Michigan laws passed in December 2018 that require firms to be licensed by the Michigan Department of Agriculture and Rural Development (MDARD) to grow, process or market industrial hemp. MDARD launched an Industrial Hemp Ag Pilot Program in April 2019. License fee varies depending on the type: $100 for growers and $1,000 for processors.

On October 16, 2020, the Michigan Industrial Hemp Growers Act, Public Act 220 of 2020 was enacted authorizing the Department to establish an industrial hemp program. Public Act 220 established hemp cultivation requirements that were consistent with USDA’s Interim Final Rules. The Act was again updated on March 24, 2021 to align with USDA’s Final Rule. In 2022, USDA approved an updated hemp production plan for Michigan that allows for performance-based sampling starting in 2022 based on types of crops.

Any product derived from industrial hemp with a THC concentration above 0.3% is classified as marijuana and regulated under the laws that apply to those products through the Michigan Department of Licensing and Regulatory Affairs.

In 2019, MDARD registered and licensed more than 600 growers and 423 processors. Farmers grew approximately 3,678 acres of hemp outdoors and an additional 400,977 square feet of hemp indoors across the state.

As of June 2020, MDARD has registered 553 growers and 447 processors. According to Hemp Industry Daily the state has licensed 13,225 outdoor acres and 11 million square feet of indoor hemp production in 2020.

In 2021 and 2022, the amount of approved acreage declined as a result of oversupply and market correction across the industry and totaled 1,200 and 300 acres planted and 250 and 150 acres of industrial floral hemp harvested correspondingly, according to the National Hemp Report.

On February 11, 2022, Governor Whitmer signed Executive Reorganization Order 2022-1, assigning the regulation of processing, distributing, and selling hemp to the Cannabis Regulatory Agency (CRA).

Michigan Hemp Industry Infographics

Michigan Cannabis Market