The cannabis industry isn’t just limited to edibles, though those are a popular option. The newest industry trend, however, is leaning more towards CBD oil concentrates. This has created a new market with hundreds of small-scale producers of concentrates all around the country.
Of course, this industry has only continued to grow as more states legalize marijuana for both recreational and medical use. The Farm Bill of 2018 also increased its popularity as hemp loses its Schedule 1 drug status, making it legal to use across the country, including as a CBD hemp oil concentrate. This is why even more CBD concentrate producers are popping up in 2019.
Experts even anticipate the changes may allow hemp-based CBD to outpace marijuana-based CBD concentrates. Part of the appeal of CBD in general is it doesn’t have the same psychoactive effects as THC. Since the hemp version is now legal and more readily available, the industry could reach $22 billion by 2022. The cannabis industry on its own is only expected to reach $20 billion by 2020. To have an offshoot industry take off like this shows how much the industry is set to grow.
A Dynamic Market
Based on those numbers alone, it shouldn’t be surprising that more producers are entering the field and smaller producers who started up the industry years ago are now major players. In 2016 alone, Advanced Extracts, based in Oregon, was selling upwards of $20,000 a month, and that was just for medical use. The company only started in 2015.
Large companies could earn over $600,000 a month after they’ve established themselves. Part of the surge in sales is due to CBD vape oil concentrate, which makes it more convenient for users, especially older users and those in their 20s, who prefer to use vape pens. In just a year’s time in 2017, CBD vape sales grew by 203%, which is much higher than the 93% for vapes in general.
Using the Right Technology
Of course, the best way to profit in this growing industry is by using the right technology to extract the highest quality product possible. After all, the more you can extract, the more product you can make. To stay competitive, producers will have to invest in the latest technology.
Changes in the extraction process, especially with CBD hemp oil concentrate, are allowing producers to scale production to meet demand. For instance, Mile High Labs introduced the Mile High Monster, which increased capacity by 500%. The goal is to extract the purest form possible for a high-quality product that stands out from the competition.
As companies adopt new technology, others are quick to mimic it. For instance, The Clear, a California-based company, created a unique process to extract incredibly high-quality product, leading others on a race to copy the process. Naturally, other companies and researchers are hard at work, coming up with cutting-edge technology and processes to meet demand without sacrificing quality.
Introducing New Products
New technology and processes lead to new products. The trend remains to produce CBD concentrates with the highest purity levels possible, such as those high in terpenes. This leads to a more flavorful experience.
Naturally, companies will have to take into consideration newer users who want a less traditional approach. This is also one of the reasons CBD oil concentrates are growing in popularity. It’s also why the newest products focus on the user experience, such as with vaporizers. New, more convenient delivery methods will continue to aid in the growth of the industry.
VELX creates custom-made atomizer appliances that deliver maximum performance from your specific extracts in a form that caters to what consumers want most. By creating custom solutions, both producers and consumers benefit.
We consistently research industry trends to develop the next generation of atomizing products. We also research any technical issues with products to avoid problems and offer the most issue-free technology possible. Our approach is to provide a safe experience, while ensuring the best appliance for your extracts.