Panda Biotech Chooses Wichita Falls for Nation‑Largest Hemp Processing Facility
In September 2020, Dallas‑based Panda Biotech announced that it would locate its flagship hemp processing complex in Wichita Falls, Texas. The decision follows a statewide evaluation of available sites and aims to establish the Panda Texas Plains Hemp Gin™ as the largest industrial hemp decortication and cottonization operation in the United States.
Facility Scale and Technology
The company secured a 500,000‑square‑foot building on a 97‑acre campus that previously housed General Motors’ Delphi assembly plant. Two custom‑built decorticators, each rated at 10 tons per hour, will be installed to separate bast fiber from the woody hurd. At full capacity the lines are projected to process roughly 300 million pounds of Texas‑grown hemp annually, generating an estimated $30 million in revenue for local farmers.
Cottonization Innovation
Beyond decortication, the Wichita Falls site will be the first U.S. facility to perform commercial‑scale cottonization of hemp fiber. This process removes lignin, opening the filaments so they can blend smoothly with cotton, silk, wool or synthetic fibers. Panda Biotech has already tested the method on smaller equipment, spinning the cottonized fiber into yarn, knitting it into fabric, and producing finished apparel.
When both lines are operational, the plant expects to yield more than 35 million pounds of apparel‑grade, cottonized hemp fiber each year—enough to supply yarn counts ranging from 8s to 40s for sustainable textile manufacturers.
Economic and Environmental Impact
Industrial hemp is noted for its low water requirement—about 70 % less than conventional textile crops—and its minimal need for herbicides, pesticides or fungicides. The crop also sequesters more carbon dioxide per acre than many forests, offering a climate‑friendly alternative for fiber production. By locating the gin in Wichita Falls, Panda Biotech aims to create a domestic supply chain that reduces reliance on overseas processing, particularly from China.
Community Support and Incentives
Local officials highlighted the city’s skilled workforce, affordable cost of living, and pro‑business climate as key factors in the selection. On July 7, 2020, the Wichita Falls City Council unanimously approved an incentive package to attract the investment. Henry Florsheim, president and CEO of the Wichita Falls Chamber of Commerce, noted that the project could become a “global calling card” for the region, stimulating both agricultural and manufacturing sectors.
Seed Donation Program and Texas Hemp Growth
Prior to the facility announcement, Panda Biotech donated 60 tons of free hemp seed to Texas producers in May 2020. The seed distribution, conducted with Texas A&M AgriLife Extension, allowed farmers to trial the crop across the state’s diverse growing conditions. Participants who share planting and harvest data receive a research summary report designed to optimize the 2021 hemp harvest.
About Panda Biotech
Headquartered in Dallas, Panda Biotech, LLC focuses on scaling industrial hemp processing for high‑end apparel fiber and hurd used in automotive, construction and composite applications. The leadership team brings experience from more than $12 billion in energy and infrastructure projects dating back to 1982. Further details are available at the company’s website.
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