Wisconsin hemp laws now run on a split system: the state defines what qualifies as hemp and sets conduct rules under Wisconsin Statute 94.55, but licenses to grow the crop come from the USDA rather than from a state agency. Wisconsin’s Department of Agriculture, Trade and Consumer Protection discontinued its own hemp program on January 1, 2022, and the federal rules at 7 CFR Part 990 now control licensing, sampling, testing, and enforcement for anyone cultivating hemp in the state.
Where to Get a Hemp License in Wisconsin
Because Wisconsin does not operate a USDA-approved state hemp plan, commercial growers apply directly to the USDA’s Agricultural Marketing Service for a USDA Hemp Producer License.1USDA Agricultural Marketing Service. List of USDA-Approved Hemp Plans The federal application asks for identifying information, the legal description or GPS coordinates of every production site, and consent to a background check.
The old DATCP fee structure, which charged $150 for up to 30 acres and scaled up from there plus a $350 annual registration, no longer applies. Fees and application procedures now follow the federal rules.
Who Cannot Get a License
Both federal and Wisconsin law bar anyone convicted of a felony related to a controlled substance from producing hemp for 10 years following the conviction date.2Wisconsin State Legislature. Wisconsin Statutes 94.55 – Hemp A narrow exception under the 2018 Farm Bill covers people who were lawfully growing hemp under the 2014 pilot program before December 20, 2018, and whose conviction predates that date.
What Counts as Legal Hemp
Wisconsin defines hemp as the Cannabis sativa L. plant with a delta-9 THC concentration of no more than 0.3 percent on a dry-weight basis, or the maximum concentration allowed under federal law up to 1 percent, whichever is greater.2Wisconsin State Legislature. Wisconsin Statutes 94.55 – Hemp The federal cap for interstate commerce still sits at 0.3 percent, so growers planning to move product across state lines should treat 0.3 percent as the operational ceiling.
Growers are responsible for sourcing seed and genetics that produce plants within the legal THC range, and for keeping records of those purchases. Before planting, producers report GPS coordinates and descriptions of every growing location; those coordinates drive the scheduling of sampling and inspections. Planting on an unreported site, or reporting inaccurate location data, can trigger enforcement including mandatory destruction.
THC Testing Before Harvest
Every hemp crop must be tested for THC concentration before harvest. Under federal rules, a sampling agent collects plant material no more than 30 days before the anticipated harvest date, pulling from the flowering tops of the plant: specifically the top five to eight inches of the main stem, terminal bud, or central cola.3Federal Register. Establishment of a Domestic Hemp Production Program A laboratory then analyzes total delta-9 THC on a dry-weight basis.
A single compliance test from an accredited lab typically runs between $75 and $750 depending on the lab and the depth of the analysis. Three outcomes are possible:
- At or below 0.3 percent THC: the crop passes and can be harvested and sold.
- Above 0.3 percent but at or below 1.0 percent: the overage is treated as a negligent violation, not a crime, provided the grower made reasonable efforts to comply. The USDA raised this negligence ceiling from 0.5 percent to 1.0 percent to account for THC fluctuations caused by genetics, weather, and harvest timing.3Federal Register. Establishment of a Domestic Hemp Production Program
- Above 1.0 percent THC: outside the negligence window and exposed to prosecution under controlled substance laws.
Wisconsin reinforces the federal framework by making a producer who negligently violates the state’s hemp rules three times within any five-year period ineligible to produce hemp for five years from the date of the third violation.2Wisconsin State Legislature. Wisconsin Statutes 94.55 – Hemp Negligent violations cannot be prosecuted criminally under state controlled substance law, which protects growers who miss by a small margin from drug charges.
When a Crop Tests Hot
A crop that exceeds 0.3 percent THC must either be remediated or destroyed. Federal rules give producers two paths: bring the crop into compliance by removing high-THC flower material and resubmit it for testing, or dispose of the non-compliant plants.4eCFR. Subpart C – USDA Hemp Production Plan
Disposal can go through a DEA-registered reverse distributor, through law enforcement, or on-site. Either way, the producer must notify the USDA of the plan and submit documentation that it actually happened. Remediated crops must pass a second round of testing before entering commerce, and anything still non-compliant after remediation has to be destroyed. That means a failed test leads to at least two rounds of testing fees on top of lost yield.
Records You Have to Keep
Wisconsin law requires hemp growers and processors to keep records for at least three years after a growing season. For growers, records must cover seed sources and varieties, production data, copies of fit-for-commerce certificates, processor information, and a description of how the crop was disposed of if applicable. Processors must document their hemp sources, quantities purchased, and quantities sold to recipients.5Wisconsin State Legislature. Regulating Wisconsin’s Hemp Industry
Pesticide Rules
Only pesticides specifically registered by the EPA for use on hemp may be applied. DATCP publishes a list of pesticides licensed for use in Wisconsin that can legally be applied to hemp.6Wisconsin Department of Agriculture, Trade and Consumer Protection. Pesticides Licensed for Use in Wisconsin for Hemp Any product not on that list, or applied contrary to its label, is a violation. Keep records of each application including product, date, rate, and target pest, because those records are subject to audit.
Moving Hemp Through the State
Any hemp transported within or through Wisconsin must travel with a fit-for-commerce certificate. The certificate must include THC test results, the amount of hemp being moved, and a full chain-of-custody record for all transfers, and it must stay with the crop until the hemp is processed into a form that no longer meets the legal definition of hemp.5Wisconsin State Legislature. Regulating Wisconsin’s Hemp Industry Harvested hemp found without the certificate can be seized and destroyed, and the producer’s license may be suspended or revoked.
Carry physical copies in the vehicle and keep digital backups on a phone. Officers who do not routinely encounter hemp shipments sometimes mistake them for illegal cannabis, and immediate documentation prevents unnecessary seizures.
Processing and Retail
Converting raw hemp into finished products such as CBD oil, fiber goods, or food is a separate activity from cultivation. Under the current USDA framework, whether a processor needs additional authorization depends on the activity and on any applicable state or local permits. In every case, processors must verify that the hemp they receive came from a licensed producer, which means keeping chain-of-custody records, fit-for-commerce certificates, and purchase documentation available for inspection.
Retailers face the same sourcing and record obligations. Labels must accurately disclose cannabinoid content, batch numbers, and THC levels. Making FDA-unapproved health claims, particularly that CBD treats or cures specific conditions, can draw enforcement action. Products containing synthetic cannabinoids fall outside the legal hemp framework and can be seized.
CBD in Food and Supplements
The FDA has concluded that existing regulatory frameworks for foods and dietary supplements are not appropriate for CBD and has declined to create a pathway allowing CBD in those products.7U.S. Food and Drug Administration. FDA Concludes that Existing Regulatory Frameworks for Foods and Supplements are Not Appropriate for Cannabidiol The agency cited potential liver harm, drug interactions, and reproductive concerns. CBD products are nonetheless sold widely in Wisconsin, and processors who put CBD into food or supplements operate in that gap at their own risk.
Delta-8 and Intoxicating Hemp Products
Products containing delta-8 THC, delta-10 THC, and other intoxicating hemp derivatives are sold throughout Wisconsin with little state-level regulation. They sit in a gray zone: derived from hemp that meets the 0.3 percent delta-9 threshold, but producing psychoactive effects the legalization statute did not anticipate.
Senate Bill 644, introduced in the 2025 Wisconsin legislature, would build a regulatory structure around these products.8Wisconsin State Legislature. 2025 Senate Bill 644 – Bill Text The bill defines “intoxicating cannabinoid” to include delta-8, delta-9, and delta-10 THC, hexahydrocannabinol, THCA, and other intoxicating derivatives. An “intoxicating hemp product” would cover:
- Hemp products containing intoxicating cannabinoids above 0.3 percent on a dry-weight basis.
- Hemp beverages with 1.0 milligram or more of intoxicating cannabinoids per 12 fluid ounces.
- Edibles with 1.0 milligram or more of intoxicating cannabinoids per serving or per package.
If enacted, SB 644 would limit sales to people age 21 and older, require child-resistant and tamper-evident packaging, mandate lab testing with certificates of analysis accessible via QR code on the label, and prohibit packaging that appeals to children. Sales to minors would carry a civil forfeiture of up to $500 for a first offense, climbing to a fine of up to $10,000 and up to nine months in jail for three or more violations within 30 months.8Wisconsin State Legislature. 2025 Senate Bill 644 – Bill Text Until something like SB 644 passes, the regulatory environment for intoxicating hemp products in Wisconsin remains largely unstructured, and retailers should expect the rules to move.
Taxes: One Clear Advantage
Because the 2018 Farm Bill removed hemp from the Controlled Substances Act’s definition of marijuana, hemp businesses are not subject to Section 280E of the Internal Revenue Code, which denies ordinary business deductions to anyone trafficking in Schedule I or II controlled substances.9Office of the Law Revision Counsel. 26 U.S. Code 280E – Expenditures in Connection With the Illegal Sale of Drugs Hemp growers and processors can deduct equipment, labor, supplies, rent, and other ordinary expenses the way any agricultural business does. That is a financial advantage marijuana businesses in legal states still do not have.
Penalties for Violations
The consequences depend on whether a violation is negligent or intentional. Negligent violations, including a crop that tests above 0.3 percent but at or below 1.0 percent THC when the grower used reasonable efforts to comply, draw administrative responses: destruction or remediation of the crop and a mark on the producer’s record. Three negligent violations within five years trigger a five-year ban from hemp production.2Wisconsin State Legislature. Wisconsin Statutes 94.55 – Hemp
Intentional violations change the picture. Growing cannabis above the 1.0 percent negligence ceiling, or producing hemp without a license, can lead to prosecution under controlled substance laws. Retailers and processors who sell mislabeled products, fail to maintain required records, or deal in products containing synthetic cannabinoids face fines, product seizures, and criminal charges. Transporting hemp without a fit-for-commerce certificate can result in the shipment being seized and destroyed and the producer’s license being revoked.
Most enforcement problems in Wisconsin’s hemp industry trace back to paperwork and timing rather than intentional misconduct. Test early, keep every record the rules call for, and carry documentation with the crop wherever it goes.