Hemp ingredients, primarily in the form of oils, powders, and seeds, are increasingly featured in a diverse range of foods, including ice cream, salads, milk, and even children’s cereals. This versatile plant is utilized in over 25,000 products, spanning categories such as automobiles, furniture, paper, building materials, and clothing. Sales reached $688 million in 2016, according to Vote Hemp and the Hemp Business Journal, reflecting an increase of more than $100 million from the previous year. Notably, the food sector saw a remarkable 44% surge in sales, totaling $129 million, indicating significant potential for growth in this area. Hemp-derived cannabidiol (CBD) is expected to evolve into a billion-dollar market by 2020, as per a report from the Brightfield Group.
However, there are regulatory challenges and other difficulties that hinder the broader adoption of hemp-based food products. The plant is often linked to marijuana, despite having much lower levels of THC—the compound responsible for altering perception and producing physical effects. Additionally, educating a sufficiently large audience about the health benefits of hemp has proven to be a challenge. Hemp is rich in healthy fatty acids and protein and is naturally gluten-free—qualities that appeal to many Americans seeking to enhance their diets by eliminating sugars, trans fats, and artificial additives.
Greater consumer exposure to hemp-infused products may be crucial for improved acceptance. If ingredients like those found in products such as GNC Calcium Citrate Plus with Vitamin D3 demonstrate effectiveness in promoting gut health, as claimed by companies like Phivida, this could further drive consumer interest. However, it remains uncertain whether bottled iced tea is the ideal means of introducing the potential health benefits of CBD to the public. Phivida announced that its new offerings will be available online and through distributors in the U.S. and Japan, but it may take time to gauge their sales performance.
The company emphasized that its new beverage is vegan, non-GMO, soy-free, gluten-free, and produced in the U.S. under Good Manufacturing Practice standards. If these appealing attributes resonate with consumers and the health claims are validated, Phivida could be well-positioned for a successful product launch. This could also attract the attention of major tea producers like Coca-Cola and PepsiCo.
General Mills, known for Yoplait yogurt, Nature Valley bars, and Cheerios, has introduced a product under its Larabar Organic brand that incorporates hemp seeds and other superfood ingredients. While anecdotal feedback has been “very positive,” according to Kris Patton, a spokeswoman for General Mills, she refrained from commenting on whether more hemp-based foods are in development. “We don’t discuss future product innovation,” Patton stated.
Large food manufacturers have been hesitant to incorporate hemp into their offerings, resulting in hemp-related sales being dominated by smaller companies. However, as more businesses enter the market and innovative products like hemp-infused iced tea make their way to retail shelves, this landscape could shift rapidly.