential.
The hemp industry in Tasmania has formed an industry body, Hemp Association Tasmania, which has successfully lobbied government for changes in legislation to enable the industry to gain momentum, and continues to offer guidance and support to growers and markets.
