The latest CBD news about CBD from this week are here:
- A price difference between brands has been discovered in a new report.
- Kentucky, a leading state in the growth of the hemp industry, will keep functioning under the 2014 Farm Bill, with the USDA setting down rules for 2018 legislation.
Report Discloses CBD Price Difference Among Brands
A new report is describing the difference in pricing among CBD brands.
Leafreport conducted a report in which potencies and prices of more than 3,500 products from over 53 brands were studied.
Products from several categories such as isolates, e-liquids and vapes, topicals, capsules, pets, gummies, and tinctures are involved in this study.
Topicals were the category with the most considerable difference, which averaged 26 cents per mg, the highest price for per mg average ever.
A price difference of 2326% was found among topicals that ranged from $0.046/mg to $1.07/mg.
Lowest price differences were found in the E-liquids and vapes category, with a 250% difference between the most and least expensive brands.
It had an average price of 13 cents per mg.
The lowest price for capsules was 12 cents per mg.
The average price of each reviewed product was also found by the Leafreport.
The averages ranged from $0.02/mg to $0.66/mg for a difference of 3200%.
A comprehensive answer was not found by the Leafreport for these discrepancies.
Leafreport stated that there does not seem to be an effective description of the vast differences in the prices of per mg of CBD in any one family of products.
However, “Weed Greed” was identified as one potential factor.
Leafreport states, “We hate to mention this first, but this is the best clarification of all. What else can justify the huge differences in price when all the other factors are normalized?”
The other factors which could cause the huge difference in prices are listed by the report, including:
- Young companies in need of high cash flow
- Staff/employee costs
- Farming methods
- Organic status
- Varying CBD concentrations
- The extent of third-party testing
- Extraction methods
Recently, a bill that would describe the CBD derived from hemp as a nutritional supplement was introduced to Congress .
This would require the FDA to regulate CBD as a dietary supplement, enabling the agency to impose the standards on all CBD companies for such products.
As a result, pricing among brands would likely equalize among brands as they aim to achieve the same standard of quality.
Kentucky To Function Under 2014 Farm Bill
On Tuesday, it is announced by the Ryan Quarles, Kentucky Agriculture Commissioner, that Kentucky would keep functioning under the pilot program of state for another year.
In October 2019, an Interim Final Rule was released by the United States Department of Agriculture (USDA), which permits states to either submit a plan for authorization or function under the 2014 Farm Bill regulations for another year.
Some states’ hemp plans has already been approved by the agency.
Several members of Congress and US senators have sent letters to US Secretary of Agriculture Sonny Perdue and USDA head requesting changes which lead to USDA IFR to be under scrutiny.
Commissioner Quarles said, “There is a significant change in the industry, but there are some serious obstacles which the national hemp marketplace is facing. After much debate with industry stakeholders in Kentucky, I decided our state will function our current hemp program for another year while we make wisely preparation to move Kentucky’s hemp industry into the next phase in 2021 and beyond.”
The decision of Quarles was applauded by the US Hemp Roundtable, an eminent organization in the hemp industry that promotes the hemp policy and legislation.
Roundtable said, “Quarles acknowledged that many unresolved issues remain regarding the IFR, and that such problems are not likely to be resolved before planting season starts.”
“We assume that other states will follow Kentucky’s lead and operate under the authorization of 2014 Farm Bill as the USDA pays attention to the public and stakeholders as it designs its Final law. This would make a strong statement that the IFR requires a significant overhaul, and given the USDA’s reputable public outreach, we are assured that the agency will listen and respond.”
Public comments are being listened by the USDA until January 29.
The comments to USDA can be submitted here.
