Industrial Hemp Frequently Asked Questions

Industrial Hemp

Industrial Hemp FAQ's

What is industrial hemp: "Industrial hemp" means any part of a cannabis plant, whether growing or not, with a concentration of less than 0.3% tetrahydrocannabinol (THC) by dry weight.
What is Medical Cannabis: Medical cannabis is a cannabis plant or product that contains a total concentration of 0.3% THC or greater on a dry weight basis. This is the legal "cutoff" that separates it from industrial hemp.
Who regulates hemp in Utah?
- Cultivation: As of 2022, the USDA handles all hemp growing licenses in Utah.
  - All cultivators are required to apply for and secure a USDA license. For inquiries or assistance, please contact [email protected], or call (202) 720-2491.
- Processing, Retail & Products: The Utah Department of Agriculture and Food (UDAF) regulates the processing, labeling, and sale of hemp-derived cannabinoid products.
How to Find and Download Active Licenses/Product Certificates
- - Access the Portal Go to the official Utah Department of Agriculture and Food (UDAF) business portal at agbusiness.utah.gov.
    - Log In Enter your username and password associated with your business account.
    - Navigate to My Records Once you are logged in, look for the link titled "My Records." This is the central hub for all your applications, permits, and registrations.
    - For Licenses
      1. Click on the "My Licenses & Permits" within that section.
      2. Filter for the appropriate license type Status Select the "Active Licenses" view. This will filter out any expired or pending applications, showing only those currently in good standing.
    - For Product Registration Certificates
      1. Click on the "My Product Certificates" within that section.
      2. Select your account
      3. Select the appropriate product certificate type

- - Download and Print.

How long is product registration good for?
- Product registration is valid for one calendar year from the date of approval
- A new registration is required every year for each registered product
What are the THC limits for registered products?
- To be registered in Utah, a cannabinoid product must meet three strict criteria:
- Concentration: Total THC must be Less than 0.3% by dry weight.
- 10% rule: THC and THC analogs must be less than 10% of the Total cannabinoids in a product
- Serving Limit: No more than 5 mg of THC per serving.
- Package Limit: No more than 150 mg of THC per total package.

Are all Cannabinoids allowed in Industrial Hemp Cannabinoid products?
- No, please click on the following link for a description of what cannabinoids are allowed in products
Is the milligram per serving and per package limit for all cannabinoids?
- No, the milligram per serving and package limits apply only to THC and THC analogs.
What is the "Product Class" registration rule?
- You can register a "class" of products if they share the exact same ingredients and concentrations but different sizes.
  - Example: A 10-count bottle and a 30-count bottle of the same 25mg CBD gummy can be one registration.
  - Note: Different flavors or different cannabinoid ratios must be registered as separate products.
Do I need a state lab COA for every registration?
- Yes. For Product Registration, you must submit a sample to the UDAF State Lab for a cannabinoid profile.
- "Full Panel" testing (pesticides, heavy metals, solvents, etc.) can be performed by any independent third-party laboratory.
  - The 3rd party testing must meet testing requirements outlined in R66-31 Cannabinoid Product Testing for it to be accepted
Does a COA "expire" after 12 months?
- Yes, All testing for a cannabinoid product must be conducted on the product in its final form within 12 months of registration.
- This means when you submit your application to the state, your lab results cannot be older than one year.
What if I have the same batch for more than a year?
- To renew your product registration, you must provide a COA that was conducted within 12 months of the registration date. If your previous tests are older than a year, they are legally expired for the purposes of renewal, even if the Batch ID remains the same.
Can I just use the "Results" from last year if the product hasn't changed?
- No, The rule specifically requires the act of testing to occur within the 12-month window of the registration application. The state uses the "Date of Completion" on the COA to verify this.
Is there a risk of the product "failing" during a retest?
- Yes, and this is why the rule exists. Over 12 months:
  - Potency Loss: THC or CBD levels may drop as they break down.
  - Conversion: Some cannabinoids can naturally convert into others (like THCA into Delta-9 THC). If your Delta-9 THC climbs above $0.3 the product becomes unregistrable.
  - Microbials: If the seal isn't perfect or storage conditions weren't ideal, mold or yeast counts could increase.
What types of products are prohibited?
- Inhalables: "Smokable flower" is prohibited for retail sale.
- Vapes: Electronic Cigarettes and substances intended to be used in electronic cigarettes are prohibited
- Targeting Children: Products cannot use cartoons, mascots, or mimic products popular with children.
- Conventional Food: Hemp cannot be added to standard food/beverages (like a CBD-infused soda), though gummies and tinctures are allowed under specific "form factor" rules.

Do I need a permit to sell CBD?

- Yes. Any retailer selling cannabinoid products in Utah must hold an Industrial Hemp Retailer Permit. This permit must be renewed annually.

Do I need a separate hemp retail permit for each store location?

- Yes. Utah requires a separate hemp retail application for every individual location where hemp cannabinoid products are sold. Ensure you enter the specific store address in the "Additional Location" field for each application

What are the Utah State Tax Commission requirements for hemp?

- All retailers selling hemp cannabinoid products must register with the Utah State Tax Commission.
- This is a separate requirement from your UDAF Hemp Retail Permit.
- UDAF does not manage tax registrations. Please visit tax.utah.gov for guidance on how to apply.
The Tax Commission wants me to change my account name to match my tax records. What should I do?
- UDAF provides the Tax Department with a list of active hemp retail licenses. If your license is active and displays the correct address, the Tax Commission should be able to verify it.
- If they still require a name change on your UDAF account, email [email protected].
- Tax officials can also email that address to verify any permit's active status.

What is the age verification for hemp retail?

- 21+ Only: You cannot sell any product containing any amount of THC or THC analogs (including full-spectrum CBD) to anyone under 21.
- Age Verification: You must verify the age of the purchaser.

Can law enforcement "sting" my shop?

- Yes. Law enforcement is explicitly authorized to conduct underage buy investigations to ensure retailers are not selling THC-containing products to minors

Can I obtain a retail license for a temporary event?

- You do not apply for a separate "temporary" license type. Instead, you use the standard Industrial Hemp Retailer Permit application on the AIMS portal:
- Add the Location: In the application, include the dates and physical address of the event in the "Additional Location" or "Event Details" fields.
- Submit Supplemental Info: You will also need to complete the UDAF Temporary permit Supplemental Questions form which asks for specific details about the event duration and booth setup.
- After the event is done, you will be required to fill out this form: Temporary Hemp Retail Sales reporting form
Why is the address in my hemp retail application greyed out?
- The greyed-out address is your overall corporate/account address. This cannot be edited directly inside a specific application. To update this:
  - Follow the Updating Profile and Contacts link to change it in your account settings.
  - Alternatively, email [email protected] to request an account address change.
  - Once submitted, staff will review and approve the request, and you will receive a confirmation email.
Where do I enter the actual store location if the main address is greyed out?
- The individual store address is managed in the “Additional Location” field at the bottom of the application.
- You can search for an existing location by name or manually add a new address.
- The address entered here will reflect on the left-hand side of your final permit.
My permit shows the "wrong" address in the top/middle section. Is this an error?
- Not necessarily. The Account/Corporate address of your company is designed to show in the top, middle, and right sections of the permit.
- The specific Store Address appears in the "Approved Location" field. If there is a factual error in your corporate address, email [email protected] for a correction.
Do I need a separate permit to sell Kratom products?
- Yes. Kratom is regulated under a different set of rules. You must apply for a Kratom License separately via the AIMS portal
- Website: https://ag.utah.gov/specialized-products/kratom/
- Contact: (385) 977-1137 or [email protected]

Can I manufacture hemp products in Utah for out-of-state sale that don't meet Utah retail rules?

- Yes Provided the product contains less than 0.3% Total THC and you hold a valid UDAF Processor License. You must keep clear records showing the product was never offered for sale in Utah and was shipped directly out of state.

What are the current tier categories?

- Tier One: Allows you to receive, store, extract, transport, and wholesale industrial hemp material, and manufacture finished cannabinoid products.
- Tier Two: Allows you to receive bulk cannabinoid products to store, package, and label into finished goods.
- Tier Three: Limited to selling finished products to retailers and performing minimal processing for storage only.
Do I have to test a product before it leaves my facility?
- Yes. It is a legal violation to distribute or market a cannabinoid product that has not been tested as required by state law. "Distribution" includes moving the product from a processing facility to a warehouse, a retail storefront, or an out-of-state buyer. Every batch must have a passing COA (Certificate of Analysis) in hand before it is cleared for transport.

What is the difference between "Industrial Hemp Material" and "Final Product"

- “Industrial Hemp Material: Raw plant material, raw concentrate, or any material not yet in its final packaged form.
- Final Product: A reasonably homogenous product in its final packaged form, made with consistent formulation and standard operating procedures (SOPs).
I have multiple locations. Do I need separate licenses?
- Yes. You must submit a separate application and obtain a separate license for each unique street address where processing activities occur.
Why is the address in my Processor application greyed out?
- The greyed-out address is your overall corporate/account address. This cannot be edited directly inside a specific application. To update this:
  - Follow the Updating Profile and Contacts link to change it in your account settings.
  - Alternatively, email [email protected] to request an account address change.
  - Once submitted, staff will review and approve the request, and you will receive a confirmation email.
Can I transport hemp concentrate above 0.3% THC?
- Yes, but with strict limits. A Tier One processor may transport concentrate with a THC level between 0.3% and 20%
What are the FBI background check requirements? A nationwide FBI Identity History Summary (IdHS) is required for the license holder and all key participants (managers and employees with access to material >0.3% THC).
- Validity: The report must be dated within 90 days of your application or renewal.
- Renewal: You must submit a fresh background check every year with your renewal.
Do I need a Food Establishment Permit?
- Yes. While the permit isn't uploaded inside the hemp application, Rule requires you to maintain a current UDAF Food Permit or GMP certification. Inspectors will verify this during site visits.

Can I make products with cannabinoids?

- No. This registration is specifically designed for businesses that process non-cannabinoid industrial hemp products.
- If you intend to extract, infuse, or package products containing CBD, CBG, or any other cannabinoid, you must instead obtain a Cannabinoid Product Processor License (which has different tiers based on your activity).

What can I actually make with a Producer Registration?

- This registration was created to foster the "industrial" side of hemp—the parts of the plant used for industrial and consumer goods rather than wellness supplements. You can use it to manufacture things like:
  - Fiber-based goods: Textiles, rope, paper, and clothing.
  - Building materials: Hempcrete, insulation, and fiberboard.
  - Industrial products: Bio-plastics, automotive parts, and animal bedding.
  - Sterilized seed products: Hemp hearts or hemp seed oil (which naturally contain virtually no cannabinoids).

Why do I need a permit if there are no cannabinoids in my product?

- Even though your final product (like a t-shirt or a brick) contains no cannabinoids, you are still handling Industrial Hemp as a raw material. Utah law requires oversight to ensure that the raw plant material coming into your facility is compliant (less than 0.3% THC) and that your facility isn't being used as a cover for illegal cannabis processing.

Do these products need to be registered with the state?

- No. Unlike cannabinoid products, non-cannabinoid industrial hemp products do not require individual product registration with UDAF.
- Once you have your Producer Registration, you can manufacture and sell your fiber or seed-based goods without submitting each SKU for state approval.

What is "Transportable Industrial Hemp Concentrate"?

- It is a hemp-derived extract (like crude oil or distillate) that is being moved between facilities for further refining or infusion. In Utah, this material is legally allowed to have a higher THC concentration than finished retail products, but it must stay within the "hemp" category.
What is the maximum THC limit for transportable concentrate?
- The Department will not approve the transport of any concentrate with a THC concentration greater than 20%.
  - If the material exceeds 20% THC, it is legally treated as medical cannabis or a controlled substance and cannot be moved under an industrial hemp permit.

Who can ship or receive this concentrate?

- Shipment: Must be initiated by a licensed Industrial Hemp Processor (or an equivalent out-of-state registrant).
- Receipt: Must be a Utah-licensed Tier 1 Cannabinoid Processing Facility in good standing.
Do I need permission before every shipment? Yes. Concentrate cannot simply be loaded into a truck and driven away.
- 10-Day Notice: The receiving facility must notify UDAF at least 10 days before the transport.
- Pre-Transport Testing: You must provide a COA showing the biomass was certified hemp and a COA of the concentrate itself.
- Approval Certificate: You must wait for UDAF to review the records and issue a Certificate of Transport.
What paperwork must stay with the driver? Every shipment must be accompanied by:
- The printed Certificate of Transport issued by UDAF.
- The Certificate of Analysis (COA) for that specific shipment. Note: This certificate cannot be changed or voided once the vehicle leaves the original facility.
Is there testing required after the shipment arrives?
- Yes. Within 5 days of receipt, the receiving facility must have the concentrate tested by the UDAF Analytical Laboratory for a cannabinoid profile. This ensures the material received matches the paperwork and hasn't been altered during transit.