Posted on January 31 2019
Nobody could have seen the type of growth the hemp industry is experiencing right now when it was first legalized in Switzerland all the way back in 2011. It started slowly with barely anyone being in the retail business by 2016. However, something just clicked during that year that sparked an enormous surge in demand across Europe and the rest of the world for hemp-based products especially CBD extracts.
The hemp industry is open for business
When Switzerland began allowing its citizens to grow and use hemp to extract low THC and high CBD oils, there was hardly any demand locally. Sure, people were flocking to their local dispensary, but it did not command the money that it does today.
The entire industry is on a path of growth
When other countries began lifting their ban on the product in 2016, business was suddenly on the upswing. From a paltry five at the beginning of 2016, the number of producers grew to 400 by 2017. Hemp-based medicines have become in vogue all over Europe.
Some estimates suggest that the industry as a whole is poised to grow by 700% to the tune of $2.1 billion in 2 years. Being the first advanced economy on the scene of CBD cultivation, Switzerland was poised to take over the industry. So, now other developed economies of the world such as France, United Kingdom, and even across the Atlantic in the United States, several of the early investors in the business of CBD has begun raking in the serious cash.
It’s a little unfair to think that Switzerland is also the birthplace of the massive modern pharmaceutical industry that the hemp industry is projected to disrupt. But with that jealousy aside, let’s take a look at some of the country’s market players in the hemp industry.
KannaSwiss is perhaps the biggest name in the Swiss hemp industry right now. Their products with high CBD and low THC litter the streets of Switzerland. They sell in small kiosks, convenience stores, and specialty shops in Geneva, Bern, Lugano, and other large cities. However, its most ambitious goal is to penetrate the international market, and it's doing just that slowly but surely injecting itself in the market that has just legalized it. Their first expansion plans, for example, is already underway in Spain by acquiring land to plant and grow more hemp plants.
In its most recent reports, their data shows that demand for their product has increased 15-folds in just under two years.
Werner Bosch is the first person to grow hemp indoors. It only fits that his business has become one of the best-known hemp oil producers in Switzerland. He reports that he’s able to sell 20 kilos per month. The basement of his Zurich home serves as his main growing plantation. His approach differs from more industrial growers like KannaSwiss because he intends to keep his plants indoors. This way, he suggests, is a more economical approach to CBD cultivation.
Job creation at its finest
The industry's sudden growth has spurred an avalanche of jobs. From technical positions such as researchers and chemists to business and marketing positions such social media manager, the job market in the industry has both volume and breadth. If you want to get into the industry, there's undoubtedly a position that's suited for your skills.
How does it serve two markets?
The health benefits for humans of hemp oils rich with CBD has been much talked about but not very well documented. This is because its previously held illegal status in most countries made it extremely difficult to conduct research and experiments using the product. Its recent liberalization, however, is uncovering new data every day that reinforces the decision to legalize.
Studies, albeit still in their early stages, have shown that CBD has multiple beneficial effects on humans. It kills cancer cells, prevents neurological illnesses, lowers blood pressure, and effectively numbs pain while keeping homeostasis in the body.
Perhaps one of the most overlooked aspects of the industry is how it can also cater to beloved house pets. Dogs specifically are catered to by the hemp industry as well. Veterinarians are also getting in on the action by prescribing CBD to man's best friend for injuries and ailments such as sprains, and bone breakage. It also helps with other more severe illnesses that often occurs in dogs such as arthritis, compromised immune systems. Researchers are also tasked with finding out how CBD affects diseases such are diabetes and cancer in our pets.
Adam Smith's invisible hand of capitalism has been busy with the freshly minted hemp industry. Investors are ready to fund the growth to take their share of the proverbial pie. Right now, everything is aligning for the industry to flourish making more room for market players to enter and compete. The discovery of new markets aside from recreational users is also good news. All of this, paints a beautiful picture of growth for the entire hemp industry as a whole.