NASHVILLE, Tenn. (RFD News) — Hemp acreage collapsed across the Ninth Federal Reserve District before a federal definition change threatened the crop’s consumer market. The Federal Reserve Bank of Minneapolis reports district plantings fell about 85 percent from their 2019 peak by 2025.
National hemp acreage rebounded 34 percent in 2025, while production value increased 64 percent. However, growers still harvested more than 43,000 acres, above an industry estimate that 30,000 acres could satisfy total U.S. demand.
Cannabinoid hemp requires intensive management because growers must remove male plants, prevent pollination, and protect late flowers from mold and disease. Those costs became harder to recover as oversupply pressured prices, with CBD values falling 15 percent year over year in April.
The market faces additional uncertainty from a federal hemp definition scheduled to take effect November 12. The change could restrict intoxicating products made from hemp-derived THC, including gummies, beverages, and other retail goods.
Farm Bill proposals could revise the policy again, but regional producers have already reduced exposure. Future acreage will depend on clearer rules, stronger prices, and reliable contracts for fiber, grain, or cannabinoid production.
