HS Code:
True hemp yarn (HS Code: 5308.20) refers to yarn made from the fibers of the hemp plant (Cannabis sativa), excluding tow and waste. This category includes yarn used in the production of textiles, ropes, and other industrial applications. True hemp yarn is valued for its strength, durability, and eco-friendly properties, making it a niche but growing product in sustainable textile markets. It is distinct from other hemp products due to its specific processing and application in weaving and knitting.
Total Trade Volume
USD 12.5 million
Data from 2022
Source
United Nations Comtrade Database
Average Rate
6.5%
Highest Rate
12% (applied by certain developing countries)
Lowest Rate
0% (under EU free trade agreements and WTO bindings)
Rising demand for sustainable textiles
Increased interest in hemp yarn as an eco-friendly alternative to cotton and synthetic fibers, driving market growth in Europe and North America.
2021-2022
Technological advancements in hemp processing
Improved processing techniques have reduced production costs and enhanced yarn quality, making hemp yarn more competitive in global markets.
2020-2022
Regulatory relaxation on hemp cultivation
Easing of hemp cultivation laws in countries like the US and Canada has boosted raw material availability, indirectly supporting yarn exports.
2019-2022
The European Union's Green Deal initiatives have included subsidies and support for sustainable crops like hemp, encouraging production and export of hemp yarn.
March 2022
Positive impact on European exporters, particularly in France and Italy, with a projected 10% increase in trade volume.
Amendments to the US Hemp Farming Act have clarified regulations, allowing for increased cultivation and processing of hemp for industrial use, including yarn.
December 2021
Expected to increase US imports of hemp yarn for domestic textile production, benefiting exporters like China and India.
A trade dispute between India and certain Southeast Asian countries over hemp product classifications has led to temporary import restrictions.
July 2022
Short-term negative impact on Indian exports, with a potential 5% decline in trade volume to affected regions.