Cost of cbd oil for a gram

How much does CBD oil cost?

For the last few years, cannabidiol (CBD) has become one of the hottest wellness trends. Touted for its potential health benefits, CBD oil is one of the most popular items in this space, with products popping up in nail salons, spas, big-box retailers, and health stores throughout the US.

The 2018 Farm Bill defined industrial hemp as cannabis containing up to 0.3% tetrahydrocannabinol (THC) and legalized its cultivation nationwide. CBD oil and other products manufactured in accordance with the bill were no longer on the government’s schedule of banned drugs. Though some states still outlaw CBD in any form other than the prescription epilepsy medication Epidiolex, it is now easier than ever to access and purchase CBD products. In addition to being able to buy CBD oil online, you can also find everything from CBD capsules to CBD topicals, CBD gummies, CBD beverages, and a massive range of other CBD products in such unlikely places as Bed, Bath, and Beyond.

But for curious newcomers, CBD oil cost might raise some eyebrows. A 1 ounce (30 milliliters) bottle of CBD oil could cost anywhere from $30 to more than $200, leaving many wondering how something so small can cost so much, and why CBD prices vary so widely. What accounts for the discrepancies and, perhaps most importantly, how much does CBD oil really cost?

Any attempt to account for CBD prices is a bit complicated, as there are many factors and variables that affect the average cost of products in the CBD industry. The process of extracting CBD oil can be expensive while additional costs may arise from creating specific products. Plus, the potency of a bottle can greatly affect the price. Additionally, variables such as whether or not the product is a full spectrum CBD oil, if it’s an organic CBD oil, or if it was extracted from organic hemp plants can also play a part in how CBD brands establish their CBD oil cost. Here’s a primer on the different types of CBD and how much you should expect to spend.

How much does CBD oil cost the consumer?

According to Katie Stem of Peak Extracts, a cannabis and CBD product manufacturer, CBD as a bulk commodity ranges from $3 to $15 per gram, or a fraction of a cent to 1.5 cents per mg CBD. This could mean that a 1,000-milligram bottle of CBD tincture could contain $3 to $25 worth of CBD, but that wouldn’t account for production costs, materials, or labor.

Some companies might do all the production work in-house, but many CBD companies use a larger manufacturer for production. The CBD companies then must market and ship their products. Stem said this can cost around $25,000 to launch, plus a per-unit cost between $2.50 and $12.50.

Full-spectrum, or whole plant CBD, will contain trace amounts of THC and all compounds originally contained in the plant, such as terpenes. Photo by: Gina Coleman/Weedmaps

Image lightbox

“In most other industries, the labor, materials, and profit are often divided into three equal portions,” Stem said. “Given the exposure to this industry with regard to legal, regulatory, and testing standards, it stands to reason that the profit margin must be higher to accommodate potential risk. The markup may be closer to 400% rather than the 40% seen in many other packaged goods.”

There may also be significant markups on the retail side, as cannabis dispensaries are not allowed any type of business write-offs per Section 280E of the Internal Revenue Code.

Stem said that when she is personally trying to decide if a CBD product is a good deal, she goes straight to the source material. Is it grown organically? Is it grown domestically? She also looks for readily available certificates of analysis (COA), which must be issued by a licensed laboratory that tests for potency and safety.

Stem said that those products will probably cost at least $50 to $60 per 1,000-milligram bottle, which comes out to a total cost of 5 cents per milligram (mg) of CBD or more.

However, for most brands Weedmaps looked at, 5 cents seemed to be the low end, while the majority cost between 10 to 15 cents per mg of CBD and rarely exceeded 20 cents per mg.

Because there is such a vast range of CBD products, companies, extraction techniques, and market factors, it can be difficult to pin down a clear average cost per mg CBD. But, as a general ballpark, here is an example CBD oil price comparison, using prices found in Los Angeles, and broken down as price per mg of CBD:

    , 1,000mg of CBD. Priced at $39.99, or about 4 cents per mg. , 1,500mg of CBD. Priced at $140, or about 9 cents per mg. , 500mg of CBD. Priced at $45, or about 9 cents per mg. , 400mg of CBD. Priced at $35, or about 9 cents per mg. , 500mg of CBD. Priced at $50, or about 10 cents per mg.

What are the different types of CBD?

CBD can be derived from either hemp or marijuana plants. From a legal perspective, the cannabis plant from which the CBD is extracted makes a big difference. In the United States, a hemp plant must contain less than 0.3% THC. These plants are sometimes referred to as industrial hemp, and they are generally grown for industrial fiber and other uses. Marijuana may have various amounts of CBD and THC and is typically grown for medicinal or recreational purposes. If it’s legal or not is really the only distinction that matters when choosing whether to purchase CBD derived from marijuana or from hemp.

CBD can be derived from either hemp or marijuana. Photo by: Gina Coleman/Weedmaps

Image lightbox

“One thing I always say is that a molecule does not know its mother, so CBD is coming from cannabis or hemp, but it’s the same compound,” said Robby Flannery, Ph.D., CEO of California-based cannabis brand Dr. Robb Farms.

Full-spectrum CBD oil vs. CBD isolate

Instead of hemp-derived vs. marijuana-derived, it might be more relevant to compare whole-plant CBD, which can be full-spectrum or broad-spectrum, with isolate CBD. The latter results from refining the CBD compound into its pure form, minus other cannabinoid compounds such as terpenes, which provide flavors, aromas, or enhanced physiological or cerebral effects.

Full-spectrum, or whole-plant, CBD contains THC and all of the compounds originally present in the plant, such as terpenes and other cannabinoids. Broad-spectrum hemp is similar to full-spectrum, except that the THC is removed.

When trying to decide between whole-plant CBD and isolate, it may be helpful to know that researchers have identified a synergistic interaction between the plant’s various compounds, known as the ensemble effect or entourage effect. According to this theory, taking CBD alongside the multiple cannabinoids, terpenes, and other chemical compounds produced by the cannabis plant may produce stronger overall effects. That’s one reason some may seek out full- or broad-spectrum CBD, but there are various reasons why a person might prefer one over the other. If, for instance, you dislike the smell and/or taste of cannabis or want to avoid THC entirely, you might choose to stick to isolate.

Flannery noted that “cannabis tends to be a little more resinous, so the entourage effect and ensemble effect that you would be able to achieve [by] including some of those other cannabinoids is more profound. But if you’re just consuming an isolate product, it does not matter [which plant] it comes from.”

Many medical marijuana and CBD isolate consumers prefer an edible such as a gummy to receive their dose of cannabinoids. Photo by: Gina Coleman/Weedmaps

Image lightbox

Is CBD oil lab tested?

CBD oil prices are also affected by legal requirements related to lab testing. Third-party testing ensures that a product is safe and correctly measured and that consumers are getting clean, lab-grade CBD. A licensed lab will make sure a product’s listed potency is accurate, meaning you’re actually getting the amount of CBD or THC you’re paying for, or alternatively, that the THC content is zero for those who want to avoid any possible intoxicating effects or drug-testing surprises. Lab tests also analyze moisture content and screen for pesticides, mold, fungus, heavy metals, and residual solvents — chemicals that may remain after the extraction process.

Third-party lab testing ensures a product is safe and correctly measured. Photo by: Gina Coleman/Weedmaps

Image lightbox

How do you know you’re getting a lab-tested product? If a company lists its certificates of analysis on its website and packaging, shoppers can usually be assured the product has been lab-tested.

“If you are a cannabis consumer and you go to a licensed retailer, you are close to 100% certain that all of that product has been tested by a third-party lab and it passed very stringent restrictions and regulations,” Flannery said.

Testing can get pricey, especially in a state such as California, where regulations implemented in late 2018 increased testing costs 40% to 55% for some manufacturers, according to MJBizDaily. This can have an impact on how cost-effective the overall production process is, which in turn impacts the cost per milligram to the consumer. Flannery estimated testing can cost a company between $100 and $400 per sample, and they may have to test several samples. Those that produce flower — from which the oil is derived — have to test incrementally, such as every 55 pounds.

“If you’re a large farm, that’s a lot of testing,” Flannery said. “I know some groups who are spending in the seven-figure range on testing on an annual basis.”

All of these costs are shouldered by the manufacturer and ultimately raise the retail prices.

How do you read the labels on CBD oils?

The label on any CBD oil or other CBD product will tell you several important details. Perhaps the most obvious detail is the name of the company, which you may want to research so you can read reviews of the brand (most are available on Weedmaps) or the individual product. Or, you might want to visit the company website’s FAQ page for additional product information.

The label will also tell you how many milligrams of CBD the oil contains. This number may be the total amount or how many milligrams are in each serving.

Topicals and oils usually list the total amount of CBD. Balms, lotions, and other topicals are products you’re likely rubbing into your skin and therefore, you might not be concerned about measuring out a particular dosage.

Since you’ll be ingesting CBD oils or tinctures, you may wish to find out how much CBD is in each serving — a serving is usually a 1 milliliter (ml) dropper full. To do that, determine the number of milligrams of CBD within the whole product then divide by the number of total milliliters. For example, if the CBD oil contains 30ml of liquid and 500mg of CBD, then you divide 500 by 30 to get about 16.6mg of CBD per serving, dropper, or milliliter.

If your product is an edible — chocolate, candy, etc. — or capsule, you may find that the package lists how many milligrams of CBD are in the individual items. If a bottle of capsules says that each capsule contains 30mg of CBD and there are 30 capsules in the bottle, that would be 900 total mg of CBD. Knowing the total number of milligrams of CBD in a package, whether it’s chocolate or tincture, can help you better compare costs across CBD products.

CBD oil usually comes with a dropper to allow consumers and patients to measure out their dose. Photo by: Gina Coleman/Weedmaps

Image lightbox

If the product contains THC, the label will tell you that as well. It may tell you the ratio of THC to CBD, such as 18:1, which would be a particularly THC-rich product, or 1:1, which would be more balanced.

The package will also specify whether the product contains full-spectrum, whole-plant, or isolate CBD, as previously mentioned. And, like any other product, the label will list what else is in it (coconut oil or medium-chain triglyceride oil derived from coconuts are common carrier oils), where it was made, and how it ought to be stored.

Will CBD oil ever cost less?

According to Flannery, yes, the price of CBD oil and other CBD products will come down, but not for a few years. “I think the primary driver is just the regulatory environment that we’ve lived in for so long has limited the amount of production we can do,” he said.

Beyond the legal landscape, there are many other factors that impact the average cost of CBD oil and other CBD products. Flannery noted it takes time to put together the capital expenditures and build out the infrastructure needed to produce CBD. A new hemp farm requires a minimum of two months to produce any crop, and in many places, the 2018 Farm Bill marked the first time it was legal. Plus, testing regulations are often much stricter when it comes to CBD oil and cannabis than to other similar herbal supplements or oils. Additionally, the quality of plants being grown, extraction methods, and other factors related to the production process all play a role in the average cost-per-milligram of CBD by the time the final product makes it to retail shelves.

“CBD is never going to be, in my opinion, as cheap as any off-the-shelf pharmaceutical or herbal supplements, but prices are still going to be going down,” Flannery said. That cost savings may come about, he said, when lawmakers begin to understand that cannabis is not, “the devil’s lettuce we were told it was.”

How Much Does Cannabis Oil Cost?

Whether you’re a new or experienced cannabis consumer, you’ve likely wondered, “how much does cannabis oil cost?” This new therapeutic product has earned high praise from medical and recreational users. Each bottle of cannabis oil, also known as a tincture, comes with varying ratios of cannabinoids at relatively steep prices compared to other health- and wellness-related products.

Despite the high markup for cannabis oil, many consumers regularly use this delivery method to reap all of the mental and physical benefits of two major cannabinoids: cannabidiol (CBD) and delta-9-tetrahydrocannabinol (THC).

A number of factors affect the price of the oil. You can expect to pay anywhere from $30 to up to $200 for a single bottle. Here’s what you need to know about shopping smart for cannabis oil.

How Much Does CBD Oil Cost?

CBD oil has become widely accessible to the entire nation. It’s revered for its non-psychoactive and therapeutic effects on pain, anxiety, inflammation, seizures, and other debilitating symptoms.

The health and wellness aspect of CBD oil commands a premium price for its symptomatic relief. Apart from its medical applications, there are plenty of other factors that determine how much consumers pay for cannabis oil in general.

Katie Stem of Peak Extracts told Weedmaps, “When examining a cost analysis from a production perspective, you look at labor, materials, packaging, labels, potency/purity testing, marketing, and shipping distribution.”

For manufacturers, bulk CBD can range from $3 to $15 per gram, which works out to be less than one cent to 1.5 cents per milligram. Consumers end up paying about $50 to $60 per 1,000 mg bottle, or about 5 to 20 cents per milligram.

Why Are People Paying Premium Prices for CBD Oil?

CBD oil products, in particular, offer many potential health benefits for medical and recreational consumers. People generally buy CBD oil to help them with inflammation, pain, anxiety, stress, depression, muscle spasms, fatigue, sleep disorders, and plenty of other symptoms.

Furthermore, CBD doesn’t produce the negative side effects, especially if you take the appropriate dosage.

Despite the popularity of CBD oil products, their efficacy has not been approved by the Food and Drug Administration. Only the CBD-based drug, Epidiolex, has been approved for medical use.

In fact, many hemp companies have received warning letters from the FDA for claiming unproven health benefits on its packaging and advertising. While CBD oil can help supplement a conventional treatment plan, it’s important to consult with your physician before starting a cannabis oil regimen.

How Much Does Cannabis Oil Cost?

Cannabis oil varies in price based on cannabinoid content, as well as the region where it’s sold. Seattle-based Headset published a report detailing pricing data for a variety of marijuana products in Washington State, California, Nevada, and Colorado. The price of THC oil varied by state.

For example, Colorado had the highest price at 41 cents per milligram, which was 64 percent higher than Nevada’s 25 cents per milligram. California and Washington both had a 30 cent per milligram average price for THC oil.

Here are just a few examples of THC oil prices in the Southern California market:

  • Mary’s Medicinals The Remedy THC has 1,000 mg of THC priced at $56, about 6 cents per milligram.
  • Raw 1:20 THC:CBD Focus tincture has 1,000 mg priced at $87, about 9 cents per milligram.
  • Select 1:1 Peppermint oil has 1,000 mg priced at $68, about 7 cents per milligram.
  • Care by Design 8:1 CBD-rich sublingual drops has about 240 mg priced at $40, about 16 cents per milligram.
  • Humboldt Apothecary Relax CBD 3:1 tincture has 250 mg priced at $65, about 26 cents per milligram.
  • Releaf 1:1 CBD:THCa tincture has 900 mg priced at $99.62, about 11 cents per milligram.

Marijuana vs. Hemp-Derived Cannabis Oil

Cannabis oil products can be derived from either marijuana or hemp plants. Both belong to the same Cannabis sativaplant species. Marijuana plants are primarily bred for a THC-rich resin, while hemp plants produce high-CBD resin with only trace amounts of THC.

Hemp-derived oil tends to be more affordable than marijuana-derived oil. When shopping for cannabis oil, consumers may run across terms such as full-spectrum, broad-spectrum, or distillate. Each comes with varying price points depending on many factors, including its source.

Full-spectrum products contain the original chemical profile of a strain, including THC, CBD, and terpenes. Broad-spectrum contains everything in the plant but the THC, for a non-intoxicating experience. Distillates only contain one cannabinoid, either CBDA or THCA. The compounds in full-spectrum and broad-spectrum cannabis oil not only add to the aroma, but also the effects and the price.

Research into cannabinoids indicate that the interaction between different cannabinoids and terpenes produces an “entourage effect.” This synergistic effect of the plant’s compounds is thought to enhance the therapeutic benefits of a cannabis product.

For this reason, many medical consumers look for full- or broad-spectrum cannabis oil. However, someone who doesn’t want the aroma of intoxication of cannabis, may stick with a CBD isolate.

Hemp-derived CBD oil is more widely available than cannabis-derived tinctures. Ever since the 2018 Farm Bill passed, hemp-derived CBD is legal all over the country.

If you’re hoping to buy cannabis-derived tinctures, you must live in a state that allows medical cannabis (at the very least). In these states, cannabis-derived tinctures tend to be pricier because hemp isn’t as expensive to produce.

Get our top rated STRAIN GUIDE!

Factors Affecting Cannabis Oil Costs

A bottle of cannabis oil can vary in price based on an assortment of factors from production to marketing costs. For example, cannabis oil made from organically grown hemp from Colorado will have a higher price than oil made from a plant grown in a state with a newer market.

Besides quality, potency also affects the price of a product. Cannabis oil with 1,000 mg of cannabinoids will be more expensive than oil with fewer cannabinoids per milliliter.

The cannabis industry has unique costs and challenges that can drive up the price of cannabis oil. For example, lab testing requirements can force companies to spend hundreds of thousands of dollars testing their oil for contaminants.

Lab testing can range from $100 to $400 per sample tested. In many cases, cannabis must be tested various times throughout the supply-chain process.

Furthermore, the cannabis industry can’t write off business expenses because according to the US federal government, the marijuana plant is a Schedule I drug with no medicinal value.

Dispensaries and producers may hike up their prices to offset some of these overhead costs. Industry experts believe that full legalization will help build a stronger regulatory framework for the industry to benefit both companies and consumers.

Is Cannabis Oil Lab Tested?

Certified laboratories can provide a complete analysis of licensed cannabis product samples. Third-party labs can test for potency including its cannabinoid and terpene profile.

Labs also test for pesticides, microbial contamination, residual solvents, and other harmful chemicals that can remain after the extraction process.

Essentially, lab testing ensures the product you are buying has the potency listed on the label. More importantly, lab testing ensures the product you are consuming has no harmful contaminants that can offset its therapeutic effects.

Lab testing can significantly increase the price of cannabis oil products. However, it’s up to you to make sure your product is actually lab tested. Most companies who lab test provide a certificate of analysis (COA) on its website. Simply type in the batch number found on the packaging into their lab results page.

Buying from a licensed cannabis retailer is one of the only ways to ensure you are getting a product tested by a third-party lab. While buying hemp-derived CBD oil online without lab testing may be cheaper, we recommend you spring the extra few bucks for peace of mind and security.

How to Find Reliable and Cost-Effective Cannabis Oil

Finding the right cannabis oil at the right price point can seem like an impossible task. Luckily, there are a few ways you make sure you get the most for your dollar based on your desired results.

It can take a few hours, days, or weeks of research to find the right cannabis oil. While price matters, some affordable cannabis oils can be just as effective as the most expensive cannabis oils. Here are a few ways to save money on cannabis oil.

  • Buy cannabis oil in bulk. Larger quantities mean more upfront costs, but the product often comes with considerable savings of up to 40 percent per milligram. Manufacturers pass their savings on packaging onto you. Buying in bulk can also earn you free shipping with most hemp-derived oil companies.
  • Follow your favorite cannabis oil companies or retailers on their social media channels to scope out special discounts, promotions, and giveaways.
  • Sign up for low-income, veteran, or other financial assistance programs if you qualify. Not every company offers this perk, but the ones that do may give you a discount of more than half off if you can send qualifying proof or apply for a spot in their program.
  • Buy based on price-per-milligram. In order to calculate the price per milligram of a cannabis oil bottle, divide the total price of the product by the milligrams of cannabinoids in the product.
  • When searching for bargains, always make sure you buy cannabis oil that has a certificate of analysis (COA) from an accredited third-party laboratory ensuring you have a safe and pure products.

Will CBD Prices Ever Come Down?

Industry insiders believe the price of cannabis oil will eventually go down, but not anytime soon. The industry’s strict regulations place an enormous burden on cannabis companies in terms of testing, taxes, and other rules on the plant’s production.

A variety of factors serve to limit the amount of cannabis production possible. Whether it’s commercial cannabis bans in your town or excessive licensing costs, it takes a lot of money to start up a cannabis company.

Cannabis oil may never be the most affordable natural medicine available, at least compared to pharmaceutical or herbal supplement products. However, prices are expected to go down as lawmakers become more supportive of the industry.

There are over 300,000 jobs in the cannabis industry. CTU trained me for one of them!

– Johanna Rose
Makes $24.50 @ THC +

Once they remove the harsh limits imposed on weed companies, maybe then will the prices become accessible for those who truly need it.

As you can see, the price of cannabis oil varies widely based on the source, quality, potency, location, size, and other manufacturing and marketing costs associated with the product.

The novelty of the industry and a lack of regulation have contributed to cannabis oil’s high prices, but consumers are hopeful that one-day cannabis oil can reach an accessible price point for everyone that needs it.

Stay tuned to the Cannabis Training University blog for updates on:

  • price of cannabis oil
  • THC oil cost
  • how much does CBD oil cost
  • Colorado cannabis oil cost
  • THC oil price per gram
  • how to ingest cannabis oil
  • cost of CBD oil products
  • cheapest full-spectrum CBD oil

Learn to Grow High CBD Cannabis

There’s never been a better time to learn to grow with legalization efforts ramping up worldwide! Enroll in Cannabis Training University to learn how to grow your own medicine so you can control your budget.

Become the next great cannabis grower with online cannabis training from the #1 rated marihuana school.