CBD producer: what steps are needed to get started?

CBD producer: what steps are needed to get started?

A rising star in the fields, hemp is now the new El Dorado for farmers. The appeal? Meeting booming demand for cannabidiol (CBD) products. Are you thinking of becoming a CBD producer and developing a profitable business? We outline all the steps you need to take.

1. Understand the rules in force

In France, growing and selling CBD is entirely possible... provided certain rules are followed. These rules encourage the development of a clean industry and safe products for consumers. If you want to become a CBD producer, here are the key points to remember:

· Hemp must not contain more than 0.3% THC.

Unlike CBD, THC is a psychoactive substance. For safety reasons, hemp varieties must not contain more than 0.3% THC. Otherwise, you may face severe penalties. As a CBD producer, you are therefore required to analyze your products regularly.

· Only grow legal varieties

The authorized hemp varieties are listed in a decree of the Public Health Code. These include: Fedora 19, Fedrina 74, Felina 32, Carmagnola, C.S. and Uso 31. The seeds must come from approved distributors such as the CCPSC (Coopérative Centrale des Producteurs de Semence de Chanvre). If in doubt, contact your local chamber of agriculture or the FNPC.

· Do not market CBD products as medicines.

French law prohibits the sale of CBD products for medical use. Although CBD has positive effects on the body, it should never be sold as a medicine, but as a wellness product or dietary supplement.   

Did you know?

Given the benefits of CBD, some European countries are adopting more flexible legislation. This is the case, for example, in Switzerland, where the maximum THC level is set at 1%.

2. Mastering agricultural skills

Growing CBD hemp requires expertise in agronomy and management. Technical processes (plant production, water and nutrient requirements, etc.), harvesting, drying methods, extraction, etc. Growing CBD means constantly learning! You also need to know the characteristics of hemp. Note that with the rise of organic CBD products, mastery of ecological practices is a plus.

To learn more, there are many online resources (videos, articles, etc.) and discussion forums (forums, Facebook groups, etc.). What's more, there's nothing more effective than a professional network for boosting your expertise: good relationships allow you to acquire valuable knowledge and stay on top of trends.

Psst! Chambers of Agriculture offer training courses on growing CBD hemp. These courses are covered by the Compte Personnel de Formation (CPF) and by OCAPIAT if you are an agricultural employee. You can also take a specialized program with an industry expert or an online training course to develop your expertise on CBD (phytocannabinoids, endocannabinoid system, etc.).

3. Obtain farmer status

To become a CBD producer in France, you do not need to obtain a specific license. However, you must obtain farmer status and be covered by the MSA (agricultural social security). This is granted provided that certain criteria are met (ownership of land, legal registration, etc.). For assistance with this process, contact the Chamber of Agriculture in your department. 

4. Set aside financial capital

Operating a CBD farm involves significant costs. On average, a budget of around €200,000 is needed to get started. This includes the cost of authorization, land, labor, equipment, and transportation.

This budget varies depending on your type of business. Here, we are talking about CBD producers who choose to grow hemp to produce CBD products. If you plan to only handle extraction or manufacture finished products containing CBD (capsules, creams, oils, etc.), the initial investment will be different.  

To become a CBD producer without growing your own hemp, you will need to source your supply from another company. This is an attractive option if you don't have green fingers or the necessary budget. To successfully enter the CBD market, the key to success will be finding a reliable CBD wholesaler.

> See also: How to choose the right CBD wholesaler for your business?

5. Get started!

Are you ready to start your project? The first step is to prepare the ground and start producing hemp. A tip to help you stand out as a CBD producer: avoid using chemicals such as pesticides, and favor extraction methods such as supercritical CO2 or cold extraction. The quality of CBD depends largely on the extraction process.

Requirements To do
Regulations □ Know the rules (compliance with THC levels, etc.)
□ Obtain farmer status
Skills to be acquired □ Master the botany of hemp: different varieties, life cycle, specific needs in terms of water, soil, and light, diseases, etc.
□ Learn about agricultural techniques: ecological practices, etc.
Training and preparation □ Take specialized training
□ Develop your professional network
□ Raise the necessary funds
Business development □ Register your business with the police and the FNPC (French National Confederation of Producers)
□ Source your supplies from an approved organization
□ Prepare the land (or find a reliable wholesaler if you do not grow hemp)