[Research] Industrial hemp in Nepal: Production and valorization perspectives

Reviewing the Research: Key Insights from the 2025 Study on Industrial Hemp in Nepal

Related Country/Region: NepalTheme: Alternative Agriculture and Green EconomyAuthor(s): Sagar Kafle, Bibek Poudel, Purushottam Gyawali, Dilli Ram Bhattarai, Tri Dev Acharya, Rupesh Acharya, Saurav Dhakal, Prajal Pradhan, Sushil AdhikariLanguage of Resource: EnglishPublished: March 20, 2025Source: Renewable and Sustainable Energy ReviewsDOI: 10.1016/j.rser.2025.115622

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Introduction

The paper "Industrial hemp in Nepal: Production and valorization perspectives" presents the first detailed research-based assessment of Nepal’s potential for cultivating and industrializing hemp. Although hemp cultivation has been banned in Nepal since 1976 under the Narcotics Drug Control Act, the paper argues that the country holds substantial untapped opportunities for sustainable hemp production. It emphasizes the favorable land, soil, and climate conditions in Nepal and advocates for policy reform to allow legal hemp cultivation.

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Paper Overview

This study fills a critical gap in Nepal's agricultural research by systematically analyzing the cultivation potential, economic feasibility, and broader implications of industrial hemp. The key components of the research are:

1. Land Suitability Assessment

• The study identifies 1.8 million hectares of land in Nepal suitable for hemp cultivation, based on various parameters such as climate, soil, elevation, and road access.

2. Estimated Production Potential

• Using a conservative estimate of land utilization (10% Terai, 20% Hill, and 5% Mountain regions), Nepal could annually produce:

  • 3.1–4.6 million tonnes of solid fuel

  • 0.5–0.9 million tonnes of fiber

  • 126–174 million liters of biodiesel

3. Energy Impact

• These outputs could contribute significantly to national energy needs:

  • Solid fuel: 8.6–12.3% of total energy demand

  • Biodiesel: 7.3–10.1% of diesel consumption

4. Economic Feasibility

• Estimated production cost: USD 3,177 per hectare

• Cost-benefit ratio: 2.46 to 4.08, indicating strong profitability

5. Sustainability and Policy Implications

• The paper discusses how industrial hemp aligns with Sustainable Development Goals (SDGs):
  SDG 1, 7, 8, 9, 12, 13, and 15

• Highlights outdated legal constraints and urges policymakers to reconsider the current ban

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Key Takeaways

1. First Study of Its Kind in Nepal

   • No previous work has assessed land suitability, production economics, or biomass/fiber potential this comprehensively.

2. Economic and Environmental Potential

   • High biomass yield, energy contribution, and profit margin show promise for both rural development and energy sustainability.

3. Legal Reform Needed

   • Current laws treat hemp and marijuana equally; however, industrial hemp contains non-psychoactive THC levels (≤0.3%).

4. Supports Global and National Development Goals

   • Legalizing hemp could support Nepal’s ambitions in sustainable agriculture, energy independence, and green industry.

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Conclusion

This research presents strong evidence for rethinking Nepal’s hemp policy. It offers a data-driven foundation for advocating the legalization and industrialization of hemp cultivation. With environmental, economic, and developmental benefits clearly outlined, the paper makes a compelling case for change.

Source: https://www.sciencedirect.com/science/article/abs/pii/S1364032125002953