HUGE HEMP FACTORY SET FOR HALESWORTH

THE WORLD'S biggest factory for processing hemp - claimed to be the
"green" building material of the future - is being planned for a
Suffolk town at a cost of UKP3.6 million.

When running at full capacity the plant will employ 35 people and
enable operator, Hemcore Limited, the UK's only commercial hemp
processing company, to process 50,000 tonnes of hemp straw a year.

The new facility is to be installed in an existing building at the
Halesworth Business Centre.

Hemcore said last night that a site was selected in eastern England to
ensure it was close to the majority of existing hemp growers.

"This is also an area where the growing base is expected to expand
rapidly as the demand for hemp products continues to increase," said
Mike Duckett, Managing Director.

Installation is due to begin in January 2008 with commissioning of the
new plant due to start in May.

It is expected to be fully operational in the summer of next year,
with production increasing over a four year period until full capacity
is reached.

Currently, 4,500 tonnes of hemp are processed at Hemcore's existing
facility in Maldon. This will be closed down when the new factory
becomes operational.

Mr Duckett said: "Our new facility is great news for the environment
and the region's farmers, more and more of whom are already reaping
the benefits of growing hemp."

Use of hemp-based products would help the UK to reduce its carbon
emissions. Emerging markets included plastics reinforcement,
nutrition, clothing and horticulture, he added.

David Sillett, rural development manager at the East of England
Development Agency, said the project would contribute to the adoption
of more sustainable construction methods, while creating additional
employment and benefiting farmers.

Hemp, which grows up to four metres high, is tolerant of both drought
and heavy rain and does not require pesticides.

Environment Minister, Phil Woolas, said: "This new investment in
Suffolk will provide many benefits - for local jobs, the economy, and
for those farmers who will have the opportunity to help meet increased
demand for this crop.

"It also gives a clear signal that the UK is serious about developing
the bio-economy because of the many benefits it can provide -
including reducing greenhouse gases, cutting waste and pollution and
helping biodiversity."

Hemp is a member of the cannabis family but has virtually no drug
content. It has been used to make textiles for at least 6,000 years
and was once widely cultivated in the UK to produce fibre for sails
and rigging.