Texas Company Planning Nation’s Largest Hemp Processing Facility

[dropcap class=”kp-dropcap”]D[/dropcap]allas-based Panda Biotech is planning to build the largest industrial hemp processing facility in Shallowater, Texas. Panda Biotech is a subsidiary of Panda Energy that was founded after the federal legalization of hemp nationwide.

The “Panda High Plains Hemp Gin” will be used to separate hemp fiber and cellulose from the stalk. The gins are based on the smaller versions that have been used to process hemp throughout Asia and Europe for decades. The company has secured the rights to purchase a 255,000 square-foot facility and expects to process 130,000 tons of hemp annually.

“We will be processing the hemp before it matures to the point where it produces the seeds and flowers that are used in CBD type products, he said. The hemp that we will be producing at this processing facility will be used only for industrial applications for manufacturing applications,”said Panda Biotech spokesperson, Bill Pentack.

The growth in Texas hemp was made possible when the Texas House and Senate passed House Bill 1325, which authorized the production and manufacture of industrial hemp products in the state of Texas.

“The City of Shallowater is excited to promote the cutting-edge industrial hemp processing facility Panda Biotech is bringing to our community,” said Shallowater Mayor Royking Potter. “The Panda High Plains Hemp Gin will not only generate new revenue with minimal effects on infrastructure, but it will also create new jobs in our community.”

The U.S. hemp market is expected to grow from $4.6 billion in 2019 to $32 billion by 2022 because of the legalization of hemp due to the 2018 Farm Bill. The U.S. Department of Agriculture recently released federal draft rules for hemp manufacturing.

“At USDA, we are always excited when there are new economic opportunities for our farmers, and we hope the ability to grow hemp will pave the way for new products and markets,” said U.S. Secretary of Agriculture Sonny Perdue said.