CBD market sees a huge increase in revenues

The cannabis market is booming around the world, allowing the CBD market to rise in tow. Hemp has been known as a medical and ornamental plant for thousands of years. However, this does not apply to the broad masses or science.

On the contrary, cannabis is still often mentioned in the same breath as illegal drugs. For some years now, however, more and more people are becoming aware of the active substance cannabidiol (CBD) and its numerous positive properties.

Additional information on the medical cannabis industry and other news in the cannabis business can be found in the Hemp.im app. This app collects the latest cannabis investing news in bite-sized chunks that are easy to digest.

The rise of the CBD market

In the meantime, a solid market has established itself, which is constantly growing and has already generated hundreds of millions in the U.S. alone, and there is no end in sight – quite the opposite. Only the uncertain legal situation is slowing down the market.

Like the European authorities, the U.S. Food and Drug Administration (FDA) was initially skeptical about the benefits of the CBD market.

However, due to its completely different properties than THC, the FDA now rates cannabidiol positively, as does the EU. As such, a broad market for this supplement has developed on both sides of the Atlantic.

In 2018, the CBD market in the U.S. achieved a total sales volume of $367 million. This represents an increase of 40% over the previous year. The financial magazine Wallstreet-Online reports conservative estimates according to which the American CBD market could reach a total volume of $16 billion by 2025.

The German CBD market is also growing

Financial experts in the Handelsblatt expect a strong increase in sales on the CBD market in Germany by 2023. The current volume of $37.44 million (€34 million) is expected to rise to $605 million (€550 million) by 2023.

The increase in European cultivation areas for cannabis was also impressive. In 2013 the total area of hemp plantations in Europe was 15,700 hectares, and three years later, in 2016, it was already 33,000 hectares.

The growth rates of companies specialising in the production and distribution of products containing cannabidiol are taking on incredible dimensions.

“Just CBD,” a Florida-based producer, recorded incredible growth of 2,000% in 2018.

The market still has great potential

The scientific situation seems to be clear: CBD is considered harmless and even an effective alternative to other dietary supplements and active ingredients.

The only obstacle to growth (if one can call it that at all in view of the figures mentioned), is still the different legal bases in the various countries.

A further development of the CBD market could thus be promoted by establishing standardized regulations. This is still a very young market, in which the potential is far from being exhausted.

However, not all countries will profit from the burgeoning CBD market as many are limited by their strict policies towards CBD-based products and use.

__

(Featured image by R+R Medicinals via Unsplash)

DISCLAIMER: This article was written by a third party contributor and does not reflect the opinion of Hemp.im, its management, staff or its associates. Please review our disclaimer for more information.

This article may include forward-looking statements. These forward-looking statements generally are identified by the words “believe,” “project,” “estimate,” “become,” “plan,” “will,” and similar expressions. These forward-looking statements involve known and unknown risks as well as uncertainties, including those discussed in the following cautionary statements and elsewhere in this article and on this site. Although the Company may believe that its expectations are based on reasonable assumptions, the actual results that the Company may achieve may differ materially from any forward-looking statements, which reflect the opinions of the management of the Company only as of the date hereof. Additionally, please make sure to read these important disclosures.

First published in CBDRatgeber, a third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.

Although we made reasonable efforts to provide accurate translations, some parts may be incorrect. Hemp.im assumes no responsibility for errors, omissions or ambiguities in the translations provided on this website. Any person or entity relying on translated content does so at their own risk. Hemp.im is not responsible for losses caused by such reliance on the accuracy or reliability of translated information. If you wish to report an error or inaccuracy in the translation, we encourage you to contact us.