SANTA FE – Gov. Lujan Grisham announced on Wednesday the introduction of the Hemp Manufacturing Act, legislation to expand the commercial and industrial uses of hemp in New Mexico.

Sponsored by Representative Derrick Lente, House Bill 581 would establish a seamless, uniform regulatory structure for New Mexico’s emerging hemp manufacturing industry. The first of its kind legislation would regulate the production, testing, research, manufacturing and transport of hemp, hemp extract and hemp finished products, creating an important framework to encourage hemp business in New Mexico.

“The hemp industry has the potential to bring millions of dollars into New Mexico’s economy, and this bold legislation will bring New Mexico closer to making that a reality,” Gov. Lujan Grisham said. “Commercial hemp will add to New Mexico’s value-added agriculture sector, creating jobs and driving innovation, while ensuring that businesses and state government partner with New Mexico tribes and pueblos in this newly expanded industry.”

“I am proud to partner with Governor Lujan Grisham to tap into the booming hemp industry that is bringing in new economic opportunities for New Mexicans,” said Representative Derrick Lente (D-65). “House Bill 581 will help farmers and manufacturers access this lucrative industry while maintaining compliance with federal and state laws, and developing new, innovative products like CBD oils, textiles, and clothing. This is a result of bringing all stakeholders together – including farmers, tribal nations, state agencies, and private organizations – to develop comprehensive legislation that will bring millions of dollars to New Mexico.”

The Agricultural Improvement Act of 2018 removed hemp and products containing THC concentrations at or below .3% from the federal Controlled Substance Act, enabling hemp-regulating legislation like HB 581. The Hemp Manufacturing Act would allow the New Mexico businesses that have been preparing to extract, refine and produce retail products containing locally grown hemp to make commercial hemp a reality. HB 581 would also give the New Mexico Department of Agriculture, the New Mexico Environment Department, and the New Mexico Department of Health the authority and direction necessary to regulate hemp while also encouraging collaboration with tribal entities to better outline opportunities.