Often dubbed 'the next CBD', CBG (Cannabigerol) is a cannabinoid that shows promise as an antibacterial agent and an anti-inflammatory. So why is it so expensive to produce? We examine a variety of factors that contribute to CBG's high production cost including genetics, hemp availability and more.
Genetics is one factor in CBG’s extortionate production cost. Another is—surprisingly enough—a surge in consumer demand.
“To extract CBG you need extremely expensive equipment to carry out a process known as chromatography,” says Rowland. “There are a number of other methods to extract it and they’re all much cheaper to carry out. That said, the genetics of the plant is still the primary price factor. Breed higher CBG hemp strains, and the cost to extract the CBG goes way down as you need much less material to extract it.
“While Hemptown's cultivation costs do not increase substantially with the use of the CBG genetics, as posed to growing CBD genetics, the genetics themselves are expensive to develop and are very rare,” says Hemptown USA CEO John Cummings. “Development of stable CBG dominant genetics can take as long as 3 years to develop, further increasing costs and barriers to entry.”
“If you harvested the plant younger where there is a higher % of CBG available, you're still only talking around 5% which means you need 2 to 3 times the plant mass to equal the same % of CBD,” notes Kevin Quirk, President and CEO of Harvest Connect. “Having said that, we are working on a strain that could maximize CBG but would be without CBD and THC.”
The final hurdle in reducing CBG’s production cost is equipment. As enterprising businesses race to see who can streamline the CBG production first, many are choosing to focus on optimizing their production equipment. EcoGen, too, is poised to strike. “EcoGen has developed specialty isolation and purification equipment as well as the related processes to materially lower the cost of CBG production,” says Nunez.
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