The 2018 Farm Bill, officially known as the Agricultural Improvement Act of 2018, was a comprehensive piece of legislation passed by the U.S. Congress that brought significant changes to the agricultural landscape, with a major focus on the legalization and regulation of hemp. Here's a summary of its key provisions:

​

1. Legalization of Hemp

One of the most pivotal aspects of the 2018 Farm Bill was the full legalization of hemp cultivation and production across the United States. Hemp, defined as cannabis containing no more than 0.3% THC (the psychoactive compound), was removed from the list of controlled substances. This opened the door for hemp farming to be regulated under the same framework as other agricultural products.

​

2. Regulation of Hemp and Hemp Products

The Farm Bill provided a clear regulatory framework for hemp production, allowing states to create their own hemp programs, subject to approval by the U.S. Department of Agriculture (USDA). This included the establishment of rules for the cultivation, harvesting, processing, and distribution of hemp and hemp-derived products, including CBD.

​

3. CBD and Hemp-Derived Products

With hemp being legalized, the production and sale of hemp-derived products, especially CBD (cannabidiol), became legal at the federal level, provided the products contain less than 0.3% THC. This was a game changer for the burgeoning CBD industry, allowing businesses to legally sell CBD products across state lines and opening up new opportunities for research and development.

​

4. State and Tribal Hemp Programs

The 2018 Farm Bill empowered states and Native American tribes to establish their own hemp cultivation programs. States must submit their programs for USDA approval, and these programs can vary in their specific regulations and guidelines. States also have the ability to regulate hemp cultivation, transport, and processing within their borders.

​

5. Research and Development of Hemp

The Farm Bill expanded opportunities for research into hemp and its uses, including in agriculture, manufacturing, and medicine. It allowed universities and federal agencies to conduct research on hemp as a crop and its potential benefits, supporting the growth of the hemp industry and informing future regulations.

​

6. Impact on the Hemp and Cannabis Industries

The 2018 Farm Bill significantly impacted both the hemp and broader cannabis industries. The bill helped legitimize hemp farming and hemp-derived products, leading to increased investment and growth in the hemp market. It also paved the way for future discussions around the broader legalization of cannabis at the federal level, as lawmakers now have a framework for hemp regulation to reference when considering cannabis policy reforms.

​

7. Industrial Hemp Products

The bill opened the door for the production of industrial hemp products, including textiles, paper, construction materials, biofuels, and cosmetics. With hemp recognized as a versatile and sustainable resource, industries beyond agriculture can benefit from hemp's applications in various sectors.

​

8. Financial Assistance for Hemp Farmers

The 2018 Farm Bill also included provisions for financial assistance and support for hemp farmers, allowing them to access crop insurance and agricultural subsidies that were previously unavailable to hemp producers. This support was designed to encourage hemp cultivation, provide a safety net for farmers, and help the hemp industry grow sustainably.

​

9. Cannabis and Controlled Substances

While the Farm Bill legalized hemp, it did not legalize cannabis that contains more than 0.3% THC. Cannabis remains classified as a Schedule I controlled substance under federal law, so marijuana and its products are still illegal at the federal level, despite state-level legalization in many areas.

​

10. Implications for the Future

The 2018 Farm Bill laid the groundwork for a rapidly growing hemp industry. With hemp’s legal status now firmly established, businesses, consumers, and researchers have new opportunities to explore the potential of this versatile crop. As regulations evolve, the continued expansion of hemp-related industries will likely lead to new markets and innovations, especially in health, wellness, and sustainable manufacturing.