THE HEMP COMMERCE & FARMING REPORT

Volume 1, Issue 1, May 6th 1999
(c) 1999 AHEM, ARTHUR HANKS.



IN THIS ISSUE

PART ONE:

Editorial
Top of the Crop
The Myth About Hemp
Bugs and Biologicals
THC Content of Hemp Oil
E-Interview with Jace Callaway and David Pate
PART TWO:

Manitoba Regional Report: Warren Ellis of Prairie Hemp
Northern Ontario Grain Report
Hemp Shorts
DISTRIBUTION & SUBSCRIPTION INFO

MASTHEAD




EDITORIAL:

Smell the coffee and grab a bagel. Dial-up, log on and check for new mail. And it's here. Welcome to the first issue of the Hemp Commerce & Farming Report, a new online-only publication dedicated to the Canadian industrial hemp industry.

Why online only? Distribution. The Internet allows us to quickly and easily reach our admittedly specialized audience in our small but growing industry. Offering subscriptions for free cuts down on a further barrier to entry; the key issue is to get the information out there to all interested parties. Of course, despite the lack of printer, paper and postage bills at our end, there are still costs of doing business. Please take a moment to contact our sponsors and find out what they have to offer you.

As we enter the 1999 growing season, hemp is still one of the few Good News stories in Canadian agriculture. With hemp production remaining in the public eye, it is a great opportunity for other good ideas in the sector to be brought forward. In this light, we have assembled an interesting range of materials for our premiere issue, including articles on organics, "The Myth About Hemp" and IPM, "Bugs and Biologicals". We are taking a look at one of the regulatory issues dogging the industry in "THC content of Hemp Oil". As well, we have reports from Manitoba and Ontario. "Top of the Crop" and "Hemp Shorts" are recurring features that will present news bites that you may have overlooked.

Like the hemp industry itself, the HCFR is a work in progress. We will be developing features and expanding coverage as we grow this journal. Theme issues on building materials, pulp and paper, and textiles are being planned. We are will be developing into a website, and publishing semi-annually in print format. We'll keep you posted through our list serv and through this journal.

Enjoy the issue and feel free to write us with your comments.

Before I sign off, I would like to call attention to our hemp media predecessors. Commercial Hemp magazine, HempWorld magazine, Hemp Magazine and the Mid-South Fibre Network all gave years of service in dedication to this useful plant. Their accomplishments were remarkable and they are all missed. From publisher to publisher, I say thank you.
Arthur Hanks
May 1999
Vancouver



TOP OF THE CROP

WHAT'S IN THE GROUND? - Licenses to farmers have been issued since March this year, and as we go to press, accurate figures are not available. Health Canada has stated that their goal is a two-week turn-around-time in application; farmers will probably continue to receive licenses well into May (its becoming a tradition).

Over the winter of 98-99 a number of companies and individuals have touted optimistic figures and predictions for acreages this year, well in advance of securing seed or licenses for contracted farmers. According to these early projections, close to 30,000 acres (13,600+ ha.) will be planted in Canada this year, with Manitoba accounting for about half of this figure; hemp production in Ontario will continue to grow strongly, and substantial crops will be planted for the first time this year in BC, Alberta and the Maritimes.

Source: AHEM files



SEED LIST - Health Canada has approved 23 varieties of seed for the 1999 commercial growing season. New entry includes Anka (the first Canadian cultivar). Several other varieties available this spring that were replicated in Canada over 1998 including Finland's FIN 314, The Ukraine's Zolotonosha 11 and 15, USO 14 and 31 and Germany's Fasamo. The Romanian Irene and Secuieni varieties are off the list, as they periodically tested over 0.3% depending on local conditions. Ukrainian strains USO 11, 13, 15 and Zolotonosha 13 were listed conditionally last year, and are not on this year's list.

In regards to monitoring, no cultivars will be required to be double-tested this year.

Source: Health Canada, Canterra Seeds, GEN-X, Kenex.



PROCESSING - The City of Dauphin, Manitoba has reached an agreement with Consolidated Growers and Processors (CGP) to construct a processing plant - the first dedicated hemp facility in western Canada. The City and Rural Municipality of Dauphin have agreed to contribute $500,000 worth of roads and infrastructure to the project. The plant will process oil and fibre for a wide range of manufacturing uses. CGP has reported that the proposed plant will have capacity for 100,000 tonnes of stock and 15,000 tonnes of seed each year. Most of the supply will be grown within the immediate region. The project will create 100 processing and technical jobs in the region, and will begin construction this summer. The plant is slated to be completed by 2001.

Source: Winnipeg Free Press, Resource News International



AMERICA, AMERICA, AMERICA - As of the spring of 1999, at least 14 US states are exploring industrial hemp legislation or research. In April, North Dakota became the first state to decriminalize hemp growing, reclassifying industrial hemp from a noxious weed to an oilseed crop. Also in April, Hawaii's bill, involving a proposed 10-acre research crop, narrowly passed the state senate after a bitter debate. It is expected to be signed by the governor in June. Significantly, a separate bill requests controlled human and animal trials involving hemp seed oil.

Other states where there is legislative action and/or interest include Illinois, Iowa, Kansas, Maryland, Minnesota, Montana, New Hampshire, New Mexico, Oregon, Tennessee, Vermont, and Virginia.

California state Democrats have also endorsed industrial hemp at a recent party convention.

Any hemp cultivation in the US has to be performed under permit from the DEA; the argument for state legislation is that it will generate moral and political force for such a license to be issued by the Federal agency. Canadians chafing at Health Canada's restrictions and guidelines may find it instructive to review the DEA's stipulations, which include that the crop be surrounded by a 10-foot high chain-link fence topped by barbed wire, that the crop is lighted at night and that it remains under 24-hour armed guard.

Source: www.hempseed.com, AHEM files



RESEARCH - Looking for a starting point on the Internet for research on new use industrial crops? Check out Agriculture & Agri-food Canada's web site at http://www.agr.ca/newintre.html . The ACEIS Search tool will allow you to search all AAFC information on the Internet including ACEIS, Canadian Food Inspection Agency, National Farm Products Council, and of all of AAFC'S partners' web sites.



THE MYTH ABOUT HEMP

By Jon Cloud, Cloud Mountain Organics

The myth is that organic hemp can be grown on any field and it will produce a crop that will prove to be economically viable and at the same time, return fertility to the soil. This is especially true for farmers growing organic hemp for seed harvest.

Hemp production is frequently started on farms with marginal income that are looking for alternatives to stop their downward financial spiral. Many times the fields that receive the first hemp planting have a low fertility and have a history of producing poor crops. Traditionally, these fields are low in most, if not all, of the major nutrients and many of the micronutrients. Results of planting on such fields are dismal. It was William Blake who said, "The fox blames the trap, not himself." Thus, no production should occur until the fertility of the soil has been verified. Your basic soil test should analyze the following items: pH, Organic Matter levels, Phosphorus, Potassium, Sulfur, Calcium, Zinc, Manganese, Boron, Iron and Copper. These tests are very inexpensive and local Agricultural Extension Agents of Agriculture Ministry personnel will provide you with a list of acceptable testing labs. You only need take the full battery of tests once every eight years. A reduced lists of tests for pH, Organic Matter Levels, Phosphorus and Potassium should be administered every other year. Do not grow hemp on land that does not meet the following requirements:


Not only are the levels of nutrients important but the ratios of nutrients are equally as important. For instance, if your phosphorus levels are low and your calcium levels are high, the result is that you are getting less phosphorus than you think you are as the calcium is bonding to the phosphorus, making it less available. Thus the phosphorus, critical for seed development and seed yield, is so low that it will prevent respectable yield from occurring.

All Cloud Mountain farmers, for example, participate in a Quality Production Program. This program analysis the protein percentage, oil percentage, moisture levels, bushel weight, size of the seed and dockage levels being grown at each farm. This program assures customers and consumers that they are receiving the quality they believe they are purchasing.

All of the nutrients listed above also impact on the quality of the product being generated in your fields. Don't make the mistake of expecting your land to produce yields that are not possible. Check out your soil first.

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CLOUD MOUNTAIN INC. IS LOOKING FOR FARMERS
Canada's leading expert in organic growing techniques needs farmers to grow hemp as well as beans, flax, wheat, corn, sunflowers, and lentils. Call 416 762 0940, fax 416 762 8561 or e-mail to: cloudmtn@interlog.com Include your mailing address and phone number in your communication.
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Hemp and the Environment

BUGS AND BIOLOGICALS
by Jessica Dawe, Nature's Alternative

Wireworm, Spidermites, Lygus and Thrips, these are just a few of the pests encountered by growers in the first season of hemp production. All these pests are a threat to your crop. As yet there are no pesticides registered for hemp and demand for chemical free product is high. So what choice for control does a farmer have?

Natural predators currently used in greenhouses are now making their way outdoors. No longer is it just ladybugs for aphids but there are controls for a multitude of pests occurring in the field. The only concern a farmer must have, as with any pest control program, is monitoring. Through careful monitoring and timely predator application, growers are able to produce high quality product without sacrificing yield. So what pest indicators do you look for and what control do you use?

Wireworm is the juvenile form of the "Click beetle"(Agriotes mancus). They will be visible in the top 6" of soil in late spring and are most abundant in fields formerly pasture or grassland. Damage will appear as irregular patches of stunted plants and roots will appear chewed. The worms are long (0.5-2cm) and segmented with a hard shiny yellow-brown shell. A check for these pests can easily be done in early May, long before your crop is in.

At random spots in your field (1-2 holes/acre) dig a hole 20cm wide and 15cm deep. Place a handful of untreated corn seed and cover with soil, then with black plastic. The germinating seed will give off gases, which will attract nearby worms. In 3-4 weeks go back to the test sites and inspect soil for inhabiting worms. If more than 10 worms are present within the 10 test sites then control will be necessary. Control can be achieved through yearly application of the beneficial nematodes Heterohabidis and Steinernema spp. These nematodes are native to BC and have no detrimental effects on crops but will parasitise over 250 soil-dwelling pests. The nematodes enter the prey through available orifices and once inside, releases toxic bacteria which will slowly kill the pest.

Spidermites (Tetranychus urticae) are nearly invisible to the naked eye. The damage is first seen as small white spots on the top of leaves, usually in the tender upper canopy. As the damage progresses, webs will appear and the leaves will be covered in white lesions. The mites can be seen on the underside of leaves and appear as small black moving flecks. Control with Phytoseiulis persimilis, a prey specific mite which feed's solely on the spidermite should be implemented as soon as damage is visible.

Lygus Spp. otherwise known as the Tarnished Plant Bug was apparent in all hemp crops on the Island in 1998 and throughout crops across Canada. As an adult it is tan coloured to black with a distinctive triangular light coloured spot between the wings. Seen mostly in the apical meristem the insect feeds on the soft new tissue. Often confused with Thrips or herbicide damage, the stem appears stunted and malformed. Brown lesions where the insect has fed will be visible along the upper stem. Management may be assisted with the early introduction of Podisus spp. the Spined Soldier Bug. Podisus are native to BC and are a voracious general predator.

Thrips (Frankliniella occidentalis) A small, elongated insect, ranging in colour from yellow to black, are currently a very serious pest in vegetable crops. Due to their feeding habits, they have the potential to be "The Pest" of Hemp. These insects infest the flower heads and feed on the developing calyx. Eventually the flower will deform, in turn affecting the yield and viability. However, there are a number of predators available for control. Amblysieus cucumeris, and A. degenerens are both predatory mites that are extremely effective when applied early. As well, what saved the crops this year was the high population of the native predator, Orius tristicolor.

Only by increasing our knowledge through ongoing education will we be able to produce this crop more efficiently in the future. Although the past belief of pest resistance in hemp is now a myth, I must give a sigh of relief, as it is better to know thine enemy then to expect no enemy at all.

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Nature's Alternative Insectary Ltd.
Providing BC grown Beneficial insects for controlling pests in the large crop or home garden.
Predators available for controlling;
Aphids, Thrips,, Spidermite, Fungus gnats, Whitefly, Scale Loopers, Mealybug, And many, many more. For more information or to place an order please contact NAI Ltd.,
1636 E. Island Hwy.
V9P 9A5
or 1-800-668-3367,
email: nai@bcsupernet.com **************************************************************



THC CONTENT OF HEMP OIL: A Look at the Issue Or the hemp baby doesn't exist

by Arthur Hanks

Canada is a world leader in oilseeds production and processing, and many companies investing in Canada's new hemp industry are targetting hemp oil and hemp grain as among the first products in the launch of their ventures. Because of their rich source of essential fatty acids and winning nutty taste, Hemp foods are earning a reputation as a good, highly nutritious food. Indeed hemp as a source of food may be the first product that will move hemp closer into the agricultural mainstream. However, there are legal restrictions on using hemp as a food source, centering around the issue of THC content.

* Health Canada's take *
Under the Industrial Hemp Regulations published by Health Canada, allowable THC content for oil and other derivatives is currently set at 10 milligrams per litre or 10 parts per million (for the decimal minded, this is 0.00001 %). Despite the smallness of this figure, it may not be inconsequential.

According to Niels Hansen-Trip, the head of Health Canada's Hemp Project, the limit of 10 ppm was set as the estimated safe amount of THC a 20kg. child could consume if the child constantly used hemp oil and hemp food products. This figure was arrived at as a result of calculations based on figures supplied by industry stakeholders during the drive to have regulations ready by spring of 1998, the year of Canada' s first modern hemp harvest.

There is no THC in hemp seed or hemp grain; there is only THC in the flowers, buds and leaves of cannabis. However, as seed is produced in those areas of the plant, resin will remain during harvesting and processing. Any levels of THC in seed and seed derivatives are residual and attributable to the plant variety and to the cleaning process.

The technical challenge of seed cleaning aside, any clear demarcation of the legal limits of THC in hemp seed and hemp seed derivatives should be motivated by issues of health and not by politics.

* Switzerland is the only nation to have developed thorough guidelines on the issue *

Good information about the effects of THC in a human diet is hard to come by.

It is instructive to look at the Swiss model. For sake of comparison, the Swiss have developed specific limits for a variety of foods, recognizing that a hard limit for all products is impractical, as consumption habits vary. The THC limit of hemp oil products is set at 50 mg/kg (50 ppm), while hemp seeds are set at 20 mg/kg, breads and pastries 5mg/kg, and spirits 5 mg/kg).

Under this model no instances of side-effects due to the consumption of hemp-based and hemp content foods have been reported.

The European Union has not developed standards yet.

* What are the effects of this level of THC to a human? *

A recent study (July 1998) published by Germany's nova Institute tackled this question.

THC-Limits for Food: a scientific study by F. Grontenhermen, M. Karus and D. Lohmeyer (published in Journal of the International Hemp Association, 5(2): 101-105, and available online at www.naihc.org) analyzed the available evidence for the development of possible standards for Germany.

According to the study, most THC studies to date either involve subjecting high doses of isolated THC to animals (100+ mg/kg) or cell experimental studies. These studies are most often designed to determine negative, "toxic" effects of THC. However, the nova study recognizes that THC functions differently in the body than other chemicals in food, as it acts only on cannabinoid receptors in body cells. Uniquely, high doses are less effective than one might think as effects decrease with exposure.

Secondly, in regards to children, who are usually more sensitive to harmful chemicals, they have fewer cannabinoid receptors - THC has less effect on them than adults. An Israeli study found that cannabis receptors do not develop until puberty ( A. Abrahamov, A. Abrahamov, R. Mechoulam (1995). An efficient new cannabinoid antiemetic in pediatric oncology. Journal of the International Hemp Association 2(2):76-79.)

In other words, the "hemp baby" may not exist, and THC limits on food should be developed with adults as a model.

In this light, the nova study suggests that a single dose of 5 mg THC and a daily dose of 10 mg THC do not cause perceptible or detrimental effects on health. To determine a pharmacologically innocuous daily intake, the nova study used a conservative safety factor of 10 in reaching a daily consumption dose of 1mg for a 70 kg person. Recognizing different levels of consumption of food products, as well as extreme consumption habits, the study further recommended hemp oil limits in Germany be set at 20mg THC/Kg, breads, pastries and pastas at 1.5 mg THC/kg, alcoholic drinks 0.7 mg THC/kg and non-alcoholic drinks at 0.3 mg/kg. To reach these admittedly conservative levels, a hemp food lover would have to consume more food than would be practical.

* Oil spills *

The Swiss model and the nova Institute study are worth considering as Canada develops its own hemp food regulations. Of course, any THC should be adapted to local consumption. According to Statistics Canada (1996 figures), Canadians consume twice as much oil products (72.6 grams/daily) and half as much alcohol (255 ml/day) as their German counterparts (33g and 466 ml respectively). One issue in adapting the methodology of the nova study to the Canadian experience would be to recognize Canadian's continuing propensity for deep-fried oils - something hemp oil would never be used for. Also, keep in mind the nova Institute's very conservative safety factor; the standards appear higher than whatever was used for the 20 kg. child model.

As well, much of the debate on THC content in hemp foods has been negatively focussed on drug politics and not on food safety or nutrition. This is ignorant of the considerable health information compiled on hemp oils' therapeutic benefits. As well, the therapeutic benefits of THC itself are poised to be explored on a serious basis by the health community. Stay tuned.

For the development of the Canadian hemp foods industry, it is important that the regulations are founded on good methodology and the rules we develop are safe and sensible. Let's have no consumer surprises and let's allow for commerce to flourish as free markets are created for Canada's newest resource.

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CHECK OUT THE HCFR ON HEMPWORLD'S WIDE WEB. Goto:www.hempworld.com

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E-INTERVIEW WITH JACE CALLAWAY AND DAVE PATE

The HCFR recently approached Dr. Jace Callaway and David Pate of the University of Kuopio's Department of Pharmaceutical Chemistry with some topical questions regarding hemp oil content in food. Jace Callaway, "The Father of Finnish Hemp", and the original breeder of FIN-314, is a recognized expert in the broad area of hemp foods; David Pate holds a Master's degree in plant biology, and is working towards a doctorate in pharmaceutical chemistry. The interview was conducted by email in May, 1999.

Q1. The industrial hemp regulations in Canada currently set the THC limit in hemp oils at 10 PPM. What are your concerns with that limit?

A1. Normally, seeds from EU fibre varieties come out of the field with a 20-30 PPM THC value. Overall, we are concerned that the 10 PPM level is too low for this emerging industry, and unnecessary as well.

Q2. What are the effects of low level amounts of THC in the system? What about build-up?

A2. None have been reported in the scientific literature. Build up, or bio-accumulation, is only significant in the interpretation of urine tests for THC.

Q3. Are these effects different for a diet including oils versus a diet of flour-based or beer-based products? Or are they all the same?

A3. The source of THC is not relevant, but the levels may differ in various products. It is important to note the way in which these foods are used or processed, as heated (above 60 C) hemp foods have a portion of their THC in its 'free' form (vs. its natural carboxylate form). This is important because the THC-carboxylate is not absorbed by the digestive system. Steam-sterilized seed, for example, probably has a higher percentage of its THC in the free form, compared to fresh viable seed. This is just one example of the way in which uninformed regulation is counterproductive.

Q4. Ever hear of a THC allergy?

A4. No, but the possibility exits. One can find examples of allergies to almost anything, including many foods.

Q5. What do you think of the Swiss model of regulation with their different levels of limits for different foods? Is it a good model?

A5. Yes, this is a good model, in our opinion.

Q6. What's going on in the EU with this issue? Do they have standards, or are developing to standards?

A6. Neither the US nor the EU have standards in this regard, and no health problems have resulted.

Q7. In the recent IHA journal, Karus et al made recommendations of 20 PPM as a safe and conservative dose. Could you provide a comment on this study?

A7. This was a good study. However, their recommended limits were the result of an extremely conservative approach involving safety margins upon safety margins. Considering the lack of acute or chronic toxicity for THC and other cannabinoids at reasonable doses in humans, such an approach seems unnecessary.

Q8. In their calculations of safe limits, the Karus group relies upon average food figures for the German population. Could you speculate on how different diets (say in Canada, we may eat more pastries like hemp donuts) may affect similar calculations?

A8. The limits proposed in this study were so conservative that such variation in diet is not of practical importance.

Q9. Adequate seed cleaning has been touted as a solution that can effectively deal with the THC problem. What's your experience with this and can you recommend a technology or processing practice?

A9. Extensive cleaning may lower THC levels, but some residual resin will remain adherent to the seed. This problem can be minimized by using very low THC varieties that are especially suited for food production, such as FIN-314.

Q10. Hemp as an animal feed in Canada is also something on the regulatory table. Can you point me towards any studies that deal with THC content in Feed (from chickens to beef)?

A10. Again, concerning putative THC toxicity, this is a non-issue. The animals do not suffer toxicity from their feed. Moreover, there is no evidence to suggest that animal-transmitted cannabinoids reach the human consumer. The risk of transmitting prions, growth hormones, antibiotics and pesticides from animal products is a far greater health risk.

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ARE YOU A small company looking for an affordable source of high quality hemp seed oil?

If so please contact Jason Freeman at 604 255 7979
or jfreeman@ssm.net, subject line HEMP OIL

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