Our SP+GTM algorithm signals the CBD Hemp market in the United States will not survive as a positive cash flow profit sector unless branding is the main component because as a commodity CBD is not a mystery.
CBD WORKS: (1) Relieve Pain: An oral spray called Sativex, which is a combination of THC and CBD, is approved in several countries to treat pain related to multiple sclerosis. Studies have shown that CBD may help reduce chronic pain by impacting endocannabinoid receptor activity, reducing inflammation and interacting with neurotransmitters (2) Reduce Anxiety and Depression: Anxiety and depression are common mental health disorders that can have devastating impacts on health and well-being. According to the World Health Organization, depression is the single most significant contributor to disability worldwide, while anxiety disorders are ranked sixth. Anxiety and depression are usually treated with pharmaceutical drugs, which can cause several side effects including drowsiness, agitation, insomnia, sexual dysfunction, and headache. What’s more, medications like benzodiazepines can be addictive and may lead to substance abuse. CBD oil has shown promise as a treatment for both depression and anxiety, leading many who live with these disorders to become interested in this natural approach. In one study, 24 people with social anxiety disorder received either 600 mg of CBD or a placebo before a public speaking test. And (3) Alleviate Cancer-Related Symptoms: CBD may help reduce symptoms related to cancer and side effects related to cancer treatment, like nausea, vomiting, and pain. One study looked at the effects of CBD and THC in 177 people with cancer-related pain who did not experience relief from pain medication. Those treated with an extract containing both compounds experienced a significant reduction in pain compared to those who received only THC extract. CBD may also help reduce chemotherapy-induced nausea and vomiting, which are among the most common chemotherapy-related side effects for those with cancer. Though there are drugs that help with these distressing symptoms, they are sometimes ineffective, leading some people to seek alternatives. A study of 16 people undergoing chemotherapy found that a balanced combination of CBD and THC administered via mouth spray reduced chemotherapy-related nausea and vomiting better than standard treatment alone. Some test-tube and animal studies have even shown that CBD may have anticancer properties. For example, one test-tube study found that concentrated CBD induced cell death in human breast cancer cells. Another study showed that CBD inhibited the spread of aggressive breast cancer cells in mice. However, these are test-tube and animal studies, so they can only suggest what might work in people. More studies in humans are needed before conclusions can be made. RESULTS SELL BIG MONEY can be earned in packaging and branding CBD Hemp because the substance works. Competition has been heating up as more mainstream retailers, such as Urban Outfitters and Walgreens, announce plans to sell hemp-derived CBD in stores and online. By following the consumer, the trend is for sustained, long term growth with limited downside, except for eventually creating a crowded marketplace.
That's why --- brands are the key. The most recognizable brands will own the market because CBD hemp is an identifiable ingredient with no mystery.
As a commodity, our data suggests the cost per milligram of CBD is super cheap. More growers are likely. We predict prices will decline further. The 2018 U.S. Farm Bill removed restrictions on hemp cultivation for cannabinoid production. Meanwhile, Canada changed its hemp law last fall to allow its roughly 250 hemp farmers to sell flower for CBD extraction. Assuming the U.S. Food and Drug Administration develops health and safety regulations for CBD products, larger hemp companies with more capital may be poised to gobble up mom-and-pop hemp companies to supply big consumer-packaged-goods companies with CBD.
In other words, the hemp industry may grow in acreage but contract in participants.