On June 6, 2019, the Louisiana Governor signed into law a bill that recognizes hemp as an agricultural commodity and authorizes (1) cultivation, (2) transportation and (3) processing of hemp as legal agricultural activities in Louisiana under specified conditions..

 —  The New Law  —

The framework within which those who wish to grow hemp must operate is complex, and the penalties for violation, both civil and criminal, are serious.

The law contains 168 sections, 4000 words and intricate requirements.  The very first section contains 15 detailed definitions, even a specific definition of “grower,” a first condition of which being that a person “must be licensed by the department of agriculture to cultivate … hemp.”

A person cultivating sugar cane, cotton, soybeans, or other commodities does not, of course, need a specific license from the department of agriculture to do so.  This requirement of a license to be allowed to grow hemp is the first of many regulations in this new law a person must meet and satisfy.

In addition to having a grower’s license, some of the other conditions a person must comply with to be able to purchase hemp seed and cultivate and sell hemp to a processor, are:

1. submit to a criminal background check

2. submit fingerprints and other identifying information to the agriculture department

3. provide the global positioning (GPS) coordinates and legal description of the land/place at which the hemp will be grown

4. purchase seed only from persons with a department of agriculture license to produce and sell hemp seed

5. sell harvested hemp only to persons with a license to buy and process hemp

6. if harvested hemp is not transported by a grower to the processor with grower’s own trucks, may be transported only by persons with an agriculture department license to transport hemp

7. maintain documentation showing traceability from purchase of seed, cultivating and harvesting the crop, transporting the crop, and sale of the hemp crop to a processor

—  Leases With Landowners  —

The clear goal is to prevent the ultimate manufacture and sale of cannabidiol-containing products, e.g., CBD Oil, processed from hemp containing a THC (delta-9 tetrahydrocannabinol) concentration greater than 0.3 percent.

Growers farming land owned by others will need to review the existing leases.  Leases should contain clear and specific permission by the landowner to cultivate hemp and a legal description, with GPS coordinates, of the land; if not, the lease should be amended to so state.  All Agricultural Leases should be in writing to enable compliance with agriculture department documentation rules.  Landowners may want to take the initiative to be certain the lease with their grower authorizes hemp cultivation.

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In recent communication with agriculture department staff it has been learned the department will complete all regulations by the end of 2019 to enable licensed growers to plant for the Spring 2020 season.

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Disclaimer: This blog does not provide legal advice and does not create an attorney-client relationship. If you need legal advice, please contact an attorney directly.