CBD Price Per Pound?
We often get asked, “What’s the price of CBD per pound?”
And the answer is: That depends on a lot!
The word “commodity” is often a misnomer, and with hemp and CBD pricing – two relatively new markets that are subject to vastly different regulatory regimes – this is especially the case.
When quoting the price of a developed commodity market, most novices and experts alike use a commodity futures price. “The price of oil” is typically quoted as the prompt month CME WTI futures contract for U.S. prices, or the ICE Brent futures contract for international prices. But the WTI futures contract is for a specified volume of light, sweet crude oil delivered to Cushing, OK. The “price of oil” is significantly different for a producer of heavy crude oil in Alberta, or a refinery in South Korea.
So what’s the price of CBD per pound?
Well, first, hemp biomass is typically quoted in pounds, while CBD oil, distillate, and extract (find out about the extraction process here) is quoted in kilograms, and sometimes even in liters. There’s a lot of different stories about why CBD is in quoted in kilograms and liters, from extraction equipment using metric, to the cannabis plant’s history as an illicit substance, but whatever the reason, that’s where we are.
So what’s the price of CBD?
That also depends on where you are. There are a few major regional hubs for hemp and CBD products, mainly Colorado, Oregon, and the Southeast, primarily Kentucky, Tennessee and North Carolina. Colorado and Oregon became major hubs because of early liberal opinions on the cannabis plant, and the Southeast became a hub due to the history of tobacco growing, which is grown and harvested in a similar manner to hemp, and the legalization happened at a time of continued price pressure on tobacco.
So what’s the price of CBD in Colorado?
Well, THAT depends on what form the CBD is in. Is the CBD in crude oil for? Or isolate? Is it in distillate form? Broad spectrum or full spectrum? Each of these has a different price depending on percentage of CBD and current market conditions.
So what’s the price of CBD Isolate in Colorado?
Now we’re talking. PanXchange set up our Hemp Benchmarks (link) taking into account all the above factors that all influence the price of CBD. We will expand these benchmarks by product category, geographic region, and any other dimension by member and customer demand.
You can find out about our most recent pricing report, including the price of CBD Isolate in Colorado, here.