Murray Industrial Hemp (MIH) has been awarded $10 million by the NSW Government to build a new hemp processing and brick manufacturing facility in Barham, one of the most significant single investments the Australian hempcrete sector has seen, and a strong signal that hemp building materials are moving from niche to mainstream.
From Sawmill to Supply Chain
MIH will redevelop a site on Moulamein Road previously used as a redgum sawmill, installing hemp decortication equipment to process baled hemp into hurd, fibre and fines, alongside a dedicated hemp brick manufacturing line. That’s the full chain in one location. Raw hemp in, finished building product out. Which has been one of the biggest gaps in scaling hempcrete supply in Australia. MIH will now work through planning requirements with Murray River Council before construction begins.
The funding came through Round 2 of the NSW Sustainable Communities Program’s Economic Development and Infrastructure Round, announced 12 June 2026 by Minister for Agriculture and Regional NSW Tara Moriarty, with MIH named one of 14 successful projects statewide.
Murray Industrial Hemp to build
manufacturing facility in Barham
Raw hemp in, finished building product out.
Builders and Architects Are Already Paying Attention
MIH Executive Director
MIH Executive Director Leigh Fletcher said the industrial hemp industry is gaining real momentum, pointing to growing recognition among builders and architects of hemp’s thermal performance, fire resistance, sustainability credentials and energy efficiency. For a sector that’s spent years making the case for hempcrete on technical merit alone, that kind of market pull is exactly what’s needed to justify investment at this scale.
Fletcher also highlighted the project’s dual benefit for the region: irrigators gain access to a water-efficient alternative crop, while the wider community benefits from a new manufacturing industry, grown, processed and built, all in the same place.
Years in the Making
MIH was formed in 2024, but the project’s roots go back to 2021, when the Western Murray Land Improvement Group brought together local farmers to explore new industries beyond traditional cropping. Since then, the project has moved through trial crops, a completed business case, local shareholder investment, including many local families, and the establishment of a formal company board. Western Murray Land Improvement Group remains a major shareholder today.
Why It Matters for Hemp Building
A dedicated, integrated facility like this (decortication and brick manufacturing under one roof) is exactly the kind of infrastructure that turns hempcrete from a material builders have to chase down into one they can reliably specify. As MIH moves from funding into construction, this is a project worth watching closely for anyone building, designing, or sourcing with hemp in NSW and beyond.
Leigh Fletcher, Murray Industrial Hemp, Project pitch at Hemp Connect Forum 2025
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