Hemp is one of the oldest cultural crops and renewable resources. It is mainly grown in China, Canada, and the United States. The U.S. mostly manufactures hemp fibre to use as a substitute for textile products. Hemp production in India is mainly performed in Uttarakhand and Uttar Pradesh. These are the two states that issued a license for farming Hemp. Hemp is used in producing nearly 25000 kinds of products as it does not consist of psychoactive components due to less than or equal to 0.3% THC level.
Several companies are operating hemp businesses in India, such as Hemp Republic, HempSters, Bombay Hemp Company, Green Jams, Vedi, etc. They are engaged in producing Hemp-based products in the textile, stationery, medicinal, and petroleum segment.
Paper Hemp business in India
People started using paper before the 3rd century B.C. Earlier wooden boards, birch bark, and Tada Patra were used as soft writing materials. Later on, hemp was introduced in the paper production industry. The process of making Hemp paper involves seven bast fibres. These fibres are amalgamated with chemicals and water in the spherical tank and get heated for eight hours. The excess pectin and chemicals are then removed, and clean fibres are obtained, which require beating through a Hollander beater for 12 hours. The chemicals are added to get pulps, which are then pumped into the paper machines to get the finished paper of desired sizes.
Key business ideas
There are various hemp business opportunities. Individuals can volunteer with Indian hemp organizations. The hemp crop’s life cycle is nearly 16 weeks, within which it mainly requires nitrogen, potassium, and phosphorus, based on the desired quantity. In recent years, the government has been focusing on diminishing the use of plastic bags in packaging. Thus, hemp packaging using hemp paper is a great business opportunity that young entrepreneurs can opt for. The businesses can also enhance producing hemp stationery that is a great substitute for saving the environment. Increasing demand for health benefits develops Hemp business ideas.
The Hemp business plan involves the following steps:
- Taking permission from the state government to farm or import hemp crops
- Developing budgets and identifying the source of capital investments
- Deciding location and procuring resources
- Developing sales channels and distribution system
- Planning marketing and promotional activities
Contribution of hemp to economic growth
Increasing exports: The hemp in countries like Canada naturally exists and is known for its medical purposes like curing asthma and arthritis. Hemp is also used in growing quality crops with which the farmers can grow diversified crops that will help in increasing the amount of cultivation. These crops can be exported to different countries to generate foreign currency earnings.
Increasing domestic production: The hemp crop does not require herbicides, pesticides, and much water and requires very little production space. Various business opportunities attract people to initiate businesses. It also increases the demand for domestic goods which will ultimately boost the GDP level.
Elevating purchasing power: Hemp crops can be easily farmed on barren lands. It is affordable, sustainable, and healthy; investing in this will provide farmers with a great return on investments, ultimately raising their purchasing powers.
China is the leading producer of hemp crops and contributes 70% of the world’s output in hemp. Canada is the primary producer of hemp oil. Apart from these, Germany, France, and Colombia are also leaders in growing industrial hemp. Because of its immense benefits, India is looking forward to shaping its future with hemp. The Indian hemp market is growing rapidly because of increasing awareness about hemp-based products. It will make the world market more sustainable and cost-efficient, proving to be a tremendous economic move.