This proposed new rule could help reduce manufacturing costs for medical marijuana companies by allowing them to buy hemp grown by local farmers instead of having to grow everything in house as required by the old rules. The hope is that by reducing these costs, the medical marijuana products will become more affordable to patients. 

Hemp and related extracts are used to make the CBD found in everything from beauty products to dog treats. CBD is the non-psychoactive compound in cannabis plants, as opposed to the high-inducing THC.

Earlier this year, more than 400 New York growers had nearly 18,000 acres of hemp awaiting late summer and fall harvest. Two years ago, there were barely 100 state-licensed growers, USA TODAY Network New York reported.

The proposed rule is subject to a 60 day public comment period. You can view the proposed rule on page 5 here.