CBD is becoming a more commonly known substance since the passage of the recent legislation in 2018 that legalized the production of hemp as long as it contained lower than 0.3% THC by weight.
Since that time, customers have been able to walk into brick and mortar retail stores across the country and pick up products containing this cannabinoid compound. Scientific evidence is beginning to mount that there are plenty of health benefits associated with its consumption.
Agricultural Industry Booming Since Passage of 2018 Farm Bill
Perhaps even more impressive than these cannabinoid compounds’ health benefits are the economic benefits offered to the farmers who grow the products.
Before the bill’s passage in 2018, the rules and regulations regarding how you could grow hemp were much stricter. Now the entire industry has been more or less opened up to anyone willing to participate.
As Production Increases Competition Soars
CBD Products have increased across the industry since the passage of this legislation. One thing that is very obvious to most consumers is the much wider variety of products available to them today. Top that off with the lower sticker prices, and you can see why so many people are excited about the recent changes to the industry. There are more options for consumers than ever before, and the available options are affordable. You could get relief for the best price that has ever been possible.
Wholesale Prices Have Decreased by as Much as 50%
Since it has become legal for farmers to grow hemp, the amount of hemp production in the United States has increased dramatically. According to the latest government statistics, total land under cultivation for hemp production has increased by over 400% since its passage.
This increased production has led to a massive boost in the supply. This increase in supply has allowed manufacturers to reduce prices for customers by 50% if you go by wholesale prices. That means there is more room for profit than ever before in this industry for the savvy business owner.
What Kind of Regulations Are in Place for The Industry
Right now, there are not very many federal regulations that specify how you can grow hemp. As a result, states have begun to step into the industry with their laws.
Most of the laws specify that for the plant to be considered legal, it needs to contain lower than 0.3% THC by weight, proving difficult for beginning farmers to achieve. It is entirely possible for a legal plant one day to turn into an illegal one the next.
Other Ways Farmers Profit from Hemp
Luckily although there are some crop losses due to an excess of THC, there are other ways that farmers have been able to capitalize on this industry since it has been legalized.
Hemp is an incredibly versatile plant that is well known for the strength of its fibers. They can be used to create solid cloth material. The oil from the plant is also a great help supplement. Some farmers harvest hemp and extracted soil so they can sell it in health food stores.
Final Thoughts About the New Green Rush
New opportunities are abundant in this industry. Farmers need to verify with their local state laws what the regulations are in their area. That way, they can avoid running into any difficulties, and they will be able to turn a profit from their farming activities.