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The Most Important Factors When Choosing a Private Label CBD Manufacturer

August 6, 2019
Private Labeling

With the endorsement of the Farm Bill of 2018 in the United States, the CBD market has since been continuously expanding. While hemp farming was legal in some states, this bill allowed the production of hemp to become legal on a federal level.

A large population of people uses CBD products for its numerous medical purposes. The demand for these products increased over time as well. The CBD market in the United States alone is expected by most research firms to reach $20 billion in sales by the end of the year 2022. With this, both the numbers of retailers and private label manufacturers of CBD has significantly increased throughout the year.

While many manufacturing companies make bold claims to have the best CBD oil on the market, it may be challenging and confusing to know which ones are actually reputable vs. which ones are a bucket shop.

Does the manufacturing company create quality products?

The source of the CBD oil is the foundation of creating consistent products. The question must be asked whether the product manufacturer gets the CBD oil from somewhere else, or do they extract it on their own. CBD oil with an unknown source can produce low-quality products and inconsistent formulations. Every CBD oil extraction technique is different, so if a product manufacturer sources their CBD from multiple vendors, their products will be inconsistent as a result.

The process of making sure that quality products are produced starting with the hemp plant. The right agricultural practices with strict nutrient guidelines used for farming set-up the right condition to produce high-quality plants. Organic farming of hemp plants assures you that the products produced are all-natural and free of chemical pesticides. Quality hemp plants processed in the right conditions would only produce quality oils.

The extraction process is one of the important steps in production. Poor extraction methods produce low-quality CBD. Dedicated manufacturing companies use clean CO¬2 extraction methods instead of solvent-based extraction, even though it is more expensive. CO-2 produces a cleaner and purer CBD oil.

Also look into the manufacturers capability of producing 0% THC free products, this will allow shipping of your brand to many countries all over the world. Find a company that goes the next step and can purify and isolate CBD incase one of your product lines calls for it.

Private label manufacturers that handle the CBD production from beginning to the end guarantee the production of consistent products.

Does the company provide rational pricing? What is the minimum order quantity?

Make sure that the pricing structure of the company is reasonable. If the company offers a wide variety of products, then review the strengths and concentration of each product to identify if it is cost-effective. Consider your target customers and try to estimate the cost you will spend in having the products manufactured vs how much you are willing to sell the products for.

Also, consider the minimum order quantity requirement of the company. Many of the companies in the CBD industry requires a minimum order quantity of at least 500 units, which is not advantageous to those who are just starting the business or to those who are still trying to find the product that suits them.

Good communication between you and the company can establish what you need, what you want, and what they can offer. Make sure they are upfront about all costs including account set-up fees, art department fees, minimum order quantities, and make sure there are no hidden fees.

Are the products produced in a clean, trustworthy facility?

With the rapid growth of this industry, many companies would just charge carelessly in production that will result in low-quality products.

Find a manufacturer that takes quality control seriously and has its own laboratory, this can assure you that the product in each stage of production passes the standards. Production and manufacturing of CBD products should be under meticulous processing and strict compliance to assure quality.

Laboratory protocols should be followed strictly to make sure that the products are pure, safe, and consistent.

A trustworthy facility should:

  • have good quality management systems
  • comply with ISO-9001 quality standards
  • adhere to UPS 232,233
  • follow cGMP
  • keep all manufacturing records
  • produce products in C1D1 clean room


Why are these factors important?


Choosing a reliable private label CBD manufacturer is the most important first step, because it determines the quality of your products, your bottom line, and your brand. Their competency and credibility equal your competency and credibility. These CBD manufacturers will affect the development of your business and long-term profits. Find the right manufacturing partner who provides reliable lead times, innovative products, and can scale with your company throughout your journey in the retail CBD product industry.


Eileen Reyes, Content Manager

Eileen writes with the motivation of making this world a better place, and has a passion for the hemp industry. She's spent 5+ years as a content creator who loves to paint and travel. If she is not at her desk writing, she can be found playing with her dog, Beebop.

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