Hemp Farming
Since
the legalization of hemp in 2018,
farmers have faced new challenges, especially those switching from cultivating
fruits and vegetables. Hemp farming requires intensive labor and constant
monitoring of the THC levels of the plant. Moreover, harvesting is a manual
process that requires many hands to complete the task.
Finally,
plants with high concentrations of THC must be destroyed, leading to huge
losses for farmers. This and other challenges increase the cost of cultivating
hemp. The high cost of growing hemp is reflected in high CBD oil prices.
Surprisingly,
hemp is a very popular product in the U.S., which means it's less expensive to
use American hemp than to import hemp from Europe. As the hemp industry keeps
on expanding, CBD costs will reduce.
1.
Extraction and Refining technology
The
process of extracting CBD from hemp is intensive and requires specialized
equipment. CBD is extracted from hemp using two primary methods
- Dissolution
in ethanol
- Supercritical
carbon dioxide extraction (CO2 EXTRACTION)
While
ethanol extraction is less expensive than co2 extraction, they both result in safe products. Carbon
dioxide extraction method is costly and leaves no room for mistakes. Therefore,
small batches of CBD oil that result from this method are generally more
expensive. Manufacturers pass these costs to the consumer, making CBD oil
prices rise.
2.
Distribution and Marketing
CBD
manufacturers suffer from regulatory issues, and the stigma surrounding hemp.
CBD brands have low marketing opportunities both online and offline. Social
media platforms like Facebook don’t allow the advertising of CBD products on
their platforms. This makes it difficult for retailers to reach potential
customers and causes high advertising costs as retailers look for expensive
alternatives.
3.
Research, Development, and Quality Control
CBD
oil requires extensive research and development practices in its production
process. Moreover, CBD oils and capsules also undergo extensive testing
in independent testing facilities to ensure safety and efficacy. Moreover, CBD
must meet the requirement of less than 0.03 THC to be licensed for commercial
purposes. These practices require experts who are usually expensive to hire.
Ensuring the quality of CBD products requires constant funding, which increases
CBD oil prices.
How Much Does CBD Oil Cost?
Prices
on high-quality CBD tincture by CBDfx can range between $0.09
and $0.17 on average. However, depending on your budget, you will always find a
high-quality CBD product at a reasonable price. Keep in mind that high-quality
CBD oil doesn’t necessarily mean a high CBD price.
Bottom Line
Many
factors affect CBD oil prices but how much is CBD oil? It varies. Premium
brands price their products a little bit higher than the market standard while
offering many options to save money on their oils.
Michael Levin is a CBD enthusiast, a researcher, writer and editor in the cannabis space, experienced CBD user and educator. He believes CBD can help improve our overall health and wellbeing.