As reviewed in the first article of this series, cannabis has a checkered past in the United States. But what is the future of Hemp-Based CBD in the USA?
Currently, the CBD industry has dealt with little regulation. And despite questions concerning its legality, it’s still booming with growth. As long as THC levels remain under 0.3%, manufacturers can offer a wide array of products.
CBD’s past has shown that governments, business, and consumers want more expansion. It’s evident that Hemp-Based CBD is currently flourishing. And manufacturers are already investing in the future of Hemp-Based CBD produts.
The Past Predicts the Future
In the early 1960s, Dr. Raphael Mechoulam isolated and revealed the chemical structures of CBD and THC. In 1988, CBD’s effectiveness was discovered and pharmaceutical companies were licensed to farm cannabis to make use of CBD.
In 2014, the U.S. Department of Agriculture allowed states to authorize hemp planting on a trial basis. Once hemp was federally legalized in the 2018 Farm Bill, its popularity skyrocketed. Farmers rushed out to convert fields to help. Retail stores sprung up overnight, and CBD oil was now in edibles, beverages, and capsules.
In 2014, the CBD market was only $108 million. But 2018 saw a 500% increase over that at $512 million. And it’s on pace to exceed $800 million in 2019.
The Current State of CBD
CBD is already in a plethora of products. Topicals, skin care, bug bites, face masks. And the market is huge. Athletes are using it in sports and triathlons. The elderly are using it for arthritis. Women buy it for PMS and endometriosis.
But so far, only one medication, GW Pharma’s epilepsy treatment, Epidiolex was approved by the FDA. Marijuana is still classified as a narcotic. And there has been some trepidation from Big Pharma and retailers to get involved in the CBD market.
Reputable CBD retailers have had to deal with competition from fraudulent businesses. This has led to many businesses pushing for transparency in the market.
Many also see the need to test products at multiple stages using multiple labs. Since THC levels cannot exceed 0.3% and to make sure the products don’t contain heavy metals. The lack of standards has pushed manufacturers to publish tests so consumers trust their products.
Other customers are concerned whether their products contain the proper amount of CBD. Some do not what any THC present. Trust and transparency will be key to the growth of the CBD industry. Even with these concerns, industry analysts believe the CBD market could reach $22 billion by 2022.
CBD Regulation Appears Imminent
There are many businesses that are concerned with the FDA’s involvement in the CBD industry. Many feel that since it is all natural, the FDA has no place regulating the industry. But the FDA has taken notice of claims made by some retailers that have no scientific basis.
Also, the lack of standards has both the FDA and reputable businesses in the market considering the benefits of regulation. However, states and cities throughout the United States are also imposing restrictions. The New York City Department of Health ordered that restaurants and bars can’t sell CBD edibles.
CBD Manufacturers Plan Future Standards
Some CBD manufacturers are taking the future of CBD in the USA into their own hands. Instead of waiting for rules and policies from the FDA, some are setting similar rules to others already regulated by the FDA.
Manufacturers have implemented many of the same controls that are used in food processing for products like CBD oil. That includes processing products in ISO-6 cleanrooms and implementing FSMA compliance. This ensures that products can be traced from the shelf all the way back to the farm.
Some manufacturers want to get involved in the pet treat market. That market requires a whole different set of standards. Many are already investing to make sure their facilities meet these regulations.
A benefit to this strategy isn’t only forming a basis of standards for the FDA and being ready for standards they will likely implement. But it ensures that the product they now put in their customers’ hands is the best product possible.
Be a Part of the Future of CBD in the USA
CBD’s past and present are sizing up even more future success for the CBD industry. Manufacturers are constantly improving their products and standards. Many CBD businesses are optimistic about the implementation of standards for CBD.
Spring Creek Labs has set the highest standards in the CBD industry and is planning for the future of CBD in the USA. Stake your place in this growing industry. Achieve success with your own custom CBD line. Get a quote for your own line of CBD products today!