How Much does CBD Oil Cost?

If you are a cannabis enthusiast, you might have noticed the surging demand for cannabidiol (CBD) oil. Despite the hype surrounding this non-psychotic cannabinoid increasing each day, the pricing continues to raise eyebrows. Are CBD oil buyers exploited? Does the complex process of extracting CBD justify the seemingly inflated prices? To answer this pressing question, we will look at the benefits.

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Why do People Pay so Much for CBD?

The high cost of CBD oil remains a subject of discussion among cannabinoid enthusiasts. There are several reasons why people continue to buy CBD oil, despite it being pricey. First, CBD products can help you in managing a chronic medical condition. People battling with a sleep disorder, chronic pain and inflammation, and anxiety are willing to part with insane amounts just to get a dose of CBD.
Second, consuming CBD is becoming a lifestyle for many people. They are willing to part with large amounts of money to appear classy.

Read More: How to Find the Best CBD Product

Factors of CBD Oil Cost

how much is CBD

Novice CBD oil consumers might feel that the prices for CBD oil are exaggerated. However, this might not be the case for experienced CBD users since they know more about the production process. The high requirements by the regulators and sophisticated production processes affect the price of CBD. The following are the five major factors that affect the pricing of CBD oil:

Hemp source

The source of hemp used to make CBD oil affects the overall price. You can only find the best hemp source in domestic farms where the growing conditions must be optimal. CBD oil manufacturers have to incur extra costs to get top-grade hemp, given that the 2018 Farm Bill is still in place. Manufacturers also prefer American-grown hemp since it meets all the requirements.

Growing hemp organically is also harder. The hemp extract must meet strict requirements set by USDA, which make the growing process hard. The 2018 Farm Bill and the USDA’s strict requirements explain the reason behind the high cost of CBD oil.

CBD potency

The amounts of CBD in CBD oil are crucial to the user since it alters their overall effects. High CBD potency gives users better effects and, as a result, costs more. Each milligram of CBD in highly potent CBD oil counts. At face value, highly potent CBD oil might be costly, but the cannabinoid’s value is unmatched.

Product form

There are three types of CBD; full-spectrum, broad-spectrum, and isolates. Full-spectrum CBD products contain some THC levels, other cannabinoids, and plant compounds. On the other hand, the broad spectrum undergoes an extra process to remove the THC. Finally, isolate products contain just the CBD. Broad and isolate CBD products undergo an additional distillation process to remove the THC, making them pricey.

Medics administer broad-spectrum or CBD isolate products due to the absence of THC. On the other hand, CBD lifestyle consumers prefer full-spectrum or broad CBD spectrum products due to the entourage effects. These forms of CBD also contribute to the high cost.

Extraction method

CBD cost

Harvested hemp has to undergo an intense extraction process to provide consumers with high-grade CBD oil. The extraction process is extreme, and the manufacturers have to transfer the CBD oil cost to users.

For example, after harvesting hemp and taking it through the decarboxylation process, the cannabinoids and other plant compounds must be separated through extraction. Most CBD companies prefer the CO2 extraction process due to its efficacy. However, the extraction process comes at a high cost, which consequently makes the oil expensive.

The extraction machine, evaporator, and decarboxylation machine costing an average of $140,000, $20,000, and $6000, respectively, explain the reason behind the high CBD oil cost.


The 2018 Farm Bill requires all hemp-derived CBD products to undergo third-party lab testing. The tests are carried out by qualified laboratories, which charge high.

The testing makes the products compliant with quality requirements and also increases consumer confidence. Before the CBD manufacturer involves the third-party testers, they first conduct in-house testing, which is relatively costly. The testing process is expensive and contributes to the high cost of CBD oil.

Read More: How is CBD Made?

Is it Worth the Cost?

CBD oil cost

At this point, you must have noticed that CBD oil undergoes a complex and costly process, hence the high cost. However, the big issue remains, is there any positive return on investment? To answer this question, we have to look at the benefits of CBD.

First, CBD oil has several health benefits. People battling anxiety disorders, chronic pain and inflammation, and sleeping disorders have reportedly improved the conditions. Many people are willing to pay the price to get these health benefits.
Second, you can buy CBD in many forms, from CBD oil tinctures, hemp oils, topicals, edibles to vapes.

You can take CBD tinctures, CBD capsules, and gummies to manage internal body problems. If you have an external body injury, you can apply CBD topicals for instant results. If you revere the CBD flavor, you can put it in vape pens and smoke it away. The extensive collection of CBD products partly explains why buying them at a high price is justified.

Third, CBD oil rarely reacts with other drugs or even the body. As a result, people with highly reactive bodies prefer it to other medications. These properties explain why CBD is slightly priced higher than other supplements.

With the above three properties, we can now get a clearer picture of why people buying CBD oil pay a higher price.

However, this does not justify any form of exploitation by sellers.

How Much is Too Much for CBD?

Different CBD brands have set different prices for their products. As a result, it is hard to find out whether you are getting value for money. After researching the CBD market, we established several parameters that can be used to price the CBD products. First, the average cost of a milligram of CBD was calculated by dividing the product’s total cost by the number of CBD milligrams. Therefore, if a bottle of CBD retails at $100 and the total CBD milligrams are 1,000, one milligram of CBD would be $0.10.

Second, we established that a milligram of CBD costs about $0.10. Therefore, paying twice this price for the same amount would be a rip-off. Second, we found out that the average price for a milligram of CBD in full-spectrum, broad-spectrum, and isolate cost an average of $0.104, $0.097, and $0.075, respectively.

We established that the higher the cannabinoids and plant compounds in the CBD, the higher the price. Partly, this is due to the high regulatory requirements and taxation charged on the cannabinoids present. However, the high price does not justify the exploitation of naïve buyers.

Read More: Why is CBD So Expensive?


The high price of CBD oil has been a major area of concern for buyers and consumers. There is scarce information about the cannabinoid’s effects, and therefore regulators are stuck on obsolete laws. The strict regulations force CBD manufacturers to follow long processes, which raise the expenses, and consequently, the oil’s price. As more states legalize CBD products, we are optimistic that the laws will also become more favorable, pushing the prices on a downward trajectory.

However, we cannot overlook the fact that some sellers overprice or sell substandard CBD products. To avoid falling victim to this exploitation, you should compare prices from different sellers and settle for the best.

CBD Oil Cost FAQs

Why does CBD oil cost so much?

The high cost of CBD oil is attributed to the strict regulations, high cost of extracting the cannabinoids and other compounds, and medical benefits. The high cost of the machines for extracting CBD and third-party lab tests make the oil pricey.

How much should I expect to pay for CBD oil?

When buying CBD oil, you should expect to pay about $50 for a 1,000-milligram bottle, translating to 5 cents. However, most CBD oils are priced between 10 to 15 cents per milligram of CBD. Therefore, you should prepare to spend between $0.05 and $0.15 per milligram on average when buying CBD oil.

How much is CBD oil?

The following factors affect the price of CBD oil:

  • Forms of CBD -full spectrum, broad-spectrum, and isolates
  • Formulation – gummies, capsules, tinctures, vapes
  • CBD potency – Highly potent CBD costs more.

The average price for one milligram of CBD based on the factors above is $0.10.

Is CBD oil worth the price?

CBD oil has the potential for managing various health conditions. People suffering from anxiety disorders, insomnia, chronic pain, and inflammation can use CBD oil to suppress their severity. CBD oil rarely reacts with other medications. These factors make CBD pricing fair.

How much is 1g of CBD?

The average price for 1 gram of CBD varies from one seller to another. However, going with $0.10 as the average price for 1milligram, you would have to pay $100 to get 1gram of CBD oil. For CBD oil with low potency, you can pay $50 for 1gram.


Updated on March 16, 2021.

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