What is CBD?
Cannabidiol (CBD) is a naturally occurring compound that is found in a number of plant extracts including flax seed oil and hemp oil. It overlaps in structure with the human body’s endogenous anandamide and 2AG, being neurotransmitters involved in regulating a variety of physiological and cognitive processes including fertility, appetite, pain-sensation, mood, memory and exercise-based reward. Research is also showing that these compounds have a role in identifying and eliminating cancerous cells.
Consequently, CBD is proving to be a leap forward in wellness, showing therapeutic applications in such a variety of facets of human health that it is being suggested that our dietary deficit of cannabinoids during prohibition years is a contributing factor to our illness burden.
CBD is not to be confused with the compounds in cannabis plants which produce the primary psychoactive effects associated with a cannabis high. CBD is virtually undetectable when consumed by humans even in larger quantities. It is valued for therapeutic purposes and for its very low side effect profile.
What is the opportunity?
Global supply of cannabidiol cannot currently meet the enormous demand. Demand is increasing from both a consumer product level as it finds applications in cosmetic and natural wellness industry, as well growing commercial demand from pharmaceutical industry.
Wholesale prices start at the USD$5,000 per kg market. Large industrial buyers pay up to USD$7,000 for pharmaceutical grade.
Our patented method of producing generic cannabidiol using organic chemistry and without relying on plant material or genetic engineering means larger quantities can be produced faster, cheaper, and independently of seasonal variations, with less environmental impact.
Our target CBD production cost in USD$200 per kg, and first factory has peak output capacity of 360,000kg per year.