Lucrative Business Opportunities In The Fast Growing CBD Industry
The CBD (Cannabidiol) business segment is one of the fastest-growing industries in the world. CBD is an ingredient of cannabis and hemp plants. It is becoming popular as a supplement due to its multiple benefits. In the coming times, the demand for CBD products is going to increase even further. The estimated sales figures will be close to $ 20 billion by the end of the year 2024. Many CBD products are now legal following the law and the Farm Bill of the year 2018. These are the new business opportunities that are available to entrepreneurs and businesses alike. They can enter this young and thriving market segment and offer quality and safe products to gain a reputation and amass profits.
Know More About CBD (Cannabidiol)
The cannabis and the hemp plants contain hundreds of cannabinoids as ingredients. CBD or cannabidiol is one of the ingredients of these plants. THC (Tetrahydrocannabinol) is a type of CBD that may be a cause of intoxication. However, CBD is a cannabinoid that can provide many health benefits and relaxation while not exerting any harmful/toxic effects on the human body. CBD products are being used increasingly across the world for their health and therapeutic benefits due to the absence of any side effects. You can grow hemp plants and extract CBD from them. CBD can be then sold in the form of concentrate, oils, lotions, creams, and in other application and dosage forms. Some popular CBD products containing CBD and sold in pharmacies and other stores today include topicals (including creams and gels), infused edibles, and sublingual tinctures.
Range of Products
Those who are interested in entering the CBD industry have immense opportunities. They can grow the hemp plants, extract the CBD ingredient and sell a formulation based on it. They can also sell the cultivation to a pharmaceutical company or any other business that needs it. Extraction of CBD is a cost-effective process. You can formulate and sell a variety of products based on CBD. Some of the popular CBD options and products are listed below.
Sublingual Tinctures: tinctures containing CBD are formulated in the form of a bottle (with a dropper for application). A drop of the CBD tincture can be placed beneath the tongue through which the oil can absorb inside the body.
Edibles: CBD edibles may include candies, baked goods, and other foods. These edible items are scrutinized and inspected by the FDA (US Food and Drug Administration).
Vape: the CBD waxes and oils are called vaporizer concentrates and are also popular. Consumers can use electronic devices for vaporizing the ingredient and for inhalation.
Topicals: sprays, creams, and gels containing CBD can be used as a pain and ache relief medication. These products are applied to the local pain areas.
Capsules/Pills: CBD pills and capsules are often used by people suffering from digestive problems or those who experience seizures.
Compliance with Laws
There are some differences between CBD obtained from cannabis and the hemp plant. Both plant varieties contain THC as well, which is a known intoxicant. However, the hemp plants contain only a slight amount of THC (less than 0.3%). Therefore, the production and selling of CBD obtained from hemp plants is permitted by the law. On the other hand, cannabis contains higher amounts of THC (more than the permissible limit of 0.3%). Such formulations are not legal.
Marijuana is a Schedule One drug and is listed in the “Control Substances Act”. Industrial hemp is not part of the list. Therefore, you can produce and sell CBD obtained from hemp plants without any legal troubles.
Business Opportunities in the Hemp CBD Industry
The CBD market was close to $ 1.9 billion back in the year 2018. It has acquired a 4% growth rate now and will be more than $ 20 billion in the next few years. People are now becoming more aware of the benefits of CBD and how it can be utilized safely for its therapeutic and health benefit. CBD products are naturally healing and can provide relief from conditions including stress, pain, insomnia, and many others. Apart from pharmacies, CBD products can also be found selling at restaurants, gas stations, as well as local stores nowadays. These products are also now being sold online with more than 60% of the total sales coming through online websites and e-commerce channels.
CBD products are not only part of the over-the-counter (OTC) range of products now. The pharmaceutical companies are also using CBD formulations and the ingredients of the hemp plant to come up with potent and effective products for treating a range of health issues. You are likely to see a lot more brick-and-mortar shops selling CBD products in near future.
The CBD market will continue to grow. Starting a CBD business requires only a reasonable expenditure and investment initially. It can bring you profits and returns over the long term. However, you should be aware of your legal obligations and should be ready to sell and market your products in different regions. If you can approach it correctly, the CBD business can be a huge and highly profitable business opportunity.