GROWING DEMAND for hemp-based products has prompted the Springdale Group to call for more growers to come forward this spring.

Despite it being an old plant, hemp has a real future and real potential, said the firm‘s chairman, Clifford Spencer.

Because of the plant‘s similarities to the narcotic drug, Cannabis (although it cannot be used for that purpose), the United States‘ Drug Enforcement Agency bans American farmers from growing it, giving UK growers further opportunities, he said.

The company said it is looking for at least 10,000ha of hemp to be grown this year and is offering fixed price contracts of £350/tonne for seed and upwards of £70/t for straw.

“We have excellent markets for the seed and the plant,” added Mr Spencer. Seeds are crushed for food and neutraceutical uses, while the fibre is used for textiles or fibre-glass and the husks for animal feed, he said.

With a typical output of £630/ha and growing costs around £176/ha – the gross margin of £464/ha (excluding subsidy) compares favourably to other crops, he added.