Cannabis Becomes the Most Profitable Crop in Monterey County
The Monterey County Department of Agriculture in California has released its 2019 crop report, revealing that cannabis has entered the top 10 agricultural crops for the first time and secured the number one spot in terms of revenue per hectare.
Farmers Earned $450 Million from Cannabis
In 2019, Monterey County’s agricultural turnover grew by 3.5% to reach $4.4 billion. The top five crops by revenue were:
- Head lettuce ($841 million)
- Strawberries ($733 million)
- Leaf lettuce ($514 million)
- Broccoli ($457 million)
- Cannabis ($450 million)
Cannabis was cultivated on 35 hectares, resulting in a gross value of $12.9 million per hectare. The closest competitor by this metric was strawberries, which generated $196,135 per hectare.
2019 Cannabis Production Details
In 2019, nurseries covering 9.8 hectares produced 1.442 million cannabis plants. The price for a single clone ranged from $3 to $5, young plants sold for $10–13 each, and mother plants could be purchased for $35–50. Cannabis grown indoors covered 1.07 hectares, while mixed-light cultivation (likely in greenhouses) spanned 24.13 hectares. The total weight of harvested cannabis flowers was 206 tons, with 101 tons of trim waste. A pound (454 grams) of buds sold for $650–1,700, while the same weight of trim sold for $80–150.
Growth of American Hemp Cultivation Slows
Industrial hemp, containing up to 0.3% THC, was federally legalized in the U.S. in 2018. In 2019, the area planted with industrial hemp varieties increased by 455% to 206,390 hectares. However, in 2020, hemp was planted on 188,497 hectares, marking an 8.7% decrease. Farmers plan to sell 79.4% of the harvest to companies producing cannabinoid products. Of the total planted area, 14.5% is allocated for seed collection, 3.6% for grain, and 2.5% for fiber production.
Leading States in Hemp Cultivation
In 2019, Montana led the nation with 18,174 hectares of hemp planted, followed by Colorado (8,227 hectares) and Kentucky (7,652 hectares). Licenses to grow cannabis were issued to 16,877 farmers, and the total number of states permitting cultivation reached 46. Industrial hemp remains prohibited only in Idaho, Mississippi, New Hampshire, and South Dakota.