Just wondering if anyone here is actually buying oil or if everyone is just selling? Seems like everyone and their mom are making 1000+kg a month but is anyone really purchasing all of this? We are sitting on a ton of product and are having a hard time moving it no matter how long we drop pricing.
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Nobody wants to buy until they are sure the market has stabilized. Why spend now if price is going to continue to drop?
Im finding that buyers are even taking quotes from one lab to the next and making them outbid each other.
Our focus now is on small orders that require quality
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Lots of people are buying. What is lacking in general I notice with most CBD producers is a strong sales force.
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My experience is in Colorado and surrounding areas if it matters any
Some are buying but not many are buying in the quantities larger extractors are wanting to sell, and especially not at the prices we’d all like to get.
I’ve heard word from a couple of distillers that they’re seeing more scam “crude” - distillation leftovers cut with MCT or other cutting agents. I can’t blame them for not wanting to pay good money for garbage, but as someone who does business honestly and produces a premium product it stings to hear that reasoning.
Crude is definitely moving slower than distillate, we weren’t able to sell a backlog of crude as crude, taking to distillate and had a buyer lined up in short order.
I think the FDA has a lot of potential buyers and people making products for the retail market spooked. I think a number of people are waiting for more regs or legislation to come down the pipes before they make moves. Nobody wants to get left holding the bag when we’re talking about a lot of money potentially wasted.
No farmers want to invest their own money for a toll, everybody seems to want a split even if the terms are less than favorable for the one providing the biomass, and unfortunately the landlord and utility company want paid in cash, as of yet haven’t found a single one that will accept buckets of extract. We’ve adjusted our tolling price down from $15-16/input pound at the start of the season down to $6.50/input pound and tolls still seem to be few and far between for cold ethanol extraction to a winterized and decarbed crude product filtered to 1 micron.
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Yeah that’s the tough part, tho- craft ourselves right out business with these types of overheads
Yep, you’re absolutely right. It’s going to be a slow grind for the next several months, barely inching by to cover overhead. And a lot of people think this slump will last beyond next season.
Im focusing on partnerships with other companies that do not owe investors.
It’s the companies that raised millions that are in the worst position. They have to dig themselves out of a hole with a hand shovel.
Everything that we sell is ours
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I also strongly agree that the larger companies are in the worst position. Luckily we started small. Only put in a small amount of capital and can remediate about 4kg per day. There were times I wished I had a larger facility but am thankful I do not now. Also looking to build relationships with other smaller companies that will survive and can preform.
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How is your process with preserving minor cannabinoids?
I have noticed that the constant buyers and the guys who have actually distribution. They are still buying at above market prices. This is because they want a consistent product and x volume.
They will pay. If someone is looking for the cheapest crude they are just doing market research IMO.
I can’t get rid of the pile of cbg after mile high labs backed out. That market is toast already and all these farmers are buying CBG…
Demand is 100% there and only growing tremendously.
“Infiltrate the dealer, find the supplier.”
We keep 90-95% CBD CBG CBDV. About 30% CBN and I lose the THC and CBC. Also are certified usda organic. ~80% yeild.
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