PanXchange, the industry market structure solution and benchmark price provider for US hemp, and the Washington DC-based National Industrial Hemp Council of America announced that they have signed a memorandum of understanding (MOU) that will support the growth of financial incentives for carbon sequestration for the US industrial hemp market.
"NIHC is a unifying voice for the industry, particularly in regulatory issues for industrial hemp," said Julie Lerner, founder, and CEO of PanXchange. "Partnering with a strong hemp membership and advocacy organization like NIHC will help grow industrial hemp markets and related climate-smart agricultural practices across the supply chain," she added.
The two companies said the partnership would allow hemp farmers to take advantage of PanXchange's deep knowledge of commodity trading and the potential impact of implementing climate-smart practices specifically for hemp growing and processing.
PanXchange is rolling out a transparent carbon program that provides farmers a viable path toward financial rewards for implementing regenerative agricultural practices. Moreover, Lerner explains that the PanXchange program gives farmers full ownership of the carbon credits earned and full agency to market the credits directly to buyers through its online trade platform.
The company already has 31,000 acres of croplands committed to the program for the 2023 crop year.
"We aim to be the most accessible, economical path towards remuneration for carbon smart agricultural practices for smaller-scale farmers who face barriers to participate in the voluntary carbon credit market," Lerner said.
Other aspects of the MOU include:
-PanXchange's carbon program will be the preferred vendor for NIHC's membership of hemp producers under the new agreement.
-NIHC will partner with PanXchange to craft joint educational programming on carbon credits and regenerative agriculture.
-PanXchange will serve as the NIHC preferred vendor for research projects involving climate-smart commodity markets and climate-smart practices specifically related to hemp growing and processing.
"Carbon sequestration and the voluntary carbon market are part of hemp's renaissance and will be an important part of North American agriculture. This partnership will be a value-add for American farmers who choose to grow hemp. Producers and the companies using these raw goods will also benefit alongside American consumers who will ultimately fulfill the promise of hemp's potential to power our climate-smart economy," said Patrick Atagi, President and CEO of the National Industrial Hemp Council of America.
For more information:
National Industrial Hemp Council of America