Minnesota has long been known for its thriving business community, with many different companies and industries making up its strong economic foundation. In recent years, the state has seen a new player emerge in the business world – hemp-derived THC products. This emerging industry has seen a surge in popularity and has created many opportunities for entrepreneurs and businesses across the state. However, a recent study has shown that while about half of the registered businesses are located outside the Twin Cities metro area, some municipalities and counties have decided to put a pause on new businesses by passing moratoriums.
According to the Minnesota Department of Agriculture, there are currently 15 licensed businesses in the state that are registered to produce or sell hemp-derived THC products. Out of these, approximately half are located outside the Twin Cities’ bustling metro area. This shows that the industry has grown beyond the urban hub and is expanding into more rural parts of the state.
This expansion has been welcomed by many as it brings new jobs, economic growth, and opportunities for local businesses. The demand for hemp-derived THC products has been steadily rising, and these businesses are filling the gap in the market. However, some municipalities and counties have decided to take a cautious approach to this new industry by passing moratoriums on new businesses.
One such county is Sherburne County, located in central Minnesota. The county board voted to put a moratorium on new hemp-derived THC businesses in September 2019. The moratorium will be in effect until December 2020 and gives the county time to develop land-use regulations and review agricultural zoning. The county administrator, Steve Taylor, explained that the county wants to make sure they have proper regulations in place before allowing new businesses to operate.
Similarly, in the city of St. Cloud, a moratorium was also passed by the city council in December 2019. This temporary ban on new businesses was put in place to allow for proper zoning regulations and to study the potential impacts of these businesses on the community. The council member, John Libert, stated that the city wants to take a measured approach to ensure that these businesses do not negatively affect the community.
While these moratoriums may slow down the growth of the industry in certain areas, it is important to note that they are only temporary. They serve as a way for local governments to properly regulate and plan for these businesses, rather than shutting them down entirely. In fact, many of the areas that have passed moratoriums have expressed interest in welcoming hemp-derived THC businesses once regulations are in place.
The growth of the hemp-derived THC industry in Minnesota is still in its early stages, but it has already shown its potential for creating new jobs and boosting the local economy. In Kandiyohi County, located in the heart of central Minnesota, a young couple has opened a hemp farm and processing facility. The farm has brought in over a dozen new jobs to the area, and the products they produce are sold all over the state. This success story is just one example of how this industry can benefit communities, especially in rural areas.
Moreover, hemp-derived THC products have the potential to be a sustainable and environmentally friendly alternative to traditional industries. Hemp is a versatile crop that can be used for food, textiles, paper, and more. Its cultivation requires less water and pesticides compared to other crops, making it a more eco-friendly option for farmers. The processing of hemp fibers also produces fewer emissions compared to traditional manufacturing methods.
In conclusion, the emergence of the hemp-derived THC industry in Minnesota is an exciting development for the state’s economy. While some municipalities and counties have chosen to put a temporary pause on new businesses, this is only a small hurdle in the industry’s overall growth. The benefits of this industry, such as job creation and sustainability, far outweigh any concerns. With proper regulations and planning, hemp-derived THC businesses will continue to thrive in Minnesota and contribute to the state’s economic prosperity.
