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CBD is a big deal lately. It is an ingredient in everything, from ingestible products to health and self-care products. Unlike THC, the other compound present in cannabis, CBD lacks psychoactive properties.
CBD’s current buzz-worthy status is because of research studies that vouch for its benefits in various physical and mental health therapies. Based on this fact, stakeholders like CBDistillery are jumping onto the CBD bandwagon. Judging by the CBD industry growth trajectory, these stakeholders are on the right track. Keep reading for details on CBD’s outstanding potential.
1. Health Benefits
CBD enjoys a silver bullet status in the health and wellness space. It is particularly sought after by people seeking natural pain management remedies. Research studies show that CBD oil reduces pain, inflammation, and general discomfort caused by chronic illnesses like cancer, arthritis, multiple sclerosis, and Alzheimer’s.
Apart from pain management, CBD is helpful in various mental health and neurological disorder therapies. Research studies suggest that CBD is beneficial in treating anxiety, depression, sleep disorders, PTSD, schizophrenia, ADHD, autism spectrum disorder, and more. Multiple clinical trials validate the use of CBD as a therapeutic agent in managing these ailments.
Even better, CBD does not have a psychoactive effect. The psychoactive effect makes people feel “high” when they take other cannabis (THC) products. As a result, people are more open to using CBD health products.
2. Versatile Applications
CBD exists in multiple forms; it is available as tinctures, gummies, lotions, powders, edibles, beverages, topicals, and more. Its versatility allows suppliers to meet the demands of multiple target markets.
Apart from the health and wellness industry, CBD is also a key ingredient in the beauty and pet care industry. CBD has properties proven to treat acne, slow aging, and soothe sensitive skin. It is a primary ingredient in many haircare, skincare, and makeup products either made or stocked by reputable brands. Statistics project that the CBD beauty industry shall be worth $1 billion by 2024.
Moreover, the health benefits associated with CBD products are not limited to human beings; even animals need CBD products. CBD has similar benefits for both humans and animals. CBD can treat anxiety, pain, inflammation, nausea, seizures, and appetite loss. CBD for dogs is available as doggie treats, tinctures, gel capsules, topicals, chews, and powder supplements. The CBD pet care industry was worth $37.4 million in 2020.
3. Exponential Growth of the Industry
The CBD industry has grown into a billion-dollar industry in under five years. CBD’s market size value increased from $2.8 billion in 2020 to $3.5 billion in 2021; statistics project a 21.2% growth in the industry by 2028. The projected growth rate is outstanding given that CBD producers and retailers often operate in a rather hostile business environment. While CBD is federally legal, it is still a banned substance in some states.
Other states only allow the use of CBD for medicinal purposes. Therefore, one may face a controlled substance charge if found with CBD products, not under a prescription. Worse still, the Food and Drug Administration (FDA) is also often slow to approve some CBD products for public consumption. CBD’s regulatory issues propagate negative stereotypes about CBD and prevent CBD producers from tapping into new market niches. If the laws governing CBD production were friendlier and CBD became mainstream, the industry would explode.
4. CBD’s Legality is Spreading
Coincidentally, the law seems to be tipping in favor of the CBD industry. The most recent development in pro-CBD legislation is the 2018 Farm Bill, which became law in December 2018. This legislation holds two crucial milestones for future CBD production.
First, it removed hemp and other cannabis derivatives with THC levels below 0.3% from the definition of marijuana in the Controlled Substances Act. Second, the 2018 Farm Bill legalized the farming, production, and sale of products containing hemp at a federal level.
The 2018 farm Bill is significant because it attaches dignity to CBD products. However, the 2018 Farm Bill only applies to federal laws. So, individual states use their discretion to make legislation on the legality of CBD. Hopefully, future state legislators may favor CBD production and distribution.
5. Interest from Retailers
Retailers are closely monitoring the ever-growing CBD target market. Several retail chains already stock CBD products in some of their stores. Luxury brands are not slaking either; some brands even sell CBD edibles for up to $50. Spas and wellness centers also use and sell CBD products to their clients. Surveys conducted among small-scale CBD retailers suggest that they anticipate fierce competition from large chain stores in the future.
There is a massive craving for CBD products all over the globe; consumer awareness of the benefits of CBD is also rising. CBD is not an urban hipster phenomenon anymore; the consumer demographics now include more age groups and conservatives. Regardless of your stand on CBD, the CBD buzz is not fizzling out any time soon. So, if you have the resources to jump into the CBD industry, it is worth a try.