All Time Low CBD Prices
If you follow the CBD market, you will notice a significant drop in pricing for most CBD products. Over the last two years that CBD has been federally legal prices have dropped steadily. This trend appears across all forms of CBD from cosmetics to oral tinctures. There are several reasons for these drops and how they can benefit consumers. The likelihood of these all-time low CBD prices lasting for long is slim, however, and there are a few steps to ensure you’re getting the best value.
Hemp CBD Biomass All Time Low
One of the most significant reasons CBD is less expensive is that hemp plants are easier to get ahold of. When the 2018 Farm Bill federally legalized hemp the availability of the plant itself was slim. This was due to the simple fact that previously it was illegal to grow so there weren’t that many agriculturalists in the US that had plants available for processing. This caused CBD producers to purchase hemp grown outside of the country. Supply and demand along with import tariffs made a costly impact on CBD pricing and availability.
Now with growing permits being reasonably easy to acquire and two-plus years to grow there is now an abundance of US cultivated hemp stock available on the market for processors. While this is a benefit for reduced pricing it is critical that CBD consumers know how the plants their CBD comes from are grown. Pesticides used in the production of hemp could transfer during the extraction process. Any products derived from hemp that is not organic should be avoided.
Along with the increased availability of plants, the extraction processes of CBD have also improved. This means that technology is allowing CBD producers to extract more out of every plant. This also allows for increased supply and lower CBD prices but comes with its own concerns. Some of these processes use solvents such as alcohol and butane during the extraction process. This leaves a possibility for these solvents to transfer into the CBD. It is recommended that CBD extracted using the C02 Extraction Process.
As is the way in a capitalist marketplace supply and demand set the pricing standards in every market. Over the past two years, the CBD industry has grown globally at an exponential growth rate of approximately 22%. This means that the $9.3 billion estimated global value of the CBD market last year will be $23.6 billion by 2025 should this growth trend continue. This surge in growth has attracted the likes of many different types of investors. Some are legitimately interested in putting money and effort into what they believe could provide medical benefits and improved quality of life. Others are looking to cash in on a new, fast-growth industry.
While this growth has resulted in increased supply & helped lower pricing for consumers it has also brought questions of ethics to the table. Big companies looking to make big profits thrown their time & money into marketing. Too often the biggest brand gets purchased regardless of if it is the best quality or not. In an industry where regulations are grey at best, this is a disadvantage for the consumer. Unfortunately, there are still companies in the CBD industry misrepresenting the quality and the concentration of their product. This is why it is always recommended to review a CBD products Certificate of Analysis (COA) before purchasing.
All Time Low CBD Prices Aren’t Likely To Last
It is not likely for these to be a slowdown or stop in the agricultural growth of hemp in the US. It is likely to see increased regulation. As more studies are conducted, more discoveries are made about the benefits of CBD. Currently, the FDA has not approved CBD as a supplement or food additive with one exception. While studies are still underway it is unclear if CBD will be classified as a medication or supplement. Epidolex, an anti-seizure medication, is the only type of CBD that the FDA has approved. Regardless of how the FDA inevitably classifies CBD, it will likely come with increased restrictions and taxes. While this will ultimately improve the overall quality of CBD on the market it will cause the market value to rise.
At 502 Hemp we do everything possible to deliver the purest, highest quality products at market competitive pricing. We stand by our quality and are in support of the regulation of CBD standards that look out for the health and best interest of the consumer. With that being said, it is unlikely that CBD will continue to be available at the price it is now, ours included. Currently, we are running a buy one get one free sale on our 750mg and 1500mg gummies until 2/15/2021. It is unlikely that we will have the opportunity to make an offer like this again. So always verify your CBD product’s quality & take advantage while low prices last!