Texas Firm to Build New Hemp Decortication Center

Hemp firm Panda Biotech plans to build a new hemp decortication center in Lubbock County, Texas that will be the largest facility of its kind in the United States, the Dallas, TX-based company announced in a release Tuesday. 

The “Panda High Plains Hemp Gin” will feature industrial hemp decortication equipment to separate fiber and cellulose from hemp stalks. Biotech Panda said it will only use material that is harvested before the plant develops seeds and flowers to produce high quality fiber. 

“After more than a year of due diligence – which has included an analysis of hemp fiber and cellulose industries in the People’s Republic of China, various European countries, and Canada – we have concluded that the processing of hemp stalk for industrial uses will be the next multi-billion-dollar business in the United States,” Panda Biotech Executive Vice President Scott Evans said in a statement. “Hemp fiber and cellulose will help manufacturers meet the needs of today’s eco-conscious consumers who increasingly require environmentally friendly products and services.”

The Lubbock County site will be the company’s first processing facility. Panda Biotech said it is currently looking to form relationships with “large potential off-takers” of products produced at the new plant. 

Texas lawmakers passed House Bill 1325 on June 10, allowing for the processing and manufacturing of industrial hemp crops and products in the state. This October, the US Department of Agriculture (USDA) published an interim final rule to establish a new program that will provide a new regulatory framework for hemp production in the US.

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