The price per pound of industrial hemp biomass ranges between $1.31 to $2,528 depending on the type of raw material and amount of hemp purchased. Industrial hemp biomass is the cheapest raw material and is currently going for $1.31 while refined hemp oil is the most costly. The price of industrial hemp in the US has dropped significantly since it was legalized by the 2018 Farm Bill. In January 2020, the price hit an all-time low.
Industrial hemp raw materials can be broken down into the following items:
- CBD Biomass
- CBD Dried Flower
- Industrial hemp oil
- Industrial hemp seeds
Biomass is derived from the leaves and stalks of the hemp plant. The price of hemp biomass is dependent on the CBD content per pound in dry weight. Data from Hemp Benchmarks indicate that the price per pound of hemp biomass in January 2020 was $1.31. This is a 68% decrease from the price in the previous quarter.
Dried hemp flower refers to the buds and resinous trichomes of the hemp plant. Because of the medicinal value, the dried flower sells at a higher price. As of January 2020 the price was $226 per pound. However, this price has been on a steady decline like other hemp products.
Industrial hemp oil is extracted from the seeds of the plant. Crude hemp oil is selling at $1472 per pound while refined hemp oil is selling at $ 2,528 per pound.
Industrial hemp seeds are versatile and may be used to produce biomass, oil, grain, or fiber. The demand for industrial hemp seeds is usually high and the price keeps surging. The latest price is $ 4.57 per pound.
Is Industrial Hemp Cheaper Than Corn?
According to Market Insider, the price per pound of corn is currently is $3.78. This is slightly more expensive than the price of industrial hemp.
Both industrial hemp and corn are rich sources of seed oils and biodiesel. The hemp seed oil has the added advantage of being rich in omega oils.
Is Industrial Hemp Cheaper Than Soy?
According to market Insider, the price per pound of soy is $8.83. Soy is a rich source of vegetable oil as well as protein. Soy grows well in a warm environment but requires a lot of water. Most soy is grown in East Asia.
Industrial hemp is significantly cheaper than soy. Currently, industrial hemp is selling for less than 50% of the price of soybean.
When it comes to use and versatility, industrial hemp offers more benefits than soy.
Both industrial hemp and soy are rich sources of oil and protein. As a source of protein, hemp is fiber-rich, easy to digest and rich in omega oils. Soy has higher protein content but is not rich in omega oils. Most soy is from GMO sources and has also been linked to breast cancer due to the high phytoestrogen content.
Is Industrial Hemp Costly?
Industrial hemp is not costly when you factor in the versatility and price of the crop. Industrial hemp is easy to cultivate, takes a short time to mature and is a high producer. Compared to similar crops such as soy and corn, the price per pound of industrial hemp is significantly cheaper.
Will The Price Of Industrial Hemp Drop in 2020?
The price of industrial hemp is likely to drop in 2020 as it has been on a steady decline in the last one year. As more states move to grant more licenses to farmers to grow hemp, the supply will increase as the price moves lower.
However, should industrial hemp be taken up in more sectors, the demand will increase and force the price up commensurately. The potential of industrial hemp has not been fully exploited in the US. Not only is industrial hemp cheaper than alternative crops but it is also an environmental friendly crop. Once it is embraced for all its potential benefits the demand will skyrocket and this will have an effect on price.
Where Can I buy Cheap Industrial Hemp?
Industrial hemp can be bought cheaply from online vendors such as Amazon. There are also other websites that sell industrial hemp products cheaply. However, you should be careful not to buy sub-standard hemp products just because they sell for cheap. Consider the ratings of the seller plus customer reviews before making your purchase.