In 1994, the first 'modern' permit to grow hemp for research was granted to a Canadian company. In 1998, Health Canada passed regulations allowing for the commercial cultivation of hemp in Canada for the first time in 60 years. Hemp is now grown legally and extensively across Canada both for its fibre and seed.

In the U.S., during the period from 1937 to the late 60's the US government understood and acknowledged that Industrial Hemp and marijuana were distinct varieties of the cannabis plant. Hemp is no longer recognized as distinct from marijuana in the U.S. since the passage of the Controlled Substances Act (CSA) of 1970. This is despite the fact that a specific exemption for hemp was included in the CSA under the definition of marijuana.

Hemp paper, clothing and other fibre products are clearly excluded from the U.S. policy of prohibition and have always been clearly LEGAL. The Drug Enforcement Agency, however, between 2001 and 2004 took an aggressive stance toward hemp seed imports into the U.S., primarily from Canada. Citing the U.S. zero tolerance policy towards drugs, the DEA tried to claim that miniscule THC levels found in hemp seed foods (less than 10ppm according to Health Canada regulation) made them illegal in the United States.

In February, 2004, The Hemp Industries Association (HIA), representing over 200 hemp companies in North America, won their 2 1/2-year-old lawsuit against the Drug Enforcement Administration (DEA) in a decision that permanently blocks DEA regulations that attempted to ban nutritious hemp foods such as waffles, bread, cereal, vegetarian burgers, protein powder, salad dressing and nutrition bars. Read the court decision here.