Industrial hemp processing is covered under Utah Code 4-41 and Utah Administrative Rule R68-25.
In Utah in order to process Industrial Hemp or Industrial Hemp products an individual/business needs to be licensed based on processing activity. The type of processing activity will place a processor into one of four processing tiers each with its own fee
If you have any questions on categorizing your business to tiers, please contact the department at hemp-licensing@utah.gov, 801-982-2375.
License tier will be based on processing activities performed here is a breakdown of activities and fees
A tier 1 processor license allows a business to perform all processing activities from extraction to manufacture of final products
- Tier 1 processing license holders can:
- Receive, store, extract, transport, and sell raw plant material
- Receive, store, extract, transport, and sell raw concentrate
- Manufacture finished industrial hemp product
- Fee: $2500
NOTE: This is the only tier that can receive above 0.3% concentrate as long as it is from another tier 1 or a tier 2 license from within the state
A Tier 2 processor license allows a business to perform extraction of concentrate from raw plant material
- Tier 2 processing license holders can:
- Receive raw plant material
- Extract raw plant material into raw concentrate
- Store, sell, or transport raw concentrate
- Fee: $2,000
A tier 3 processor license allows a business to repackage and label final products
- Tier 3 processing license holders can:
- Receive, store, package, and label finished industrial hemp product
- Fee: $1,000
A tier 4 processor license allows a business to act as a brokers/wholesalers or distributor of industrial hemp material or products
- Tier 4 processing license holders can:
- Receive, store, transport, or sell raw concentrate
- Receive, store, transport, or sell raw plant material
- NOTE: Concentrate has to be below 0.3% THC
- Receive, store, or transport finished industrial hemp products,
- Sell finished industrial hemp products to retailers only
- Perform minimal processing for storage only.
- Fee: $750
NOTE: If final products are being sold to the general public in the state of Utah an Industrial hemp retailer permit is required as well
Please see the following table for a summary of activities allowed for each processing license:
What is needed to apply
- Completed Application for an industrial Hemp Processor License See link for application and detailed information
- The following items are required for the application
- Legal description and GPS coordinates of processing facility
- Production facility map and physical description of facility
- A completed criminal history report from the FBI (Background Check) see this link
- The criminal history report cannot be older than three months.
- Obtain a UDAF Food establishment inspection and Permit.
- Contact UDAF regulatory affairs for details
- Tier 4 processors license is exempt from this requirement
- Pay fee based on tier Call 801-982-2200 (Payment Receipt will be emailed to you)
To return to the Industrial Hemp Program Main Page, click here.