Hemp, a strain of the cannabis plant, has been used for centuries for a variety of purposes, from textiles to medicine. In recent years, the legalization of hemp in many countries has led to a surge in hemp-related businesses. These businesses can be categorized into different types based on their place in the hemp supply chain.
- Hemp Cultivation Businesses / Farms
Hemp cultivation businesses are at the beginning of the hemp supply chain. These businesses grow and harvest hemp plants. They may sell the harvested plants or process them into other products. Hemp cultivation businesses require significant investments in equipment, land, and labor.
- Hemp Processing Businesses
Hemp processing businesses take the raw hemp material and transform it into usable products. These businesses can produce a variety of hemp-based products such as textiles, paper, food, and CBD oil. Hemp processing businesses require specialized equipment and skilled labor.
- Hemp Product Manufacturing Businesses
Hemp product manufacturing businesses take the processed hemp material and turn it into a final product. These businesses can manufacture a wide range of products such as clothing, skincare, and wellness products. Hemp product manufacturing businesses require specialized equipment and skilled labor.
- Hemp Retail Businesses /
Hemp retail businesses sell hemp-based products directly to consumers. These businesses can operate online or through brick-and-mortar stores. Hemp retail businesses can sell a variety of hemp-based products such as clothing, accessories, skincare, and wellness products.
- Hemp Service Businesses / Consulting
Hemp service businesses provide services to other hemp-related businesses. These businesses can provide consulting, testing, marketing, and distribution services. Hemp service businesses require specialized knowledge and expertise.
- Hemp Research and Development Businesses
Hemp research and development businesses conduct research on hemp and develop new hemp-based products. These businesses can work in collaboration with other hemp-related businesses or independently. Hemp research and development businesses require specialized knowledge and expertise.
Examples of Business in the Hemp Industry
Each type of hemp-related business has its own unique challenges and opportunities. Here are some examples of hemp businesses that operate in different parts of the hemp supply chain:
- Charlotte’s Web
Charlotte’s Web is a hemp processing business that produces CBD oil, capsules, and gummies. The company was founded in 2013 and has since become one of the most recognized brands in the CBD industry. Charlotte’s Web sources its hemp from its own farms and other licensed hemp cultivators.
- Hemp Black
Hemp Black is a hemp product manufacturing business that produces hemp-based fabrics and textiles. The company uses a proprietary technology to infuse hemp fibers into different materials to create high-performance fabrics. Hemp Black sources its hemp from licensed cultivators in the US and Europe.
- Made by Hemp
Made by Hemp is a hemp retail business that sells hemp-based products such as clothing, accessories, and wellness products. The company was founded in 2013 and operates both online and through a brick-and-mortar store in Michigan. Made by Hemp sources its hemp from licensed cultivators in the US.
- Hemp Benchmarks
Hemp Benchmarks is a hemp service business that provides hemp market data and analysis. The company tracks and analyzes the prices of hemp and hemp-based products to provide insights to other hemp-related businesses. Hemp Benchmarks serves clients across the hemp supply chain, from cultivators to retailers.
- The Center for Medicinal Cannabis Research
The Center for Medicinal Cannabis Research is a hemp research and development business that conducts clinical trials on the medical uses of cannabis and hemp. The center is based at the University of California, San Diego and is funded by the California state government. The center collaborates with other hemp-related businesses and academic institutions to advance the medical understanding of hemp and cannabis.