UNITED STATES – Eighteen months after legalization, hemp and CBD markets appear to be contracting.
According to a July report from Hemp Benchmarks, licensed acreage in the United States is down 30 percent and indoor greenhouse space has fallen 64 percent from 2019 levels. The firm expects “a substantially smaller supply of CBD and other cannabinoid-rich biomass from this year’s crop relative to 2019,” the report noted.
According to trading platform PanXChange, biomass prices dropped by 75 percent between July 2019 and July 2020.
On the consumer side, Brightfield Group cut by almost half its 2019 projection for CBD’s 2020 sales volume—from $8 billion to $4.7 billion. The new figure represents a 14-percent increase over 2019 sales.