Dallas-based Panda Biotech announced this week that it is developing an industrial hemp processing facility in Lubbock County, Texas to produce high-quality, textile-grade fiber, and premium cellulose.
The facility, dubbed the Panda High Plains Hemp Gin, is expected to be the largest hemp processing facility in the United States and one of the largest in the world.
Panda Biotech has also secured the rights to purchase a 255,000 square-foot processing facility in Shallowater.
For quality purposes, Panda Biotech will only process hemp stalks that have not produced flower or seeds which are used for other purposes such as cannabidiol (CBD) and hemp seed oil.
The technology used to separate the fiber and cellulose from the stalk will be the most advanced, highest capacity, and first-of-its-kind decorticating equipment that is based on smaller versions of proven technology that has been used in Asia and Europe for many years.
The company is also assembling an advisory board composed of industrial hemp, textile, cellulose experts, and agronomists with experience in the seeding, cultivation, and harvesting of hemp.
“After more than a year of due diligence—which has included an analysis of the hemp fiber and cellulose industries in the People’s Republic of China, various European countries and Canada—we have concluded that the processing of hemp stalk for industrial uses will be the next multi-billion-dollar business in the United States,” said Panda Biotech Executive Vice President Scott Evans. “Hemp fiber and cellulose will help manufacturers meet the needs of today’s eco-conscious consumers who increasingly require environmentally friendly products and services.”
Evans says that the result will be a game-changer for agriculture and industry for generations to come.
Prior to this week’s announcement, Panda Biotech engaged key stakeholders such as elected officials, academic institutions, and the local farming community in the Texas High Plains region.
