Village Farms International, Inc. recently announced its joint venture with Arkansas Valley Hemp, LLC for outdoor cultivation and extraction of hemp in Colorado.
Village Farms would have a 65 percent stake in this joint venture with Arkansas Valley Hemp having 35 percent share. Based in Colorado, Arkansas Valley Hemp was set up to capitalize the substantial opportunity presented by the hemp industry.
Arkansas Valley Green and Gold is currently targeting production over 120 acres within the Arkansas Valley. The company aims to expand the production to up to 500 acres by 2020. The company will start cultivating in 2019 with extraction of crude biomass scheduled to early 2020.
The Chief Executive Officer of Village Farms, Michael DeGiglio, stated recently that this joint venture would prove to be an exceptional opportunity for expanding outdoor hemp cultivation and extraction programs by the company.
He also said that the company hopes that both Village Fields and Arkansas Valley Hemp would benefit from each other’s extensive knowledge and specific proficiency in outdoor cultivation.
Colorado is one of the first states to legalize recreational cannabis and permitted hemp cultivation in the year 2012. The state is a leader when it comes to cultivation of hemp and extraction of hemp-derived products.
Arkansas Valley is renowned for its fertile land as well as favorable growing conditions. The agricultural production in Arkansas Valley benefits due to its elevation of 4,500 ft. above the sea level and optimal temperature variation.
“Village Farms is positioned uniquely for the substantial prospects in hemp-derived CBD. We are looking to scale the outdoor cultivation quickly to supplement our existing greenhouse operations in Texas”, added DeGiglio.
Village Farms would be investing US $5 million in Arkansas Valley Hemp as part of this joint dealing. This amount would serve as working capital for the company. Village Fields Hemp has started planting on over 800 acres in South Carolina, North Carolina and Virginia. Harvesting can be expected to commence during July 2019.
About About Village Farms International, Inc.
Village Farms is at the forefront when it comes to greenhouse grower in North America. The company is one of the largest and longest operating in the sector. It is also the only greenhouse produce company that trades publicly in Canada.
The company grows and distributes premium quality, fresh produce, all-round the year to national grocers in Canada and the US in Controlled Environment Agriculture greenhouses located in Texas and British Columbia.
The company has partner greenhouses located in Mexico, Ontario and British Columbia. The company is leveraging its decades of experience as vertically integrated grower for swiftly evolving global cannabis prospects.
The Hemp legalization Bill will further pave the way for the company to expand its operations to other regions. Village Farms has already initiated conversion of half of its ultra-high-tech greenhouse for both cultivation of hemp and extraction of CBD. It would however have to register for licenses.
The company expects its facility to be ready in the third quarter of the current year. Hemp is a fast growing crop with potential to produce 600 more fiber than flax and 250 percent more fiber than cotton.