After hitting all-time lows for the past several months, the assessed price of CBD Biomass was observed to see a rare rise in September, albeit a small one. Whether this month’s uptick portends a more sustained increase remains to be seen. As we detail below, a market participant told Hemp Benchmarks this month that this year’s harvest is small and good quality biomass is difficult to find. The price rise in conjunction with the harvest coming in may also be due to buyers paying a bit more for fresh biomass, rather than that left over from prior years. A similar phenomenon – that is, a brief price increase early in the harvest season – has been observed over the years by our Cannabis Benchmarks division in tracking prices for high-THC cannabis flower.
Despite the positive movement in biomass prices, assessed wholesale prices for all forms of extracted CBD tracked by Hemp Benchmarks fell for the third straight month in September. Month-on-month declines were fairly substantial, at between 5% and 9% depending on the product category. Year-on-year, prices for various CBD extracts are down between about 30% and 60%; Isolate and Broad Spectrum Distillate have seen the smallest proportional downturns in that span, while THC Free Distillate has seen the largest.
The price for CBG Biomass also bounced back up from last month and remained firmly within the relatively tight range that it has occupied since August 2021. This month’s price for CBG biomass is down only 3% from the same time a year ago, making it one of the most stable product categories tracked by Hemp Benchmarks.
Price Commentary
Aggregate CBD Biomass price sees rare rise as harvest comes in, but extracted CBD product prices all down again in September; Delta-8 THC wholesale price up for second straight month, joined by rise in price for Delta-10; CBG Biomass and smokable CBD Flower prices almost flat year-on-year.
September Production Update
Biomass surplus reportedly dwindling after three years of contracting CBD hemp production, but whether prices will see sustained rise remains uncertain.
Hemp CBD & THC Sales Update: Q2 2022
Second quarter saw CBD sales continue to deteriorate; public hemp-THC company also reported first quarter-on-quarter revenue decline after consistently meteoric growth.
Latin American Hemp Market Update
Stakeholders in Honduras highlight plentiful opportunities for hemp production and incorporation into country’s textile industry while lobbying government for legalization.
Hemp Research Update
OSU investigates spent hemp biomass as animal feed; USDA funds two hemp research projects under “Climate Smart Commodities” initiative.
Federal Regulatory Updates
U.S. House Representatives continue to push FDA for CBD regulation as legislation on the matter appears stalled.
State Hemp Program Updates
Developments in hemp regulation, licensing and acreage, and growing conditions from numerous states.
