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crude cannabis oil price

Crude cannabis oil price

Webster’s Dictionary defines it as “That which existing in a natural state and unaltered by cooking or processing.” In the Cannabis Concentrate business it is the oil-like substance that is removed from the plant and flower that contains cannabinoids including the psychoactive cannabinoid THC.

Crude is the life blood of the concentrate industry as every product begins in crude form.

Crude can be added to edibles to alter your state of mind and address various medical aliments. It can be added to moonrocks or flower much like a hash would be added. It can be combusted or smoked. Crude is also often further processed and distilled into an ultra pure form called Clear. Needless to say crude is an extremely valuable and useful way distribute cannabinoids.

How is Crude made?

THC and other cannabinoids are present on the marijuana plant. The are removed from the plant with the use of a solvent. The solvents are then “purged” or removed from the mixture leaving behind the concentrated plant matter. Historically the carcinogenic solvent Butane was used and although this was an effective means of removing the cannabinoids, it was also very dangerous to use and unhealthy to consume. Unfortunately the use of butane is still very prevalent today. Patients and consumers demanded a healthier alternative and companies began making CO2 extraction machines. There were problems with this technology as well because not only did it alter the taste of the product, it also was less aggressive as Butane and as a result would yield significantly lower and as a result the crude was more expensive and often contained large quantities of unwanted plant matter. As technology evolved, cutting edge concentrates companies began alcohol to remove cannabinoids. While difficult to use the end result was a cleaner, healthier, and cost effective medium to remove the desirable part of the cannabis plant and deliver it to companies and patients in a Crude form.

Not all crude is created equal!

Recognizing the importance of a premium crude to a concentrate company, OC Pharm sourced the needed elements and only uses Crude that has been extracted with Kosher, Food Grade, alcohol. We then take an additional step of using a multi stage, proprietary, filtration, further cleaning the crude and reducing the presence of fats, lipids, and unwanted plant matter. The end result is a Crude that is truly a cut above. While OC Pharm crude can be found in all of its products including Clear, Vape, Syringes, Ranchers (we use premium Clear here as well), but we also sell Crude in bulk to many of the brands you see on the shelves at dispensaries now. Inquire as to our current market prices for OC Pharm Crude!

Crude cannabis oil price Webster’s Dictionary defines it as “That which existing in a natural state and unaltered by cooking or processing.” In the Cannabis Concentrate business it is the

Crude CBD Oil: A Glimpse of the Future

This weeks Hemp update recognizes the squeeze in the biomass market and what is driving the pricing index in August. In the past month, we have seen the USA reserves of high quality hemp nearly disappear. We would expect to see the market prices continue to climb for biomass, but I am seeing a price ceiling forming around the $6.5 – $7.0 / % pt mark for two reasons.

The first reason is the importation of CBD . Raw materials are arriving from Canada, China and other countries to take advantage of arbitrage opportunities to make money. This is the future of the industry, with open borders and import export. Right now, the issues stem from quality control, and there are issues with out of country material. First, hemp is a soil remediator. In countries such as China where the soil quality is notoriously contaminated, this can result in terrible contamination in hemp material and oils derived from this material. Second, a warning, some companies are supplementing their manufacturing of CBD with out of country origin CBD due to the cost of raw materials to process.

The second factor holding prices steady is CBD Crude oil . Currently raw CBD Crude prices for a contract of 500 – 1000 kilos are hovering between $2,850 / $3,500 per kilo of CBD content for crude material that is 45%+. This is the first major sign of industrialization and a glimpse of the future of this agricultural industry. Because the supply of high quality plant material is dwindling, production costs for many labs who produce CBD isolate are rising. To create the same volume of raw crude CBD oil, you have to process four times as much 3% CBD material as 9% material! Many labs are not designed to the scale necessary to accommodate for the low quality hemp on the market. We are finding that purchasing raw crude CBD oil is now a viable alternative for labs to produce CBD distillate and Isolate.

The reason CBD Crude has become price competitive is the scale of the processors making this raw extract. When a processor can run 10,000 lbs of material of day, this saves money on labor and costly machine time. These businesses operate on a completely different scale than many labs producing higher level extractions. Ultimately this means that crude has become a more effective starting material than doing in house crude extraction from biomass.

My crystal ball says that our perception of what a large scale raw crude extraction is, will completely change in the next 18 months. With the farm bill on the cusp of legalization, we are going to see large contract processors who service the alcohol and agriculture industry enter the hemp market. This will make primary extractions obsolete for small businesses trying to compete in the new commodities market. I hope you enjoyed this weeks update, please leave questions or comments below.

Michael Gordon
CEO

If you’re looking for a consistent supplier of CBD Isolate at a fair price, check out the listing below:

Crude CBD Oil: A Glimpse of the Future This weeks Hemp update recognizes the squeeze in the biomass market and what is driving the pricing index in August. In the past month, we have seen the USA ]]>