Per the state of Georgia the U.S. Department of agriculture has approved the states hemp plan. Licensing of operators will begin March 23rd, and a Georgia hemp processor bond will be required from all candidates for the intermediary license. Pursuant to Ga. 40-32-3-.01, "Any person processing or intending to process hemp must have a valid Hemp Processor Permit prior to receiving, processing, handling, or storing hemp. A valid permit means the permit has been issued and is unexpired, unsuspended, and unrevoked." Georgia Department of Agriculture states, “Hemp is defined as the Cannabis sativa L. plant and any part of the plant, including the seeds and all derivatives, extracts, cannabinoids, isomers, acids, salts, and salts of 56 isomers, whether growing or not with the a THC concentration no more than 0.3 percent." The production and sale of hemp and hemp products is legal under the Georgia Hemp Farming Act however only growers and processors licensed by the Georgia Department of Agriculture (GDA) are permitted operate within this space. The GDA has several excellent resources, including license checklists to help candidates through the application process. Interested parties may sign up for the department's automatic updates on the hemp program.
A Georgia hemp processor surety bond is also one of the GDA's permit requirements. Per (b) of the statute (and 2021 changes to the law), each applicant must submit to the Department a surety bond in an amount equal to no less than two percent (2%) of the hemp purchased from hemp growers during the previous year. The Georgia hemp bond must be no less than three hundred thousand dollars ($100,000.00) but no greater than one million dollars ($1,000,000) and issued by a surety company authorized by law to do business in Georgia pursuant to a current certificate of authority to transact surety business issued by the Commissioner of Insurance. The Georgia hemp processor bond form is not provided by the state however we have manuscripted the obligation and our format has been approved. Application materials, the hemp processor bond and license fee must be submitted to the GDA:
Georgia Department of Agriculture
Hemp Program, Room 210
19 Martin Luther King, Jr. Dr. SW
Atlanta, GA 30334
Applying for a Georgia hemp processor bond should be accomplished through a surety bond underwriter with knowledge and experience with the agricultural industry and more specifically cannabis and/or hemp operators. Georgia surety bond leader, Surety One, Inc. offers both the surety and fidelity bonds needed by farm trade professionals and hemp operators in every state where required. Questions about an industrial hemp bond? Call us at (800) 373-2804, email us at Underwriting@SuretyOne.com or click here for live chat. Industrial hemp and CBD product legalization is creating new economic opportunities for farmers and agricultural product intermediaries. We are available to help you understand the Georgia hemp processor bond process.
Surety bond application review and quoting are free of charge. There is no obligation to purchase.