- SGMD is ideally positioned as American farmers seek refuge from the low prices and reduced sales created by the ongoing U.S.-China trade war
- A recent USDA survey reported an almost 400 percent increase in hemp acreage in 2019
- The hemp industry generated more than $1 billion in revenues in 2018, and it is projected to grow to $1.9 billion by 2022
Sugarmade Inc. (OTCQB: SGMD), a supplier of hydroponic and cultivation equipment to growers in the booming industrial hemp sector, is well-positioned to fulfill the needs of farmers who are choosing to cultivate hemp. A thriving hemp market offers farmers higher prices and greater sales, as well as an attractive way to offset the impact of the U.S.-China tariff trade war, and an increase in hemp farming has created a need for hydroponic equipment from companies like Sugarmade (http://nnw.fm/58Ouv).
In the wake of the trade war between the United States and China, hemp has become a refuge for American farmers suffering from the resulting lower prices and sinking sales, as detailed in a recent CannabisNewsWire article (http://nnw.fm/Zm8Lx). The uncertain trade relationship between the two countries has created an especially strong market for companies such as Sugarmade that are suppliers of equipment to hemp cultivators. This is particularly true in the markets seeing the fastest growth in hemp farming, such as Western Kentucky and Tennessee. SGMD is not in the hemp-cultivation business itself, but it has a business model of supporting and supplying hemp-industry cultivators, among others.
As a hydroponic-systems expert and supplier, Sugarmade is benefiting from the growth in hemp cultivation. According to USDA statistics, some 128,320 acres of hemp have been planted this year, compared to only 27,424 last year, marking a nearly 400 percent increase. The growing demand for hemp biomass, especially in Kentucky, is generating significantly higher prices than other crops.
According to Hemp Business Journal, the hemp market in the United States was projected to reach more than $1 billion in 2018, with growth at an estimated 14.4 percent five-year CAGR to $1.9 billion through 2022 (http://nnw.fm/z3exZ). SGMD is poised to become a “strong pick-and-shovel” provider to the hemp industry.
Based in Monrovia, California (a suburb of Los Angeles), Sugarmade is a hydroponics and cultivation supply company that’s committed to supporting the industrial-hemp sector. In addition, SGMD is a product and brand marketing company with numerous operations, such as packaging and paper goods for diverse industries.
For more information, visit the company’s website at www.Sugarmade.com
NOTE TO INVESTORS: The latest news and updates relating to SGMD are available in the company’s newsroom at http://nnw.fm/SUGAR
NetworkNewsWire (NNW) is an information service that provides (1) access to our news aggregation and syndication servers, (2) NetworkNewsBreaks that summarize corporate news and information, (3) enhanced press release services, (4) social media distribution and optimization services, and (5) a full array of corporate communication solutions. As a multifaceted financial news and content distribution company with an extensive team of contributing journalists and writers, NNW is uniquely positioned to best serve private and public companies that desire to reach a wide audience of investors, consumers, journalists and the general public. NNW has an ever-growing distribution network of more than 5,000 key syndication outlets across the country. By cutting through the overload of information in today’s market, NNW brings its clients unparalleled visibility, recognition and brand awareness. NNW is where news, content and information converge.
To receive SMS text alerts from NetworkNewsWire, text “STOCKS” to 77948 (U.S. Mobile Phones Only)
For more information please visit https://www.NetworkNewsWire.com