Customer Care we always go the extra mile to ensure our customers are satisfied with the product and services provided. Shears, snips, or scissors are the best tool to use. To prevent evaporation, hemp seeds should be watered deeply once a week, early in the morning or evening. Supercritical CO2 extraction is used in hemp processing in hemp extraction for extracting CBD oil from hemp biomass. Our vision at EHF is to become the recognized leader in the hemp processing industry. Presently, there is no commercial hemp fiber processing facility in the US to supply and grow these markets. Youll also need a tractor for large-scale hemp farming, but if youre small-scale, a four-wheeler works well. While your hemp is drying, keeping it in a dry, well-vent space is good. The market price of hemp seeds/hemp grain ranges between $0.60-$0.65 per pound. We also plan to leverage the knowledge of locally based Concrete Building Supplies to enter this market. The co2 extraction typically takes place above the supercritical pressure and temperature for CO2. Whether that's extracting oil from hemp from the seeds to creating hemp fiber, biomass processing helps hemp farmers get the . Competitively priced commercial products for high quality fibre and insulation markets. Issues of concern include resin content, purity, feminization, freedom from contamination, and, of course, cost. For seed production, hemp is harvested when seeds begin to shatter. The U.S. situation is continually changing. Checklists for Hemp Permit Application & Permit Requirements (PDF) This refers to dividing light and dark into periods of 12 hours each. Hemp is mostly confused with marijuana, another cannabis plant, and this has greatly affected the acceptance of hemp products in our society. But, bio fiber processing technology is successfully operating in Asia and Europe, although in small scale. You will need to upgrade that amount of power as you grow, but that should get you started. The plant is now ready for harvest, approximately 100 to 120 days after planting the seeds (around September or October). In charge of overseeing the smooth running of HR and administrative tasks for the plant, Defining job positions for recruitment and managing interviewing process, Carrying out induction for new team members, In charge of training, evaluation and assessment of employees, In charge of arranging travel, meetings and appointments. Step 1 - Read PA Hemp General Permit Guidelines (PDF) Step 2 - Review Application Instructions (PDF) and reference as you complete Step 3. What extraction method will I be using? Growers that understand the ideal indoor growing environment can produce multiple harvests within a year. Also, prior arrangements have taken place with Vitality Equipment to use the insulation, when it becomes available, in a demonstration project. EHF Pilot Processing Plant plans to focus on a selected small number of well developed and accessible markets and users that have a range in quality requirements. The most significant expense categories are marketing, amortization of property and equipment and salaries, wages and benefits representing approximately 69 percent of overall expenses in 2023, and approximately 76 percent in 2023 and 75 percent in 2023. Although all three productshemp, marijuana, and hashishcontain tetrahydrocannabinol (THC), a compound that produces . The equity raised by the Offering will be in the form of $2,000,000 of raw hemp fiber provided by EHFPC Ltd. and $4,200,000 from cash. By extension, if the same hemp was extracted but had zero water in the hemp, the overall weight percent yield of the extract would be a greater percent of the weight. Light meter often comes in handy to achieve the ultimate light requirements. EHF has partnered with a renowned bank in the country and hopes to ensure good financial relationship. Maintains quality service by establishing and enforcing organization standards. But, marijuana is still federally illegal (as is hemp with more than 0.3 percent of THC) as a listed Schedule 1 substance. Negotiations are underway with traditional financers. The big shot way into the industry assuming you dont happen to already own a farm, a greenhouse, a processing facility, brands, and a distribution network is a vertically-integrated operation, also known as seed to sale, a step into big business with correspondingly high startup costs. Schedule a hemp sampling for compliance testing of hemp lots. 4. Harvesting is a straightforward process of removing the lowest seedpod from just below the stalk using clean cuts. Our products will surely provide several key benefits to the direct user as well as to the environment. We also provide standard operating procedures for hazardous materials as a part of our GMP package. Banks, also, are maintaining their distance from cannabis companies, pending the possible enactment of the (SAFE) Banking Act of 2019 that prohibits federal banking regulators from penalizing banks that offer cannabis-related financial services. This technology decorticates and separates the plant material and processes the material into non-woven matting products, such as insulation. How much are they going to purchase? A soil texture that allows it to retain and drain water at just the right levels for plant nutrition is essential. Our Pilot Processing Plant is projected to achieve 30 percent (14,400 metric tones) processing capacity in the first year of operation, growing to 50 percent (24,000 metric tones) in year two, and just over 80 percent (38,400 metric tones) in year three. Presently, about 15 states have come out with pro-hemp laws; the rest of the states are silent or vaguely neutral. Decide what part of the industry you want to be in. The Hemp Program was created at the signing of Senate Bill 57 which decriminalized hemp in Ohio and paved the way for the development of a new industry in Ohio. Some hemp seeds take up to two weeks to germinate. Interstate transportation of legal hemp is legal, but not all the states, counties, cities, and law enforcement agencies understand this. You will need to have plenty of power, not only for current operations, but also for the future. Besides energy and solvent usage, there are many other hidden costs related to extraction with ethanol including solvent reuse costs, insurance cost, increased facilities cost, and testing costs. In guidance published by the FDA in 2010, plans for the reuse of solvents must be accompanied by a Declaration of the maximum number of times the solvent can be reused. Have it in mind that a detailed business plan will include information on scores of subjects, but you can start with the business summary and model, market-entry plan, products and services, market analysis, SWOT analysis, team, metrics and milestones, financial strategy, and marketing plan, among other subjects. Some would argue that this is the most important question to answer before getting started: What do my customers want? C. Can you get a tractor-trailer delivery to the dock and utilities? Quality we willguarantee all of our products, using innovative and highest quality equipment available. If you don't know how to make a forecast, you can contact us and we can help you define your business model so that you are able to make such a forecast. They are also responsible for producing products that can form with the quality requirements of the end product. The role of the Consortium Group is to provide advice and to support the development and operation of the Pilot Processing Plant and commercialization of industrial hemp processing in the US. Begin thinking about which hemp products you want to grow. Also, check for mold; mold has probably grown inside the jars if you detect an ammonia odor, making them unusable. There are a few things to consider for caring for new hemp seedlings. Hemp plants need to be watered regularly, but it is important to check the soils moisture level first. In 10 years, we believe this bio fiber processing model could cumulatively sequester approximately 466 kilotons of carbon or about 86 kilotons per year. For ethanol extraction, approximately one gallon of ethanol is required to extract 1 lb of hemp. Lee received his JD from the UCLA School of Law. Thats for starters. Its big, really big, and growing like a pumpkin in September, but how big, no one knows yet. Hemp fiber is ready to be harvested once the plant has finished pollen production. Hemp and hemp-derived items are used in a variety of products, including: Hemp seeds and hemp oil extracted from compressed hemp seeds are high in protein, fiber, and magnesium. The marijuana plant is also a variety of Cannabis Sativa L, but it produces high THC levels and low CBD levels. This will need to be cleared with both insurance and fire marshal prior to operation of the facility. Low-pressure sodium (LPS) lamps are preferable for indoor lighting, but high-pressure sodium (HPS) lamps work well if your space is large enough. Pure bast fiber makes up 35 percent of the raw product. Some of the water will stay in the extract and is typically removed in a secondary stirred reactor before wiped film evaporator and distillation. Notably, it reflects a net loss from operations of nearly approximately $952,000 in 2023, improving to net earnings of over $843,000 by 2022. Hemp decomposes quickly when returned to the soil, fertilizing other nearby crops. Hydro-electric/mechanical manufacturing process that does not use hydrocarbons for manufacturing or conversion of the product into finished goods and creates no waste by-products for disposal into the environment. 6. You can make your forecast based on the number of units you expect to sell as a function of time. Check out our Calculators and to analyse costs, estimated revenue, yield, initial investments and important metrics for your extraction business. However, the energy cost is really not the key driver in the overall operating costs. Sustainability and Expansion Strategy. Completes processing plan by scheduling and assigning personnel; accomplishing work results; establishing priorities; monitoring progress; revising schedules; resolving problems; reporting results of the processing flow on shift production summaries. Seed spacing is typically 4 or 6 in hemp fields since the plant will be very tall at full maturity. But that's equivalent to about 3,800 acres, hardly a big dent in the decline. CBD can be extracted from either marijuana or hemp, but legal CBD needs to come from hemp unless you are in a legal marijuana state. You may even notice seeds on the same plant maturing at different speeds. For example, ethanol extraction facilities typically have a H2 occupancy versus CO2 facilities that carry a F2 occupancy. One thing to note is that in ethanol extraction, water that is in the hemp will dissolve into the ethanol. I hope that my perspective will help you in your decision making. Costs associated with the start of business operations are estimated at $1,449,968 and have been capitalized, amortized at 9 percent per year. Some hemp advocates say the U.S. Food and Drug Administration has stifled the industry. It is also necessary that you have a shift manager. Its also important that the plants receive constant light exposure throughout this time. We believe that the well connected network of building supply centers across North America is an oiled and efficient distribution network for bio fiber insulation. Meanwhile, a huge part of the modern hemp industry relates to CBD (Cannabidiol), a medically-useful substance that is believed to alleviate swelling, promote relaxation, and is already being added to thousands of consumer products (topical, creams, pet foods, food, and beverages). So as long as the mother plant is of good quality, it persists in its clones. Wait if hemp is federally legal, whats the problem? What does the permitting environment look like? What does the permitting environment look like? Organic ethanol is extremely expensive. If youre germinating hemp seeds indoors, aim to do so in May. Once you have established your forecast, we are here ready to help you create a scaled property plant and equipment plan for your operation. As of today, the big part of the hemp industry relates to CBD (Cannabidiol), a medically-useful substance that is believed to alleviate swelling, promote relaxation, and is already being added to thousands of consumer products (topicals, creams, pet foods, food, and beverages). Misting is typically the better option than watering your hemp seedlings. Keep seedlings in a warm (above 70F) location with 6-8 hours of direct to indirect sunshine and lightly water them each day. Youll also need to know which type of industrial hemp crop you want to grow before planting the seeds or clones. There are many questions that you need to ask when starting a new business or even upgrading your facility to accommodate more production. Thirty (30) days before harvest completion. Yes, moisture content will affect weight yield. As the deadline nears, youll notice seed heads developing from the bottom and working their way upward to maturity. How to turn your crops into cash? Shears, snips, or scissors are the best tool to use. Creates and revises systems and procedures by analysing operating practices, record-keeping systems, forms of control, and budgetary and personnel requirements; implementing change. DACF is the licensing authority for growing hemp in Maine. The most obvious indication is when the plant begins to form its first seeds. I think it's also important that you talk about the nature of the market to your investors so that they are aware that you may need to adjust your products based on trends. Application and Obtaining Tax Payers ID: Application for business license and permit: Leasing, renovating and equipping our facility: Generating part of the startup capital from the founder: Purchase of the Needed software applications, furniture, office equipment, electronic appliances and facility facelift: Creating Official Website for the Company: Creating Awareness for the business (Business PR): Health and Safety and Fire Safety Arrangement: Establishing business relationship with banks, financial lending institutions, vendors and key players in the industry. Learn the secrets of successful farming: Tips, techniques and strategies for a prosperous farm business. Demonstrate the ability to process industrial hemp fibre on a commercial scale suitable to American conditions. Cross-contamination could happen when a solvent dissolves a low level contaminant from the biomass being extracted. 2. The plant is now ready for harvest, approximately 100 to 120 days after planting the seeds (around September or October). Earth Hemp Fiber is owned by the General Partner, Earth Hemp Fiber Ltd., and the initial limited partner, Mansa Moore. The management team for EHF and cursory overview of the key responsibilities for each position are described below. Major direct costs include raw hemp material. Going blonde frequently involves a multi-step double process. To remain compliant, you should also ensure that your hemp has less than 0.3 percent THC. In this article, I will guide you through seven questions that I had to answer when we built a hemp processing facility that we currently use as a demo and research center for extraktLAB. Did you like this article? We at EHF Pilot Processing Plant plan to focus on the development of a business that processes Bio fiber insulation for the building material market and non-woven matting for various final products, such as the horticultural market. What products do my customers want to purchase? The remaining $6.5 million is to be raised in 2023 through an offering of Earth Hemp Fiber LP (EHF) units on the financial market. Whether you're processing hemp for CBD extraction or other industrial uses, the following post-harvest industrial hemp processing steps are required: 1. Our start-up requirements are projected at approximately $2.2 million, and include initial inventory requirements and general start up expenses. We at EHF plan to offer the platform for development of bio fiber suitable for product research requirements, while sustaining itself financially with sales of raw fiber and non-woven matting products, such as bio fiber insulation. Comparatively, as of now, only three California counties have licenses and regulations that allow hemp cultivation. Import and adapt technology to process industrial hemp fibre. If your growing space is covered or tented, its critical to ventilate it properly. 7. Pitch Deck (Investor Presentation) Design, Business Plan and Financial Model Reviews, Internet, Mobile & Software Business Plan Samples, Media & Entertainment Business Plan Samples, California (the biggest cannabis market in the U.S.), outstanding cannabis industry business plan, How to Choose, Buy, and Operate a Successful Franchise, How to Create a Restaurant Business Plan: My Recipe for Success, How to Create a Commercial Real Estate Business Plan, A Step by Step Guide to Becoming a Commercial Real Estate Investor, How to Become a Residential Real Estate Developer, Starting a Green Vehicle Fueling Company, Part 1, Starting a Green Vehicle Fueling Company, Part 2, How to Start an International Trading Business. 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