Hemp now Legal Agricultural Commodity in the U.S.

FDA Approves G.R.A.S. Status

TSX-V: HEMP

VANCOUVER, Jan. 7, 2019 /CNW/ - Hempco Food and Fiber Inc. (the 'Company" or "Hempco") (TSX-V: HEMP) recognizes the historic industry opportunity brought about by the signing of the 2018 U.S. Farm Bill.

Hempco Food and Fiber Inc. (CNW Group/Hempco Food and Fiber Inc.)

The newly minted Agriculture Improvement Act of 2018, commonly referred to as the 2018 U.S. Farm Bill, enacted December 20, 2018, and effective January 1, 2019, removes the long-held stigma and ambiguity surrounding the U.S. hemp industry.

Changes to the U.S. Farm Bill included removing hemp from the Controlled Substances Act, which means it is no longer an illegal substance under federal law. Despite belonging to the same species as cannabis, hemp has no psychoactive effects. Under the 2018 U.S. Farm Bill, a hemp plant must contain less than 0.3% THC.

Further, the FDA announced on December 20, 2018, that it completed its evaluation of three Generally Recognized as Safe (GRAS) notices related to hulled hemp seeds [GRN765], hemp seed protein [GRN771] and hemp seed oil [GRN778], and that it had no questions regarding the conclusion that the use of such products as described in the notices is safe.

"These announcements constitute a historic inflection point for the hemp industry as a whole, and for Hempco as we execute upon our recently announced 5-prong strategy for growth. 2018 was a transformative year for us, and we are now positioned to take full advantage of the opportunities that lay ahead," said Diane Jang, CEO of Hempco Food and Fiber Inc.

The FDA's announcement that hulled hemp seeds, hemp seed protein and hemp seed oil can be legally marketed in human foods without prior food additive approval, opens the door to a greater North American hemp-friendly market. Hempco anticipates opportunities that deepen market penetration, create new pathways to innovation, and unlock potential for new revenue streams for both Hempco's premium PLANET HEMP™ brand and its animal supplement PRAISE brand. This also aligns with the Company's whole plant utilization strategy.

"Opening up the North American market provides a catalyst for innovation that directly aligns with Hempco's growth strategy," Jang added.

About Hempco

For more than 12 years Hempco has been a trusted and respected pioneer, innovator and provider of quality hemp-based foods, hemp fiber and hemp nutraceuticals. Hempco produces and markets the brands PLANET HEMP ™ and PRAISE, hemp-based foods and nutritional supplements for people and animals. Hempco is expanding its processing ability to meet global demands in a 56,000 sq. ft. facility located at Nisku, Alberta. Hempco's common shares trade on the TSX Venture Exchange under the symbol "HEMP".

The TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release includes statements containing certain "forward-looking information" within the meaning of applicable securities law ("forward-looking statements"). Forward-looking statements are frequently characterized by words such as "plan", "continue", "expect", "project", "intend", "believe", "anticipate", "estimate", "may", "will", "potential", "proposed" and other similar words, or statements that certain events or conditions "may" or "will" occur. Forward-looking statements in this press release include the Company's anticipation of further growth. These statements are only predictions and are not guarantees of future performance; therefore, undue reliance should not be placed on them. Such forward-looking statements necessarily involve known and unknown risks and uncertainties, which may cause actual performance and financial results in future periods to differ materially from any projections of future performance or result expressed or implied by such forward-looking statements. Various assumptions were used in drawing the conclusions or making the projections contained in the forward-looking statements throughout this news release. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. The Companies are under no obligation, and expressly disclaims any intention or obligation, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable law.

On behalf of the Board of Directors,

HEMPCO FOOD AND FIBER INC.
Diane Jang
CEO

SOURCE Hempco Food and Fiber Inc.

Copyright 2019 Canada NewsWire

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