hemp Archives - Green Market Report

Julie AitchesonApril 7, 2022
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5min20202

According to the U.S. Census Bureau, the rate of new housing starts in the U.S. hit 1.769 million in February of 2022, the highest since June 2006 despite material shortages, supply chain issues, and cost-of-living spikes. The US hemp building industry is riding this wave by moving forward in its efforts to certify hemp and lime (often referred to as “hempcrete”) insulation in U.S. building codes. On January 10, the U.S. Hemp Building Foundation submitted an appendix in the International Residential Codes to familiarize the U.S. permitting departments with hempcrete. During the final week of March, the International Code Council approved Proposal_RB316-22 for the International Residential Code, which is the ICC’s first step toward adopting hempcrete as an officially recognized building material.

Hempcrete is non-structural insulation commonly made of hemp hurd (the woody inner parts of the hemp stalk) and lime binder. An efficient insulator when installed up to one foot thick in wall assemblies, hempcrete has an impressive list of attributes. It is vapor-permeable, thermally regulating, fire-resistant and repels mold and pests. Because hemp plants sequester large amounts of carbon while growing, hempcrete is also carbon negative. Once incorporated into the construction, hempcrete can increase carbon negativity by absorbing carbon dioxide exhaled by building inhabitants.

U.S. construction industry professionals such as builders and architects could previously use hempcrete, but they often needed an alternative material variance and an engineer’s stamp on hempcrete house plans to do so. This requires them to go through a separate approval process for each project. Certification and the existence of a national code would eliminate this necessity. Though hempcrete has already been in popular use in Europe for over thirty years and, more recently, in Canada, it is still not widely understood as a material in the United States.  Building professionals have been tasked with providing research and other supporting documentation to building permitting authorities in order to demonstrate hempcrete’s capacity and limitations.

Beyond a standardized code to facilitate its use, there have been additional barriers to hempcrete’s integration into the U.S. construction industry. Many building professionals wrongly believe that hempcrete contains psychoactive components. Concerns that the process for making hempcrete is slow and labor-intensive, as well as hard to fully automate and standardize are warranted, however, and will need to be addressed before hempcrete can gain broader acceptance in the U.S. 

Fortunately, innovative companies like the UK’s IsoHemp and Canada’s Just BioFiber are forging the way with mass-produced and standardized hemp and hemp/proprietary material blocks, so hempcrete’s day in the U.S. may be dawning sooner than critics think. ICC’s approval of the hempcrete proposal initiates a public review process that will continue until June 20, 2022, with a final determination to be made at the Public Comment Hearing in Louisville, Kentucky, between September 14-21, 2022.


Debra BorchardtFebruary 25, 2022
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This week New York Governor Kathy Hochul signed S8084A into law. The law is meant to speed up the rate of cultivation, processing, and distribution of cannabis in New York. This new law will allow hemp farmers and processors in the state to become licensed to grow and manufacture cannabis in time for the 2022 growing season.

“I am proud to sign this bill, which positions New York’s farmers to be the first to grow cannabis and jumpstart the safe, equitable and inclusive new industry we are building,” Governor Hochul said. “New York State will continue to lead the way in delivering on our commitment to bring economic opportunity and growth to every New Yorker in every corner of our great state.”

Eligible applicants must possess a valid industrial hemp grower authorization from the Department of Agriculture and Markets as of December 31, 2021, be in good standing, and have grown and harvested hemp for at least two of the last four years. The law also requires that both cultivator and processor licensees participate in a social equity mentorship program as well as an environmental sustainability program. The licenses expire on June 30, 2024.

Assembly Majority Leader Crystal Peoples-Stokes said, “Last year, after many years of fighting, we finally enacted the Marijuana Regulation and Taxation Act, and are beginning to undo the devastating impacts over ninety years of unequal enforcement of marijuana prohibition had on too many lives and communities. MRTA ensures that the legal adult-use market will be centered on equity and economic justice for communities of color and individuals that have been harmed most by the War on Drugs in the State of New York. With the passage of this bill, we have the opportunity to create a responsible start to the adult-use cannabis industry by authorizing temporary conditional cultivator and processor licenses to current New York hemp farmers. This authority will help secure enough safe, regulated, and environmentally conscious cannabis products to meet the demand of the adult-use cannabis market when retail dispensaries open. Importantly, this legislation calls for a Social Equity Mentorship Program, which will create a viable and inclusive path for social and economic equity partners interested in cannabis cultivation and processing to gain invaluable knowledge and experience in this emerging industry. The temporary conditional licenses authorized by this bill will ultimately help realize the vision and goals of the MRTA.”

License Types

Hemp farmers and licensed hemp processors have the opportunity to apply for and obtain the following license types:
  • Conditional Adult-use Cannabis Cultivator License
  • Conditional Adult-use Cannabis Processor License
According to a statement from the Governor’s office, “With a conditional adult-use cannabis cultivation license, farmers can grow outdoors or in a greenhouse for up to two years from the issuance of the license. It also allows them to manufacture and distribute cannabis flower products without holding an adult-use processor or distributor license, until June 1, 2023. Cultivators are limited to one acre (43,560 square feet) of flowering canopy outdoors or 25,000 square feet in a greenhouse and can use up to 20 artificial lights. They can also split between outdoor and greenhouse grows with a maximum total canopy of 30,000 square feet as long as greenhouse flowering canopy remains under 20,000 square feet.

Application Process TimingThe OCM will be developing a license application process and opening the program as soon as possible. To qualify for an Adult-use CannabisConditional Cultivator License an applicant must have been an authorized industrial hemp research partner for the Department of Agriculture and Markets, cultivating hemp for its non-intoxicating cannabinoid content for at least two of the past four years and in good standing as of December 31, 2021, when the research program ended.

Holders of the license must also participate in a social equity mentorship program where they provide training in cannabis cultivation and processing for social and economic equity partners, preparing them for potential roles in the industry. Growers will also have to meet sustainability requirements to ensure the cannabis is grown in an environmentally conscientious way.

Joe Caltabiano  CEO of Choice Consolidation Corp and co-founder of Cresco Labs said, “The New York State Senate has made clear its strong desire to ensure that affordable cannabis is available to its constituents. These legislators recognize that the product must be fairly priced in order for the legal market to flourish. This is a bold move by one of the most important markets in the US to snuff out the illicit market and proves the state does not want to end up as another California.”


Debra BorchardtJanuary 3, 2022
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Hemp prices remain depressed causing hemp farmers to decide against planting crops for 2022. Hemp Benchmarks reported that December pricing for hemp crops remained in the doldrums as past overproduction led to too much supply and not enough buyers. Despite some promising end markets, the demand just isn’t enough for the farmers to take the chance. In addition to the low prices and oversupply, the hemp market is also facing supply chain issues like increased trucking costs. Plus, other crops like corn and soybeans have experienced price increases prompting some farmers to abandon hemp.

There are big hopes for industrial hemp fiber, but that market is also hobbled by a lack of processing facilities and a lack of industry standards. There are no government guidelines for hemp fibers like there are for say cotton, which has had standards defined since 1918. 

Price Declines

Delta-8 cannabis had been seen as the saving grace for hemp farmers when CBD product demand wasn’t able to keep up with the supply. However, several states began banning Delta-8 as the product faced little regulation. Hemp Benchmarks wrote, “The observed price for Delta-8 THC Distillate declined for the sixth consecutive month, slipping 4% from November to average $839 per kilogram in December. The low end of the reported price range fell to $450 per kilogram, down from $650 per kilogram in November. The high end of the observed price range declined as well, from $1,200 per kilogram in November to $1,100 per kilogram this month.”

The Benchmarks also posted the following prices for CBD:

Greenhouse-Grown CBD Flower (Bulk) 

  • Average $384 per pound (down 2% from November) 
  • Low – High: $80 – $700 per pound 
  • The average price is 44% higher than the overall 

CBD Flower spot price. Outdoor-Grown CBD Flower (Bulk) 

  • Average: $156 per pound (up 2% from November) 
  • Low – High: $50 – $400 per pound 
  • The average price is 41% lower than the overall CBD Flower spot price

Reduced Acres

Colorado was once one of the biggest states for hemp production is a prime example of the reduction of hemp acres being planted. The 2022 Colorado Business Outlook published in December even addressed the hemp market in its report. It wrote, “Hemp, which experienced a huge boom when first legalized as a commercial crop, has dropped from 2,000 registered Colorado growers in 2019 to about 500 in 2021, and from 87,000 acres to 21,000. Growers cite the lack of a market and processing facilities for hemp fiber and competition from other states legalizing industrial hemp, creating an abundant supply on the market. State government support for hemp remains strong, and there are still many ardent supporters of the crop. The Department of Agriculture continues to work on development projects for hemp flour, fiber, and other uses.” 

Farmers also faced extreme weather conditions. The west has experienced massive wild fires in Calirfornia and Oregon. Louisiana and Vermont both drowned in excessive rain, while Texas started the year with a catastrophic cold snap. Hemp Benchmarks also wrote that one veteran hemp cultivator in New York, Allan Gendlemen, told WSHU Radio that he lost one of his six acres to rain in 2021.“This whole thing got completely flooded and the plants literally just died,” he said. “And so now, this is empty field.”

Expensive Travel

If all that bad news wasn’t enough to scare away most hemp farmers, just getting the product to a processing facility also costs more. Hemp Benchmarks said in its December report that hemp logistics company Fide Freight provided data on rates to ship bulk hemp products by truck that showed significant increases in average shipping prices compared to last year. The report said, “As of this month, average rates to move bulk hemp products in a “dry van” from Denver, Colorado to various selected locations increased anywhere from 22% to 94% year-on-year, with the route from Denver to Los Angeles, California seeing the largest jump.”

Regulations Are A Mess

The lack of guidance from the FDA has certainly not helped CBD producers and hemp farmers. Last month New York Representative Kathleen Rice,  Morgan Griffith (VA-09), Angie Craig (MN-02), and Dan Crenshaw (TX-02) introduced a bipartisan bill that would establish federal standards for CBD food and beverage products to protect consumers and provide marketplace stability for farmers, producers, and retailers. CBD companies have faced penalties regarding product labeling and website claims, yet get no direction from the government hampering their ability to promote and sell their products. 

“CBD products are exploding in popularity, but the lack of federal regulation surrounding them has put consumers at risk and left businesses looking for clarity,” said Representative Rice. “The bipartisan CBD Product Safety and Standardization Act will establish the clear regulatory framework needed to provide stability for business and ensure unsafe products stay off the shelves.” The bipartisan CBD Product Safety and Standardization Act would allow FDA to regulate CBD as it would any other food ingredient and subject these products to enforceable safeguards to ensure accountability. It also charges the agency with establishing CBD content limits and packaging and labeling requirements and determining in which categories of food CBD is appropriate for use. 

“We strongly support requiring the FDA to regulate hemp extracts like CBD as food and beverage ingredients,” said Jonathan Miller, General Counsel, U.S. Hemp Roundtable, the hemp industry’s national advocacy organization.  

States have also complicated the regulatory landscape with whipsaw decisions around Delta-8. Texas for example tried define Delta-8 as a schedule 1 substance causing retailers to fight back winning a lawsuit that temporarily lifted the ban. However, an appeal was filed causing the ban to go back into enforcement. The fate of Delta-8 in Texas is now mired in the courts. 

Promising Markets

Hemp farmers remain optimistic even in the face of so many obstacles. Even as CBD demand flattened, the projected market for hemp fiber and grain is $32 billion by 2030. Hemp Benchmarks wrote that Melissa Nelson-Baldwin is co-owner of South Bend Industrial Hemp in Kansas and that the company has been growing hemp grain and fiber since 2019 and opened its processing facility this past June. “NelsonBaldwin told Hemp Benchmarks that their decortication facility, believed to be the first of its kind in the Midwest, has been busy ever since it was first switched on. Business for hemp fiber, she said, has ‘grown exponentially. There was none three years ago, and now I need three shifts at my facility.’” 

Many believe that industrial hemp will be a bigger market than the diet supplement market. The National Hemp Association wrote in its Economic Impact report, “The average hemp fiber & grain processing facility employs 117 people, with an annual payroll of $6.1 million. The total economic output attributed to a single processing facility is estimated at more than $30 million.” It went on to say, “By 2030 industrial hemp can account for over $9 billion of economic output in rural areas.” 

So, the potential promise of hemp keeps many in the industry focused even as the current environment remains difficult. It looks as if only the strong will survive and growing hemp is definitely becoming a labor of love.


Debra BorchardtSeptember 9, 2021
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Flora Growth Corp. (NASDAQ: FLGC) has entered into a commercial agreement with American e-commerce company Zulily to launch a sales and marketing campaign across the US for its Stardog Loungewear product line. The Flora brand and product launch through Zulily will initially feature Stardog’s best-selling product, hemp shoes, and is expected to kick off within the next month.

Zulily is a huge online retailer with annual sales of more than $1.5 billion and 5 million active customers. Zulily launches thousands of products each day, curating personalized shopping experiences. Zulily’s app uses compelling video and imagery to bring more than 15,000 big name brands and boutique finds to life on mobile, including brands such as Callaway, Cuisinart, Disney, Hanes, New Balance, SOREL, UGG, and Under Armour.

“In speaking with the category management team from Zulily, it was clear that they were looking to onboard special products with compelling values at attractive price points, differentiated by stories that inspire and excite consumers – this aptly describes Stardog and how we’ve executed mindfully building and scaling the brand, ” said Nicolás Vásquez, General Manager of Stardog Loungewear. “At Stardog, we are reframing our connection with nature by working with materials that can easily go back to where they came from. Growing the finest quality organic hemp fibers allows us to equip our tailors with the very best materials to design and handcraft our loungewear for consumers. Stardog is a shining example of the slow fashion movement that considers all aspects of the supply chain, aiming to respect people, the environment, and animals.”

Flora is a cannabis company that leverages natural, cost-effective cultivation practices to supply cannabis derivatives to its diverse business divisions of cosmetics, hemp textiles, and food and beverage. As the operator of one of the largest outdoor cultivation facilities, Flora strives to market a higher-quality premium product at below-market prices.

“Conversations around corporate social responsibility and having a transparent supply chain are more prevalent today than ever before as consumers carefully consider how to spend their hard-earned dollars. When reviewing potential distribution partners to launch this campaign, it was evident to us that Zulily was able to effectively take consumers on a digital discovery journey that could accurately capture the story we’re trying to tell, make a personal connection, and provide us with the opportunity to expand this campaign into a larger initiative across our entire brand and product portfolio,” said Jason Warnock, Chief Revenue Officer of Flora Growth. “Stardog has an extremely passionate and engaged community in Colombia and we’re looking forward to working with the team at Zulily to help create the same demand and engagement we see at home. By taking a customer-centric approach and implementing a comprehensive marketing strategy coordinated across the entire customer journey, we believe that we’re effectively positioning Stardog to be as leading global hemp textile brand and look forward to announcing further distribution deals.”


Debra BorchardtAugust 30, 2021
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As hemp prices continue to fall, farmers are leaving. When the Farm Bill of 2018 passed, farmers rejoiced at the ability to legally grow hemp. Visions of massive demand for CBD products caused farmers to plant thousands of acres. Indeed, it seemed a sure-fire thing. Seemingly overnight numerous products on retailers’ shelves had some version with CBD included. Body products, foods, and supplements all touted the benefits of having CBD added. Then it all fell apart as several problems combined to crash the market.

The problems ranged from a lack of guidance from the FDA, falling prices, less demand for CBD than expected, weather-related issues, and a pandemic. The crops planted in 2019  led to a glut of biomass that persists today. Farmers that were unable to make any money have left the business leaving only the truly committed. 

Price Crash

The glut of biomass caused the prices to slide as the market worked its way through the supply. Hemp Benchmarks’ latest August report wrote, “CBG Biomass and extracted CBG products also saw their observed wholesale prices continue to slide this month. In regard to Crude CBD Oil, Hemp Benchmarks observed USDA Certified Organic and THC Free product that helped to buttress the category’s spot price somewhat, but this month’s assessed price for Crude saw an overall decline on an increase in the frequency of reported deals settling under $100 per kilogram.” Indoor-grown CBD flower is down 3% from July, greenhouse-grown CBD flower has dropped 5% from July and only outdoor grown CBD flower saw its price rise by 7% from July according to the Benchmarks data.

One example of the drastic fall in prices comes from North Dakota, where Veronica Michael told the Hemp Benchmark, “When we first started extraction [in the spring of 2019], crude had been around $1,400 [per kilogram],” she remembered. “I got a call from two buyers in the last two weeks. One was in Colorado and one was in Washington. Both were offering from about $80 to $120 [per kilogram] for crude. That’s ridiculously low. When you look at distillates and isolates, the numbers aren’t good either. People want to buy distillates and isolates for less than we can make them for unless you’re a really big producer. It makes me nervous and scared for the future.”

Farmers Leaving

Hemp Benchmarks reported that it counted 10,881 hemp farming licenses issued nationwide for the 2021 season, down 45% from 19,799 hemp cultivation licenses documented in 2020. Brett Eaton, CEO and founder of Green Cherry Organics in Fort Collins, Colorado Told Hemp Benchmarks that “24 of the 28 hemp farmers he works with regularly are not planting hemp this year. Eaton’s company created the first USDA-certified organic hemp greenhouse in the United States. It also sells its CBD products and clones nationally, and works with hemp farmers in 11 different states.”

With no one to buy the hemp or prices so low that it doesn’t cover the expense of growing, many farmers returned to more traditional crops whose prices have soared. Corn and wheat crops affected by droughts have seen prices at three-month highs. The droughts in some areas contrast with overly heavy rains in other areas. The market has also seen a shift where hemp is being planted. Colorado hemp acres have fallen from 2020 to 2021, while Texas and Illinois have dramatically increased planting. Oregon, which has been a big state for hemp farmers, is seeing those acres face the criticism that the hemp plantings are masking actual illegal THC heavy cannabis farming. 

Outlook

For now, the outlook remains challenging. Many of the farmers cited in the August Hemp Benchmark report said that if the FDA would settle the issues around hemp regulations the market could recover. However, the FDA seems to be punting back to Congress and isn’t moving to take a stand. No one can do anything about the weather or pandemic forced quarantine issues. The industry could be helped by consolidation, but that doesn’t look to be happening. The THC side of the cannabis industry is awash in M&A deals, but the hemp side has just seen businesses close versus being acquired or merging. 

One thing that could help with the 2019 glut is that some of the remaining product is now turning brown and moldy. That suggests that at some point CBD brands will need to buy new CBD products and with fewer farmers planting less acreage, prices would surely rise. Still, the hemp farming industry is clearly becoming one for long-term players. It is not the quick turn on investment that the THC cannabis industry enjoys. 


Julie AitchesonAugust 3, 2021
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July 2021 saw record-setting temperatures in parts of the country, alarming spikes in Delta variant Covid infections, and large numbers of Americans returning to summer vacationing after having last summer’s dreams of ocean breezes and lakeshore barbecues dashed by the pandemic. It was also a notable, if not promising month for hemp. Hemp Benchmarks, a division of New Leaf Data Services and leading provider of financial, business, and industry data for the North American hemp markets, recently issued its report for July, which touches on some of the most high-profile talking points of the hemp market to date.

Wholesale cannabis prices have been experiencing a steady decline overall, with the exception of Crude CBD Oil and Broad Spectrum CBD Distillate. These products saw modest price rises in July but still fell short of the prices they topped out at a few months ago. There have been increases in transaction frequency and volume for CBD Biomass and extracted CBD products thanks to strong demand for delta-8 THC, which is synthesized from these products, but this has not been sufficient to move the needle on prices. Despite a steady demand, assessed prices for Delta-8 THC Distillate and Smokable CBD flower both dropped for the second month running, with indoor and greenhouse-grown products earning higher rates from buyers.

Delta-8 Demand

You might wonder why, with its steady-and-still-growing demand among consumers, Delta-8 THC has not been the rising tide that lifts all boats in terms of hemp sales. It may be due in part to state-by-state regulations and restrictions regarding its sale and use. As of July 1, The Connecticut Department of Consumer Protection established that businesses may no longer offer or sell products made using hemp or hemp-derived products with any concentration of THC, including deltas-7,8,9 and 10. A Senate bill signed into law on June 22, 2021 affirmed that products containing deltas-7,8,9 and 10 may only be sold by licensed cannabis retailers or medical marijuana dispensaries. New York has instituted similar restrictions. Delta-8 is also facing some opposition in states with legal cannabis markets as it is cheaper to manufacture than cannabis, is not taxed, and is cheaper to produce.

On the agricultural side, there has been an ongoing decline in the amount of acreage devoted to hemp production in 2021 due to farmers downsizing operations, fewer startups, and those who have cultivated in the past choosing not to grow this season. Meanwhile, existing hemp acreage endured threats posed by extreme weather conditions and the continued onslaught of Covid-19. 

In better news, fiber hemp is getting increased interest from farmers this year as a less volatile corner of the hemp market, being less prone to fluctuation due to changing regulations governing its use. Innovations in the industry abound as interest surges, such as the development of more precise and efficient processing equipment and proprietary technologies that meet the unique needs of customers. This is not to say that no hurdles exist, including developing cultivars that produce higher yields to make fiber hemp economically viable for farmers and the lure of growing other more financially rewarding row crops over hemp. And while there is less controversy around fiber hemp as opposed to hemp grown for CBD products, there is still a strong need for uniformity of regulation between states and better infrastructure in order for this market to flourish. 

The overall decline of the hemp market points to dramatic consolidation, a trend borne out by new data from The Brightfield Group revealing that the number of brands in the CBD industry has dropped from 3,500 at the end of 2019 to 2,000 today. Still, with new innovations on the rise and Delta-8’s stubborn but steady ascendance, there is hope that the rebound of the hemp market will not be a matter of “if” but “when”.

 


Julie AitchesonJuly 9, 2021
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Parades, fireworks, and barbecues aside, July is notable for two other commemorative events much newer to the calendar than Independence Day. July is National Hemp Month, and the period from July 17-23 has been designated as Hemp History Week. National Hemp Month is the brainchild of cannabis company cbdMD, initiated on February 4, 2019 to promote the benefits and dispel myths surrounding hemp-based products. Hemp History Week is in its 12th year as an industry-wide, week-long educational campaign about hemp. As stated by its website, “The campaign aims to raise awareness about the environmental, sustainability, health benefits, regenerative agricultural potential, and new technological applications of industrial hemp.”

Hemp is thought to have first made the scene as early as 8,000 B.C. in Asia. The Chinese were the first people to be associated with cannabis and “Ma” is the Chinese word for hemp. Once the Chinese discovered the dioecious nature of the plant, the males were called his and the females were chu. The Chinese knew that the male plants were best for fibers for clothes, while the female plants made better seeds. The men would harvest the hemp, but the women were the weavers. They would begin weaving in autumn and through winter in order to make their own clothes and to sell whatever was leftover.

Fast forward to America and most pre-Revolution pioneers processed their hemp for their own purposes leaving little left over to sell. England may have wanted its colonies to send hemp back, but little was leaving the new country. The Americans were getting so good at making their own hemp products that they began importing less from England. The Americans were even moving beyond personal production and moving towards the manufacturing of hemp products. In 1718, a number of Irish spinners and weavers arrived. These women showed the colonists how to produce even finer hemp fabrics causing a spinning craze among the Boston women. The 1765 Boston Stamp Act caused a boycott of English products, which pushed the colonists to make even more hemp clothes. 

Farmers were even required to grow hemp or be fined. Clothing, ropes, ship sails, currency, and paper were all made out of hemp in America. It was one of the most important crops in building the strength of the early days of the United States.

That is until it was ultimately made illegal in the 1930s. The most popular narrative is that the Department of Prohibition in D.C. found itself at loose ends after Prohibition ended and started to target marijuana in order to justify the human and economic resources required to keep the department going.  D.O.P. head Harry Anslinger went to great lengths to demonize marijuana in the eyes of the American public, but some economists and historians also suspect that the that the prohibition was due to powerful political and economic interests around oil, timber, and cotton. Whatever the reason, hemp took a major hit and is still struggling to recover its reputation and standing in the marketplace.

The 2018 passage of the Farm Bill with the Hemp Farming Amendment intact removed hemp from the Controlled Substances Act, and since then the industry has grown by leaps and bounds in sectors ranging from health and wellness to textiles and building materials like “hempcrete”. Cannabis companies like Colorado-based Receptra Naturals are enthusiastically jumping on board to offer discounts during National Hemp Month and events are popping up around the country in a targeted effort to celebrate and educate people about the history of hemp. In past years, product manufacturers such as Dr. Bronner’s, Nutiva, and Manitoba Harvest have offered discounts to celebrate hemp. 

 Whether by encouraging hemp consumers to continue supporting the industry with their purchases or educating the populace on hemp’s role in the past, present, and future of the U.S., cbdMD and the industry collective supporting July’s hemp-positive calendar commemorations are hoping that targeted efforts to raise awareness and garner voter support for hemp will make 2021 one that will go down in Hemp History as one that established hemp as an economic and agricultural staple in the United States. 


Debra BorchardtJuly 1, 2021
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Editors Note: This is a guest post.

“Nature gives you the face you have at twenty; it is up to you to merit the face you have at fifty.” – Coco Chanel

 

When talking about skincare, it’s hard not to mention women. The clear reason is their excessive concern about keeping their skin in good condition. And why not when there are so many ways to do it. 

Regardless of age and gender, people have started to take their skin seriously. Therefore, the skin care market has gone to the next level. In this context, many global reports claim that the world’s skincare products market to have a turnover of up to 189.3 billion US dollars by the end of 2025. 

What is the new trend in the skincare market?

Gone are the days when people used to rely upon cosmetic products the most. Nowadays, most skin-conscious people are looking forward to organic products and ingredients adding to their skin’s grace. This has made hemp seed oil a major hotshot of the skin care industry in many ways. 

Hemp seed oil – An overview 

Hemp seed oil is referred to as hemp oil, which is extracted from the cold-pressing hemp seeds. It contains many refined goodnesses enhancing the overall health and skin of the consumer. It looks green in color and has a unique nutty flavor, making it a popular choice among people from different age groups. 

How does hemp oil benefit your skin?

Benefit 1 – It moderates the oil production 

It works as an amazing skin moisturizer that enters the skin pores nourishing it from the inside out. You can still use it if you have oily skin, as it masters the art of balancing the oil contents on the upper layer of the skin. Many people prefer it for regulating the oil production in the skin. For all these benefits, you should look upon an authentic product. You may end up having a lot of options when searching for CBD hemp oil online, but ensure to verify the source to get the best product for yourself. 

Benefit 2 – It treats atopic dermatitis.

As hemp seed oil is enriched with some good-quality omega-3 and 6 fatty acids, this works as a perfect remedy to atopic dermatitis. Consuming its nutrient values can disappear the signs of atopic dermatitis within 20 weeks of consistent use (approximately).

Benefit 3 – Anti-aging property enriched 

Hemp oil is enriched with quality anti-aging properties, which helps to reduce the prevalent signs of aging like fine lines and wrinkles. The fantastic amount of oleic acids and linoleic acid found in hemp oil plays a vital role in fighting back aging signs in men and women. You can improve your diet to tenfold the results. 

The final takeaway – 

Whether you have applied it topically or ingested it orally, the effects of hemp seed oil remain the same on your skin and health. It is considered a safe and effective solution to many skin-related problems. One can use it as a moisturizer that heals the skin from the inside out. All you need to do is remain concerned about the usage. 

 


Kaitlin DomangueMay 18, 2021
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Brightfield Releases New CBD Report

Cannabis and CBD consumer data analytics company, The Brightfield Group, is announcing the release of their newest report analyzing the CBD market in 2020 and laying out their predictions for 2021. Some key information from the report includes: 

  • U.S. hemp-derived CBD sales are expected to reach $5.3 in 2021, up 15% from 2020’s $4.6 billion
  • By 2026, American CBD sales will reach $16 billion, driven by accelerated growth of ingestible products
  • Drinks and gummies are expected to be the fastest growing product types in 2021, with 71% and 44% value growth, respectively
  • Tinctures will retain the highest share of the market in 2021, holding 18% of retail sales
  • Online sales will surpass $2 billion in 2021, accounting for 38% of the total American CBD market

The report also highlights the coronavirus pandemic’s impact on the American CBD market, the FDA’s stance on regulating CBD in 2021, and various other pieces of information about the rapidly expanding market. The Brightfield Group predicts the hemp-derived CBD market will grow at a compound annual growth rate (CAGR) of 25% from 2021 to 2026, with growth driven by: 

  • New consumers 
  • Expanding retail into new channels
  • A regulatory framework from the FDA, accelerating the growth rate of ingestibles
  • New players to bring innovation to the market

Price and Potency Changes

According to aggregate data from Hemp Benchmarks, the Brightfield Group’s report says the aggregate assessed price for hemp CBD biomass declined by a whopping 82% from April 2019 to May 2020, taking the price from $38 a pound to just $7 per pound. 

While the coronavirus pandemic surely played a part in this, you have to wonder if the newly-established American CBD industry in 2019 played a role in the price per pound during that time. It was a hot market, performing beautifully and faster than anticipated, thanks to the federal government removing hemp from the Schedule I Substances list in 2018. The hemp space in 2019 is a tough year to compete with, and throw a global pandemic on top just one year later: you might see some lower hemp prices than average. 

  • 30 ML tinctures saw, on average, a 33% potency increase, going from 450 to 600 milligrams of CBD. The price dropped from $25 to $20. 
  • 120 ML tinctures saw, on average, a 33% potency increase, going from 1800 to 2400 milligrams of CBD. The price dropped from $70 to $60. 

Innovation 

In typical cannabis industry fashion, the CBD market is ahead of innovation and constantly thinking of new ways to keep customers satisfied. However, CBD brands are going beyond wacky flavors and new designs: the companies are focusing on functional ingredients that will make a difference for the consumer. 

Immunity is a huge focus for the CBD space in 2021, and 2020 saw the same thing. Ingredients like elderberry, echinacea, Vitamin C, and zinc are popular choices for consumers. Minor cannabinoids like CBG and CBN are still hot for 2021, tapping into the entourage effect full-spectrum cannabis products provide us. 

Top CBD Companies in Q4 

In terms of market share, here were the leading CBD companies during the last quarter of 2020: 

  1. Charlotte’s Web (3.6%)
  2. Medterra (1.7%)
  3. cbdMD (1.6%)
  4. CBDfx (1.5%)
  5. CBDistillery (1.2%)

The report listed 20 CBD companies, others include: CBD American Shaman, Bluebird Botanicals, Garden of Life, Ananda Hemp, and Martha Stewart CBD. 

Distribution Channels

Online CBD sales are expected to reach $2.02 billion in 2021, accounting for 38% of the total market. This is down slightly from 42% in 2020, but it’s a good sign that things might be returning to the beginning of normalcy as people return to in-person retail shopping. Curbside and contactless options are still available in many places, which might contribute to this number. E-commerce will dominate the distribution market in 2021, with pharmacy following behind it, then CBD speciality retailers, natural food stores, pet stores, and more.


Noemi GonzalesApril 2, 2021
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4min14600

Marijuana Hater’s Guide to Making a Billion Dollars from Hemp: The Next Disruptive Industry

By Matthew Harmon

 Seeing as how are living in the midst of a historical green rush due to the rapid acceptance of cannabis since legalization it should come as no surprise to see so many people out there carving out their own fortunes and paths by taking advantage of these new exciting opportunities.

It should also come as no surprise to find books coming out that can help you to navigate the murky waters of cannabis and hemp entrepreneurship to guide you in growing your own endeavors in these rapidly growing industries while minimizing the potential pitfalls you experience.

Got your interest yet? Let’s get into it then!

-Topic Focus-

Today’s book topic does a wonderful job of laying out possible opportunity paths in the hemp and cannabis industries put together by a seasoned entrepreneur with skin in the game and a genuine desire to see others do the same.

Here you will find interesting looks into topics such as potential cannabis skincare products, the hemp industry, breaking down common misconceptions of these industries, and so much more.

 Many paths and doors seem to open up by growing your own understanding of the entrepreneurial landscape of the legal cannabis realm.

-About the Author-

The author of “Marijuana Hater’s Guide to Making a Billion Dollars from Hemp: The Next Disruptive Industry” is veteran entrepreneur Matthew Harmon.

His background experiences include but are not limited to endeavors such as operating as an investor guide in the hemp industry, a documentary filmmaker, a growing businessman, and an author of several other books.

Harmon’s passion for combining the exciting worlds of business and cannabis becomes quite evident as you move through this book and start taking on the wealth of knowledge he shares here.

-Reading Experience-

You cannot help but feel a degree of the excitement that bleeds through from the author regarding the plethora of opportunities that have arisen these recent years since cannabis was legalized in many states.

There are so many more ways to make your way in the legal cannabis industry that is not always as obvious so it can be exciting and inspiring to learn about all the niches that reside within the industry and just how many possible paths are available to each of us.

The level of expertise that the author possesses quickly becomes abundantly clear so be ready to take some notes and leap into action after reading.

-Summary-

If you’re looking to make your way into the wonderful world of the cannabis business then this book will do a fantastic job of serving as a resource that will help you to make better decisions and produce superior results.

The author clearly knows his stuff, has the background to back it up, and eager to share what he knows with us readers.

 

You can acquire your own copy of “Marijuana Hater’s Guide to Making a Billion Dollars from Hemp: The Next Disruptive Industry” here.

 


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