The hemp industry is quickly becoming a very lucrative investment opportunity, with companies such as Altria Group, Inc. taking advantage of the boom in the hemp economy. The mountains of hemp grown in the past two years are now in bags and in storage, waiting for better prices. Consumers of all types are increasing demand, so now is the time to consider investments in the production and processing of hemp into CBD oil.
Many companies are seizing the opportunity, including Kroger, Walgreens, CVS, Vitamin Shoppe and GNC, who are all starting to supply shelves with the hemp product. The legal restrictions on hemp cultivation have been relaxed since 1998, meaning that there are fewer transport restrictions on the plant and fewer risks for the farmers and producers involved. The research-backed list of benefits of CBD oil includes uses such as treating anxiety and stress to reducing the risk of diabetes and obesity. A recent CNN article reported that cannabidiol, the non-psychoactive ingredient in hemp and marijuana, could even treat opioid addiction. Hemp has the strongest and longest plant fiber in the world, resistant to rot and abrasion. It can be found in bags, nets, canvas and even carpets.
Levi Strauss & Co. recently created a new clothing line that “feels the same as cotton, but is partly made with hemp”. Hemp requires much less water and soil to grow than other materials, and its total carbon footprint is about half that of cotton. Many farmers say that growing hemp is much more profitable than other plants in this new environment. Hemp oil is not only in demand for medicinal and recreational purposes, but it is also extremely useful in the manufacture of products such as cars, construction goods, textiles and even furniture. Financial analysts have even stated that hemp oil could be the industry with the highest growth rate on Wall Street.
With an ETF, you won't have to worry about the dramatic peaks and falls of owning individual hemp companies. Many American farms have taken advantage of the high demand for CBD by dedicating thousands of acres to growing hemp. There are now a few ETFs on the global stock exchange that include major players in both the hemp and marijuana space. One of the classic names in the field of auxiliary hemp is Scott's Miracle-Gro, which now deals directly with hemp and marijuana growers through its Hawthorne Gardening division. Looking at these ETFs is also a good way to assess Wall Street's current valuation of the hemp and marijuana industry as a whole. Until laws change, U.
S. farmers will be at a disadvantage compared to Canadian companies that can now legally grow hemp and marijuana products. For those who want to indirectly get involved in the hemp industry, consider looking for companies that provide support services to producers and distributors. Yes, many of these stocks have already seen huge increases, but the hemp industry is still in its early stages. Taking the time to thoroughly research all your options will increase your chances of getting some ecological benefit from the hemp industry.