Key Takeaways:

• Hemp Industry Regulations:
  • The hemp industry in Idaho is regulated by the Idaho State Hemp Plan.
• Licenses available:
  • Producer (Grower)
  • Handler
• Products legal:
  • Hemp products and hemp-derived CBD products that contain 0% THC.
• Industry stats:
  • Idaho’s approved acreage for hemp cultivation increased consistently every year by more than 100% from 2022 to 2024.
  • In 2023, Idaho accounted for around 10% of total acreage of hemp fiber harvested in the United States.

Idaho Hemp Legalization

Idaho legalized hemp in April 2021 through House Bill 126, authorizing the production, processing, transportation and research of industrial hemp.

Idaho’s State Hemp Plan was approved by the USDA in November 2021.

The sale to consumers of hemp products, including CBD oil, that contain any amount of THC is prohibited. This also applies to sale of hemp products manufactured in Idaho to consumers in other states. Therefore, licensed hemp handlers in Idaho must ensure that manufactured hemp products contain 0% THC.

The only products allowed to be used for food manufacturing are hulled hemp seed, hemp seed protein powder and hemp seed oil. Hemp and hemp-derived animal feeds and remedies are illegal in Idaho.

Hemp Licenses Available in Idaho

Any person or business entity wishing to plant, propagate, produce, handle or process hemp in Idaho must apply to the Idaho State Department of Agriculture (Department) for a license. No license is required for selling hemp or CBD products. Each year, the application period for the next calendar year is between September 1 and December 31.

Applicants who wish to produce and handle hemp need to have both license types. In this case, the annual application fee is charged only for the first license type.

Licensing process:

1. Submit a complete application form along with a nonrefundable application fee, a map with lot or facility information and a background check conducted by the Idaho State Police or the FBI, completed no more than 60 days before the application submission date.
2. The applicant will be notified when the application has been approved or denied.
3. If the application is approved, the applicant must pay the relevant license fee.
4. Once the license fee is paid, the applicant will obtain the license.

Licenses are valid from January 1 until December 31 of each year and therefore must be renewed annually. When renewing the license, both the application fee and the license fee have to be paid.

Licensed hemp producers are required to maintain the following records for three years:

• All documents related to the information in the license application.
• Source of hemp seed.
• Total acreage of industrial hemp planted, harvested and disposed.
• Record of all handlers to whom hemp was sold and quantities sold to each entity.
• Variety and strain for each lot.
• All records, documents and forms relating to the disposal or remediation of hemp.
• Copies of all records submitted to the Department, USDA or law enforcement relating to hemp.

Idaho Hemp Market

In 2024, there were 17 licensed producers, 4 licensed handlers and 2 licensees authorized to both produce and handle hemp. As of July 2025, there were 12 licensed producers, 2 licensed handlers and 1 licensee authorized to both produce and handle hemp.

While from 2022 to 2024 the number of hemp licensees in Idaho stayed consistently at 23, the acreage approved for growing hemp increased dramatically over the years. In 2022, only 458 acres were approved for hemp cultivation. For the 2023 growing season, this increased by 172% to 1,248 acres. In 2024, it rose to 1,860 acres. As of July 2025, 12 hemp producers have been licensed to grow hemp on around 1,782 acres.

According to data from the USDA National Hemp Report, Idaho farmers planted 680 acres of hemp in 2022, of which 445 acres were harvested. In 2023, 1,270 acres of hemp were planted in the state (an almost 87% increased from 2022) and 1,260 acres were harvested – nearly 100% of the crop planted was successfully harvested which is an improvement from 2022. In 2023, Idaho accounted for around 10% of total acreage of hemp fiber harvested in the United States.

In 2024, Idaho planted 2,300 acres of hemp and harvested 2,100 acres, of which 2,080 acres were for fiber – 11% of total hemp harvested for fiber in the US in 2024. Hemp is mainly grown for fiber use in Idaho. In both 2023 and 2024, nearly 100% of harvested hemp was fiber.

According to hemp growers in Idaho, the state has a perfect climate and soil structure for hemp cultivation, and believe that industrial hemp fiber has great potential in Idaho.

Source: hempcbdbusinessplans.com.

Idaho Hemp Industry Infographics

How Can HempCBDbusinessplans Templates Help Start or Grow Your Hemp CBD Business?

A business plan is essential for securing funding. It will also help you understand how much money it will take to start a hemp CBD business and how much profit it could make. A well-structured business plan can make all the difference in demonstrating your proposed hemp CBD business’ compliance with regulations and its operational viability.

Our complete hemp CBD business plan template package is everything you need to create a professional business plan for a hemp CBD business with expert financials and projections. A complete hemp CBD business plan template package includes:

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Hemp Fiber and Grain Cultivation Business Plan Template Sample, Idaho

For more information on the hemp industry and hemp/CBD business plan templates, visit hempcbdbusinessplans.com.