With interest in CBD products at an all-time high in the U.S. since industrial hemp operations were legalized last year, companies in the cannabis industry have been busy striking deals to get their products onto more shelves.
This morning Charlotte’s Web Holdings, Inc. (TSX: CWEB, OTCQX: CWBHF) just announced a major partnership with one of the country’s largest grocers to put topical products in 22 different states.
Beginning today, select locations in the Kroger chain of grocery stores are officially stocking Charlotte’s Web products, with more than 1,300 stores to eventually carry those items in the coming months.
Discussing the landmark grocer deal this morning, Chief Executive Officer Deanie Elsner commented:
In addition to the actual Kroger branded stores, the deal sees Charlotte’s Web getting products into a variety of subsidiary names in different states, including Dillons, Fry’s, Fred Meyer, King Soopers, Mariano’s, Pick ‘n Save, QFC, and the Smith’s line of grocery stores.
The full list of states to carry new CBD topicals through the Kroger umbrella includes:
- South Carolina
- West Virginia
While CBD products initially penetrated the U.S. market with tinctures, vape oils, and gummies at a variety of gas station convenience stores, topicals and other non-edible product types are increasingly appearing in malls, pharmacies, and retail stores.
Green Growth Brands (CSE: GGB; OTCQB: GGBXF) for instance is racing to open 200 Seventh Sense topical CBD mall kiosks by the end of 2019, while KushCo Holdings Inc. (OTCQX: KSHB) just launched a partnership with C.A. Fortune to help other companies enter the CBD retail market at scale.
To meet unprecedented demand for CBD offerings, Charlotte’s Web doubled its hemp growth this year in comparison to 2018 operations, while the company also just launched a regenerative hemp farming research project.
That research initiative is taking place through a partnership with Pocono Organics and aims to significantly increase the scale of hemp growing while reducing its environmental impact.