October 2025 | By Klara Marosszeky

Over the past few weeks, I’ve been chasing up some concerns around the misuse of the “Made in Australia” logo — particularly by companies importing hemp materials and claiming local provenance. Unfortunately, these claims aren’t just misleading — they undermine the work of the handful of Australian processors who are genuinely committed to building-grade, locally grown hemp products.

Despite the increasing interest in hemp construction, most of the growth we’re seeing — especially online — is happening with imported materials. While social media gives the impression of a booming Australian hemp building industry, the reality is that most local processors are not seeing consistent demand. That disconnect is something we need to talk about.

The Map Doesn’t Match the Reality

A map of processors was recently shared at the La Trobe Hemp-Connect Forum, suggesting a wider network of operational mills than currently exists. That map was inaccurate.

Following the forum, Andi Lucas of X-Hemp contacted several mills listed, and confirmed what we already suspected — many are either closed, undergoing repairs or upgrades, or are hypothetical future projects. Some operate occasionally, but not at a scale that supports a steady supply of retted, building-grade hurd.

Ironically, Ashford Hemp Industries — the longest-running hemp processor for building materials in Australia — was left off the map entirely.

What’s Actually Happening?

Right now, there are four key processors in Australia consistently producing building-grade hemp hurd:

• X-Hemp – Tasmania

• Pro Hemp – Victoria

• Margaret River Hemp Co – Western Australia

• Ashford Hemp Industries – New South Wales

These are the companies AHM has worked with closely for years. They’re also all members of the Australian Hemp Fibre Processors Inc., a group set up to ensure consistent, building-grade standards across the supply chain.

While there are other bits of equipment out there capable of processing hemp, retting — the breakdown of natural glues in the stalk — is still not widely understood or prioritised. And without retting, the hurd simply doesn’t perform to the thermal, acoustic, or hygrothermal standards that make hempcrete such a valuable building material.

This isn’t just theory. As a former hemp farmer myself, I spent years researching whether we could avoid retting in building applications. The science is clear: for long-term durability and performance, retting is essential.

A Model for Regional Supply

Ashford has long been the backbone of our supply. For years, we transported bales from across Australia to be processed there — even for some of our early New Zealand builds. Now, with more processors operating regionally, we’re getting closer to a sustainable, low-emission supply model. That’s always been the goal.

But it’s still not easy. Only around 50% of every tonne of hemp becomes usable hurd. Making these regional mills viable long-term means collaboration — and finding reliable markets for the co-products (like fibre) that often go unused.

For context, Ashford not only processes hemp but also manufactures hemp processing equipment. The X-Hemp mill in Tasmania uses an Ashford-built processor, and a second machine is about to head to New Zealand.

Where Is Hemp Being Grown?

Over the past few years, the most consistent hemp growing regions for building have been:

• NSW – Around Tamworth and southern regions

• Tasmania

But these areas need processors, markets, and most importantly — demand — to thrive.

Where to From Here?

There’s growing momentum in hemp construction, but until we see consistent demand for Australian-grown, building-grade hemp hurd, our processors won’t reach capacity. That demand must be for the right kind of material — not cheap imports or unprocessed stalks.

We have the knowledge, the processors, the land, and the expertise to grow this industry — but we need a more informed and transparent approach to how we build, source, and label hemp in Australia.

If you’re planning to build with hemp — ask the right questions. Know your source. Choose local when possible. And let’s grow this industry from the ground up, the right way.

—
Klara Marosszeky
NSW Hemp Licence Holder
Founder / Managing Director
Australian Hemp Masonry Company