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Old crop biomass trade volumes are still steady, with average quality material trading between $0.75/lb to $1.25/lb ($0.10-$0.15/per point CBD) and higher quality material trading up to $1.60/lb ($0.20/per point CBD). The northeast remains the highest price point at $2.00/lb ($0.25/per point CBD). Meanwhile, quality new crop biomass is less common, and most sellers hold offers at $2.00/lb or more.
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The majority of harvest is over, and biomass markets are still digesting inventories post-harvest. Buyers are still posting $0.75/lb to $1.20/lb ($0.10-$0.15/per point CBD), but trade below $1.00/lb ($0.125/per point CBD) has dried up quickly. In terms of volume, most of the material traded was well preserved old-crop material or excess 2021 harvests. Significant volumes of old crop inventories are still available, and many of these suppliers would be willing to sell at $1.00/lb. However, these supplies are becoming increasingly difficult to source, and freight is becoming more and more of a factor. It is extremely difficult to determine the true availability of old crop biomass stocks. Still, market reports and estimates suggest that 2019 & 2020 supplies could be anywhere from 15 to 40 million pounds of viable material.
Most growers and processors are in harvest now, and so far, yields are coming in better than expected judging from the few early reports we have collected. Naturally, prices have dipped slightly with the expectation of more biomass coming to the market. Most bids for 8%-10% material are in the $1.20-$2.00/lb range ($0.15-$0.20 per point CBD) in Colorado and Kentucky. $2.00 to $3.00 is still possible in states less burdened by oversupply, and trade volumes for crude and isolate have returned to normal after the rumored Delta-8 processor relocation. Therefore, PanXchange stands by its prediction that prices for quality 2021 biomass will rally after harvest. The extent of that rally depends entirely on when stored supplies return to the market.
Overall, biomass markets are trading at steady prices yet again month over month. Colorado prices have seen a short-term decline in the higher end of the range to $0.20 per point of CBD ($2.00/lb for clean milled 8% material), but the low is holding steady at $0.1875 per point CBD for clean material. We expect this price drop to be short-term as a shake-up in delta-8 processing capacity has resulted in excess isolate trading into the CO market, but overall processing capacity should return to normal soon.
Despite the wildfires, smoke and drought conditions ravaging forests, grassland and farmland across the western United States this summer, hemp biomass pricing ranges have held relatively steady nationwide. This is testament to the fact that despite a substantial drop in licensed acres as well as preliminary estimates of total planted acres this year, the market is still heavily oversupplied and is easily able to buffer major supply shocks such as natural disasters.
The biomass pricing range has held steady across much of the United States. Colorado, Oregon and Kentucky, and much of the midwest remain range-bound between $0.20-$0.30 per point of CBD. There are premiums to be had, however, as potent, clean, and well-prepped biomass is claiming the upper half of the trading range, with a few lots trading higher up to $0.35 per point of CBD.
Here are interactive pricing charts, regional maps, monthly surveys with responses submitted by industry members, Access to all historical reports, charts, data, and previously recorded webinars.