CBD Trends Of This Year
From Food & Drinks To Health & Beauty - The Trending CBD Market Is Tying Knots With Leading Industries
CBD is one of the fastest growing industries globally known to treat chronic pain, anxiety, and other medical issues. According to Forbes, CBD sales in the US market are expected to cross $20 billion by 2024. Having captured the drinks and food industry, CBD is now making its way through the rest of the markets, including bath oils, skin care products, as well as the cosmetics industry. Cafes, restaurants, and bars are refurbishing their menus by adding the CBD infused products.
CBD in the Legal Gray Area
The legality of CBD itself is becoming a trend. There are two main types of CBD, namely, hemp-derived CBD and marijuana-derived CBD. Both hemp and marijuana-derived CBD has layers of different laws and regulations in different areas.
With some countries legalizing CBD, there are so many laws for the sale and consumption of cannabidiol. The legality of CBD differs from state to state and federally. There are different regulations for the hemp-derived CBD, and there are different rules for marijuana-derived CBD.
According to the 2018 Farm Bill passed by President Trump, hemp was removed from Schedule 1 (class I) substance and was classified as an “agricultural commodity.” According to the DEA, cannabidiol is Schedule I substance and is illegal. But if CBD is derived from hemp, and has the following regulated sets, then it is legal.
Hemp must contain less than 0.3% THC.
Hemp must adhere to the shared state-federal regulations.
Only a licensed grower must grow hemp.
The 2018 Farm Bill also removed the limitations on the possession, sale, and transportation of hemp-derived CBD as long as they are transported across the state and follow the above rules.
Marijuana-derived CBD comes from an illegal plant. So, it has more complex laws as compared to the hemp-derived CBD.
In California and Colorado, marijuana, as well as marijuana-derived CBD, is legal for recreational usage. Other states prohibit the use of marijuana-derived CBD or allow only in specific medical condition.
As of 2019, hemp-derived CBD is legal in 50 states while marijuana-derived CBD is illegal federally. There are 10 states among these 50 states that allow the use of marijuana and hemp products, legally for both medical as well as recreational use. The 10 states that allow the use of both marijuana and hemp products are: Alaska, California, Colorado, Maine, Massachusetts, Michigan, Nevada, Oregon, Vermont, and Washington.
CBD is Everywhere
CBD industry is growing rapidly and is spreading its way through different sectors. Here we will talk about the trending CBD products in 2019.
According to BDA Analytics, vape sales increased up to 69% in the first quarter of 2018. CBD vape sales alone grew to 105% by $4.8 million over the same time period. Vapes have replaced flower in popularity for the first time in California. Consumers have started using Vaping CBD oil more than a flower for a more fresh, and convenient experience.
The statistics show that the CBD market in 2018 was 270 Million US$ and will increase to 3860 million US$ by 2025 at a CAGR of 39.5% during the forecast period. In this study, 2018 is considered as the base year and 2019 to 2025 as the forecast period to evaluate the market size of CBD oil. CBD oil industry is one of the potential sectors for investors and entrepreneurs.
CBD oils are also added to the cocktails and mocktails and consumed for pain relief or just for the change in flavor. Ryan Fleming, brand ambassador at the Stillhouse Spirits Co at Los Angeles says, “If you are using pure CBD oil, it will taste earthy and plant-like, but this can be a great addition to many cocktails—a lot of gin and amaro-based cocktails work very well with this mixture.”
The investors in the cannabis industry have started investing in the new CBD trend that is the CBD-infused beverages. From coffee to cocktails, bars and restaurants are getting innovative with their beverages and have started including them in the menu. The following occurrences suggest that CBD and the beverage industry are looking for something big in the coming years.
Cannabis companies are already manufacturing CBD products such as hangover proof beer.
Bars and restaurants have started serving CBD beverages by adding CBD oils to the drink.
A survey found that three in four chefs referred to Cannabis and CBD-infused food as a hot trend in 2019.
Chef Travis Petersen of The Nomad Cook, which is Canada’s culinary CBD Brand says, “For us here in Canada, this is a unique opportunity to kind of put our flag on the culinary map. We’re the first country of chefs that can fully legally cook with it and experiment with it, and I’m really excited to start working with more flavors, tastes, and smells.”
Here are some statistics of 2018 which shows the demand for CBD infused edibles in the market.
CBD-infused gummy sales grew up to 925% by $5.4 million.
CBD edible chocolate sales increased to 530% by $796,600.
From bath oils to face masks, CBD has started capturing the cosmetics industry too. There are various CBD infused lotions, creams out there to help you get rid of your acne and skin problems. Joshua Zeichner, the director of cosmetic and clinical research at Mount Sinai Hospital, explains that hemp seed oil is used in the lotions and creams because it is a source of naturally anti-inflammatory cannabinoids. He further says, “Hemp seed oil also acts as an emollient to smooth rough cells on the skin's surface and offers moisturizing benefits."
Top Key Players
- CW Hemp
- Plus CBD Oil
- Mary’s Medicinals
- Bluebird Botanicals
- Medical Marijuana Inc.
- CBD Naturals
- Gaia Botanicals
Source: Best Market Herald
Once an illegal product, legal cannabis is now expanding its territory with new innovations coming up in various industries. For anyone curious about the future direction of the cannabis industry in the United States, the place to be in 2020 will be the Cannabis Drinks Expo at San Francisco and California, hosted by the Beverage Trade Network.