Why Are Concentrates Growing So Quickly?

Why Are Concentrates Growing So Quickly?

A new report calls concentrates the “hottest product category in cannabis.” Why is this market booming and will it keep growing?

Cannabis concentrates are obtained through extraction of the cannabis plant. The most desirable compounds are “saved,” whereas all excess material is removed. Depending on the parts of the plant that are used, the concentrate could contain either THC or CBD, or both.

As we’ve discussed previously, one of the most well known concentrates is hash. The resin is compressed in order to make this smokable product. It’s possible for growers to breed cannabis strains with a high trichome production, with the goal to make hash.

Butane hash oil is also a cannabis concentrate, known as BHO. Butane is used to extract cannabinoids from the plant. The THC content of BHO can be as high as 80%, making it very useful for pain relief.

Why such growth?

One of the possible reasons for the growth of the concentrates market is that new users find concentrates more comfortable to use. While legalization has led to more and more people being willing to try marijuana for the first time, smoking dried flowers might not appeal to those who’ve never smoked before. Concentrates might seem like a healthier alternative.

When you use concentrates, you don’t inhale smoke, thus saving your lungs. Concentrates can be vaporized with a vaporizer or “dabbed,” and can also be used to make edibles. Not only is a brownie is healthier than a joint, it’s also much more discreet.

This difference is also very appealing to entrepreneurs. Selling only flowers means attracting only customers who smoke, while selling different types of concentrates means attracting a wider range (see: more) customers.

According to BDS Analytics, U.S. consumers are expected to spend $2.9 billion on concentrates this year. By 2022, the firm says, that number is expected to hit $8.4 billion and nearly match the $8.5 billion in flower sales forecast for that year.

Are concentrates the next big thing for cannabis investors and entrepreneurs? It sure is looking that way.