(Yicai Global) May 20 -- Layn Natural Ingredients, a Chinese maker of natural sweeteners, is planning to construct an industrial hemp project in the US to tap into the emergent market of cannabidiol. 

Layn will invest CNY402 million (USD58.1 million) for the plant in either Colorado or Kentucky, the Guilin-based firm said in a statement yesterday. The purpose of the factory is to produce CBD to be used in medical treatment, food additives, cosmetics and pet supplies.

The project with an estimated size of 66,666 square meters will include facilities for research and development and CBD extraction. The plant will be completed at the end of 2020 and have an annual production capacity of 5,000 tons of raw materials.

The global market for industrial hemp may grow to reach USD500 billion in value, the statement added. 

Layn will still need to secure regulatory approval for its plan. 

Editor: Emmi Laine