“Why is CBD oil so expensive?” is a question you may be asking yourself if you’re considering adding this product, which is also known as cannabidiol oil, to your wellness toolkit. While some people mutter darkly about being overcharged, the truth is that there are certain costs involved in producing and selling this oil, and these costs all contribute to the ultimate price of the product.
What Is CBD Oil?
In order to understand the inherent expense of CBD oil, you need to know a bit about what the product is. As Organic Authority explains, CBD oil is a natural product that contains CBD, a compound that is derived from the cannabis. CBD is an active cannabinoid, but it is not the one that causes the high people associate with the use of recreational cannabis. Instead, it offers significant health benefits without impacting the user’s state of mind. It is believed that CBD can reduce pain and inflammation, inhibit the growth of bacteria and cancer cells, assist in the management of seizures, help people obtain better quality sleep, improve mood, reduce nausea, and soothe troubled skin.
What Makes CBD Oil So Pricey?
When determining a CBD oil cost, what factors would you need to consider? For starters, there is the expense of growing cannabis. Then, there is the cost of transforming that cannabis into CBD oil. The price of the lab work needed to ensure the oil is safe is another item to add to the tally. Finally, there are the expenses incurred by retailers as they work to make CBD oils available to the public. Producing CBD oil and getting it into the hands of consumers requires quite a few steps, and when you think about what is involved with each one, it is easy to see how the costs can add up.
The Cost of Growing Cannabis
CBD oil is made from the leaves and stalks of cannabis plants, and to get the raw materials necessary for the process, growers have to plant, cultivate and harvest cannabis. With the costs involved in land, seed, water, equipment and labor, agricultural operations can run up hefty expenses fairly quickly, and the need to cover those costs and bring in an acceptable profit contributes to the high cost of CBD oil. It is worth noting that cannabis growers must bring in a sizable harvest if they hope to meet the demand for CBD. CBD is extracted from cannabis, and each plant provides a relatively small amount, so it takes a healthy supply of plants to get enough of the desired compound to produce sufficient CBD oil.
The Price of Turning Cannabis Into CBD
Extracting CBD from cannabis plants results in a raw CBD gel, and that gel is not suitable for sale to consumers. It has to undergo significant processing to create safe, sale-able products. Once again, that processing requires time, equipment and labor. Those things cost money, and manufacturers need to charge enough to cover their costs and make a suitable profit if they want to stay in business. Therefore, the expense of transforming raw cannabis into a desirable product is another factor that contributes to CBD oil’s high price tag.
Testing: Safety Isn’t Free
Simply making CBD oil is not enough. Retailers and consumers want to feel confident that they are receiving a quality product, so manufacturers must also have their products tested regularly throughout the manufacturing process to ensure that they are safe and consistent with what is being promised. The price of this lab work further adds to the steep price of CBD oil.
The Retailer’s Expenses
While some manufacturers do sell directly to the public, most rely on retailers to get their products into the hands of consumers, and this adds a bit more to the ultimate cost of an item. After all, there are costs involved in running any business, including both brick-and-mortar and online stores. To be able to pay their bills, retailers who sell CBD oils must add a markup, which increases the price of CBD oil again.
Buying CBD Oil
While some may grumble about the high cost of CBD oil, the price tag certainly isn’t slowing sales. According to Forbes, the market for CBD is skyrocketing with experts predicting that consumer sales will total $2.1 billion by 2020. That is an impressive 700 percent increase over 2016’s figures. With the demand for CBD oil so high, there are some unscrupulous sellers hawking inferior products, so consumers need to be smart when making a purchase. While price is something to consider, it should not be the deciding factor. Instead of hunting for a bargain, consumers should do their research and choose a quality product from a reputable brand.
When you’re shopping, being continuously confronted with high prices that seem exorbitant can be absolutely maddening, but it is important to remember that good value is rarely cheap. The next time that you find yourself wondering why is CBD oil so expensive, stop and consider all the work that goes into producing a quality product and getting it to your door.