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Hemp insulation has the potential to become a viable industry in the U.S., but its long-term success will depend on scaling up domestic production and increasing market demand, according to researchers at the Georgia Institute of Technology (Georgia Tech).

The research, published in the Journal of Cleaner Production, is one of the first to analyze the scalability of hemp insulation in the U.S. While previous economic studies have focused primarily on consumer pricing, the Georgia Tech team took a broader approach by assessing the industry’s perspective.

“Hemp-based insulation can play a major role in reducing carbon emissions from buildings, but to make it commercially viable, we need to increase domestic production and drive sales volumes,” said Arjun Thangaraj Ramshankar, lead author of the study and a Ph.D. student in environmental engineering.

The findings suggest that despite high raw material costs and an underdeveloped supply chain, the market for hemp insulation presents a promising business opportunity if supHemp insulation has the potential to become a viable industry in the U.S., but its long-term success will depend on scaling up domestic production and increasing market demand, according to researchers at the Georgia Institute of Technology (Georgia Tech).

Need for incentives

Buildings account for roughly 20% of global greenhouse gas emissions, and insulation materials contribute significantly to a building’s carbon footprint. Conventional insulation, such as fiberglass and foam-based products, often has a high environmental impact due to energy-intensive production processes and non-biodegradable waste. Hemp insulation, by contrast, is made from renewable plant fibers and can reduce insulation-related emissions by 90% or more, according to some estimates.

Industrial hemp production in the U.S. has expanded rapidly since its legalization in 2018, with the plant’s fibers being used in textiles, biodegradable plastics, and construction materials. Hempcrete, hemp-based plasters, and insulation are increasingly recognized for their potential to lower carbon emissions in the building sector, particularly in Europe, where the market is more developed.

“Hemp insulation can directly replace fiberglass insulation in residential and commercial buildings, but it currently costs about twice as much,” said Joe Bozeman, an assistant professor in the School of Civil and Environmental Engineering and a senior co-author of the study. “That’s where well-placed incentives could play a critical role in fostering market adoption.”

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