Farm Type Guide
Growing Hemp in New York
Industrial hemp for fiber, grain, and CBD, grown under a state license. What the license and THC testing involve, what’s changing in federal law, and the help available to veterans who want to try it.
The Industry at a Glance
- Hemp boomed and then went bust. New York's pilot program had nearly 800 authorized growers and about 30,000 acres registered, and Cornell expected about 10,000 acres to be harvested in 2019, triple the year before. USDA counted 900 acres planted in 2021, then 310 in 2022, 120 in 2023, and 150 in 2024 and 2025.
- The crop that gets planted mostly makes it to harvest now. In 2025, New York growers harvested about 130 of the 150 acres they planted, compared with 310 of 900 acres in 2021.
- As of April 2026, the state listed 106 hemp licenses: 85 for CBD growing, 9 for grain and fiber, 11 for research, and 1 for seed retail. License holders are spread across the state, from Long Island and the Hudson Valley to Western New York and the North Country.
- Prices for CBD flower swing hard. New York's outdoor floral hemp sold for an average of $8.21 a pound in 2023 and $37.40 in 2024. In 2023, only 3% of it was sold under contract.
New York went from about 30,000 registered acres to about 150 planted, so hemp here is a small crop with real risk and room for careful growers. If you’re a veteran interested in growing hemp for fiber, grain, or CBD, talk to us about joining the effort to build a steadier hemp industry in New York.
Getting a Grower License
- In New York, hemp growers are licensed by the Department of Agriculture and Markets under a state plan approved by USDA, which took effect on January 1, 2022. A Hemp Grower License has a $500 nonrefundable application fee and runs for 3 years.
- Every key participant (sole proprietor, partner, or executive manager) needs an FBI Identity History Summary dated within 60 days of the application. A drug-related felony conviction in the last 10 years disqualifies you.
- Seed bought in New York has to come from someone with a Hemp Seed Retail License, and seed from out of state has to come from a licensed grower or seller in that state or carry a phytosanitary certificate. You list your seed source and varieties on the application.
- After you plant, file an FSA-578 Report of Acreage with your county Farm Service Agency office within 10 days, and send the state a planting report within 20 days. If you don't plant in a given year, the planting report is due by December 1.
THC Testing and the 0.3% Limit
- At least 30 days before you plan to harvest each lot, submit a Pre-Harvest Report. A certified sampling agent then takes the official sample, and you must harvest within 30 days of sampling, only after the state approves it in writing. You pay for sampling, shipping, and testing.
- The lab measures total THC, which counts delta-9 THC plus THCA, and the result has to come in at 0.3% or less on a dry weight basis once the lab's margin of error is figured in.
- If a lot fails, you can remediate it by removing the flower and saving the rest of the plant, or by shredding the whole plant into biomass and retesting at your expense. Otherwise it has to be destroyed within 15 days, for example by plowing under, mowing, composting, or burning.
- A lot that tests above 1.0% total THC counts as a negligent violation. Three negligent violations in five years can cost you your license, so variety choice and harvest timing really matter.
Processing, Selling, and Changing Federal Law
- Growing is licensed by Agriculture and Markets, but turning hemp into CBD products is regulated by the Office of Cannabis Management. A Cannabinoid Hemp Farm Processor License lets a licensed grower trim, dry, and make flower products from up to 1,000 pounds of dried hemp a year, for a $100 application fee and a $300 license fee. It does not allow extraction.
- Extraction requires a full processor license ($1,000 application fee and $3,500 license fee), and every processor needs a Good Manufacturing Practices audit. Selling CBD products in person or online needs a $300 Cannabinoid Hemp Retail License for each location.
- Federal rules for CBD and other hemp products are changing. A law signed in November 2025 redefines hemp by total THC and limits finished products to 0.4 milligrams of total THC per container. It was set to take effect November 12, 2026, and a funding bill signed September 2, 2026 pushed most of it back to December 11, 2026. Congress is still debating changes, so check the current rules before you plan a CBD crop.
- Hemp grown for fiber, grain, and other non-cannabinoid uses is not the target of the new federal law. Those markets depend on having a buyer and processing within reach, so line up where your crop will go before you plant it.
Organizations
- The NYS Department of Agriculture and Markets Hemp Licensing Program handles grower, research, and seed licenses. It publishes the program guidance on sampling and testing and a list of licensed hemp producers, which is a good way to find growers near you.
- The Office of Cannabis Management Cannabinoid Hemp Program licenses CBD processors, retailers, and distributors, and posts its lists of approved GMP auditors and license holders. Its hemp line is 1-888-626-5151.
- Cornell's Institute for Food Safety offers an online course on New York regulations for cannabinoid hemp processors, along with other food safety training for anyone making CBD foods, drinks, or supplements.
- National Hemp Association is a national nonprofit based in Washington, DC, that works on hemp policy and industry development, with a current focus on hemp fiber and grain. It offers education for farmers, help finding funding opportunities, and a national hemp industry benchmark report.
- Hemp Feed Coalition is a national coalition of hemp, farm, and feed industry groups working to get federal approval for hemp as an animal feed ingredient, which would open a new market for hemp growers. It supports feed trials, tracks state hemp feed laws, and runs a webinar series on hemp in animal feed.
Training and Help
- The Cornell Hemp Team, led by Professor Larry Smart, brings together researchers and Cooperative Extension field crops and vegetable specialists. They test varieties and breed hemp for New York, and they warn new growers that unreliable seed is one of the biggest problems in the crop.
- Your county Cornell Cooperative Extension office can help with soil testing, field crop questions, and local contacts. Find yours on our regional resource pages.
- If you're new to farming in general, Farm Ops and SUNY Reconnect are good places to build skills, and a business plan helps you test whether hemp pencils out before you spend money on it.
Benefits for Veterans
- Ask your FSA office whether crop insurance or NAP covers your hemp crop where you farm. Veterans get extra crop insurance savings, and on NAP they pay no service fee and get 50% off buy-up premiums.
- FSA microloans of up to $50,000 can help with seed, equipment, and drying space. Keep hemp small at first so one bad year doesn't sink you.
- EQIP and CSP give veterans priority and higher cost-share for conservation work on your farm.
- File form CCC-860 (veteran certification) with FSA to get these benefits, and label your hemp products with Homegrown By Heroes.
How to Get Started
- Decide what you'd grow hemp for, fiber, grain, or CBD, and find a buyer or processor before anything else.
- Read the Agriculture and Markets program guidance, get your FBI background check, and apply for a grower license with the $500 fee.
- Get a USDA farm number, file form CCC-860, and plan to file your FSA-578 within 10 days of planting.
- Buy seed from a licensed seller, start with a small plot, and schedule your THC sampling well ahead of harvest.
- If you're planning CBD products, check the current federal and state rules first, since they are changing.
Sources: NYS Department of Agriculture and Markets Hemp Licensing Program; NYS Office of Cannabis Management; Cornell University and Cornell Institute for Food Safety; USDA NASS National Hemp Report; USDA FSA and RMA.
