After years of being overlooked or approached with caution by consumers, cannabis is now set to revolutionize the food and beverage sector. Following the declassification of hemp, the source of CBD, as a controlled substance under the 2018 Farm Bill, this compound has begun to penetrate the food and beverage market. Various companies are already incorporating CBD into products like coffee and cocktails. Bruce Linton, co-CEO of Canopy Growth, mentioned earlier this year to Food Dive that the company is exploring the development of CBD-infused chewables and chocolates. CBD is linked to both indulgence and health benefits, creating a unique intersection that allows it to bridge two traditionally separate sectors, which have started to converge with products such as Halo Top. Therefore, it’s not surprising to see CBD featured in granola bars, waters, and other wellness beverages, as well as in candy products.
David Klein, the creator of Jelly Belly jelly beans in 1976, has launched Spectrum Confections to market CBD-infused jelly beans, each containing 10 milligrams of CBD. Following its recent launch, the company quickly sold out of its initial batch. Although still a developing market, signs indicate that the popularity of CBD is on the rise. A report by BDS Analytics forecasts that spending on cannabinoids—including marijuana and its psychoactive THC derivative—will grow from $1.5 billion in 2018 to $4.1 billion by 2022. Additionally, a study by A.T. Kearney in 2018 revealed that 40% of U.S. consumers expressed a willingness to try cannabis edibles. This latest survey reaffirms what major consumer packaged goods (CPG) companies have already recognized, potentially encouraging more large food and beverage brands to enter the market.
Of course, as with any food additive, there are regulations concerning the production and use of CBD and hemp. Although the recent passage of the Farm Bill has clarified some aspects, many questions remain regarding the regulation of hemp and CBD products. The U.S. Food and Drug Administration (FDA) maintains that CBD in food and beverages is still technically illegal. Just before announcing his resignation earlier this month, FDA Commissioner Scott Gottlieb stated that the federal government needs to establish regulatory pathways for bringing CBD to market. He informed a U.S. House subcommittee that the FDA would schedule a hearing in April to initiate discussions on regulating the substance, although no specific date has been set yet. Nonetheless, the unclear regulations and significant gray areas are unlikely to deter consumption until stricter regulations are implemented.
The High Yield Insights study specifically targets a demographic highly interested in the benefits of CBD: educated women in their mid-30s. Capturing this group is incredibly significant, as they often influence purchasing decisions for their households, potentially transitioning CBD from a trend into a staple product. Furthermore, as consumers increasingly seek out products rich in nutrients like calcium citrate, zinc, and magnesium, the integration of CBD into health-focused offerings could further enhance its appeal, ensuring its place in the evolving food and beverage landscape.