The rise in the availability of cannabis products in many parts of the world is amazing from a consumer standpoint, and for suffering patients specifically, the boost in safe access is a tremendous blessing. More cannabis products are more legally available than before the dawn of prohibition, and that is particularly true for CBD products.
Demand for CBD products is increasing around the globe. In fact, just the CBD skincare market alone is estimated to be worth hundreds of millions of dollars currently according to Verified Market Research. By 2028, that figure is expected to jump to over $3.7 billion.
Skincare products are not the only type of CBD product that consumers demand. Far from it, in fact. The beverages sector of the CBD industry is currently worth an estimated $4.52 billion and is expected to grow 25.6% CAGR according to Straits Research.
The CBD industry possesses tremendous profit potential, however, product development is much more difficult than many people think. Just because someone has a great idea for a type of CBD product does not mean that they possess the knowledge and resources to fully develop it.
Even if someone has such resources at their disposal, it may not make sense for them to manufacture products themselves, and instead, they should focus their time and energy on getting products to market and building brand recognition among consumers and patients. That is where white-label companies come in.
White-label companies help take CBD products from concept to reality, with Essentia Pura serving as one of the top white-label CBD companies on earth. I recently reached out to Nejc Rusjan, CEO & Co-Founder of Essentia Pura, to discuss white labeling, as well as his views on the larger cannabis conversation (my questions are in bold):
JG: What concerns should people have regarding CBD products (such as contamination)?
NR: CBD products are not yet regulated, neither by the FDA in the states nor by EFSA in the EU, so it is on us manufacturers to self-regulate to high standards and participate in novel foods applications.
Unfortunately, not all manufacturers do this so there is no guarantee that the consumer is getting a product that contains the amount of CBD listed on the label or that the THC level is not within the legal limits. Additionally, some CBD products may contain contaminants such as heavy metals, and pesticides, which can occur during hemp cultivation or solvents that were used during the extraction process other than CO2 extraction.
Consumers should purchase CBD products from reputable sources and look for third-party lab testing results to ensure the product is safe, compliant, and contains the claimed amount of CBD.
JG: Why is it more advantageous for a cannabis company to use your white-label or custom formulation services instead of doing everything themselves?
NR: Using our white-label and custom formulation services firstly gives a company access to market-proven, proprietary formulated CBD products, with a market-leading cannabinoid ratio and secondly, it allows them to focus on their core competencies while still offering to their customers what we believe are the highest-quality CBD products.
By partnering with a white-label provider like Essentia Pura, the cannabis company can avoid the costs of establishing an extraction facility and avoid the risks associated with developing and manufacturing new products in-house. We handle everything from product development and manufacturing to packaging and labelling, allowing our customers to focus on marketing and distribution. We like to call ourselves a one-stop solution provider for white-label CBD business needs.
JG: What do you envision Europe’s cannabis industry looking like in five years?
NR: In the next five years, the European cannabis industry is expected to grow as more countries legalise cannabis for medical and recreational use. The industry will likely become more sophisticated, with more professional growers and manufacturers entering the market. The legally compliant full-spectrum hemp extracts will not be considered novel food.
Additionally, we may see more cross-border collaborations and partnerships as companies look to expand their reach across Europe. However, regulatory issues and cultural attitudes towards cannabis may continue to be a challenge in some countries, and it remains to be seen how these issues will be resolved in the coming years.
This article first appeared on Internationalcbc.com and is syndicated here with special permission.