Marketplace Exchanges Offer Hemp Farmers Harvest-Saving Opportunities
New Frontier Data
Passage of the 2018 Farm Bill and the rise of CBD as a nutritional supplement has led to a boom in hemp cultivation over the past year. According to the U.S. Hemp Market 2019 State Rankings Report, the acreage for licensed hemp cultivation has risen by 328%, from 112,163 acres in 2018 to 480,334 acres in 2019. Though the explosive growth in the hemp industry has been received positively, cultivators have run into a significant issue: Where do they sell the hemp they’ve grown?
Though cultivators can negotiate supply agreements with companies on a one-on-one basis, many have been left in a lurch looking for someplace to offload their excess biomass. Aiming to meet the needs of those cultivators, a multitude of online marketplace exchanges has emerged.
One example is PanXchange. Founded in 2011 by former Cargill commodities trader Julie Lerner, PanXchange was initially conceived to help facilitate trade in the international sugar market.