In toll processing, the client provides raw materials (semi-finished goods) to a third-party, who will then provide the rest of the services (toll processing & refinement). The third-party already has the particular large-scale equipment, quality controls, and organizational models in place, and they supply manufacturing processes to the client for a fee – or toll.
(ex: Client has 20,000lbs of CBD Hemp Biomass. They contract with a Toll Processor to create Crude Oil from the Biomass, for a fee of $15/lb. The Client gets 1,500kg of CBD Crude delivered back to them)
As a toll manufacturer, CBD and Hemp Group provides clients with the capability and resources to process hemp biomass into higher value products such as CBD crude, distillate, isolate, and water-soluble. The client then has a fixed cost per lb of manufacturing, without having to make a heavy financial investment in equipment, facilities, employees, and expertise. The client is able to develop the exact product they envision, without the time and capital investment of building a manufacturing operation. This significantly decreases the time required to get the product to market, as lead times for ordering and installing new machinery are eliminated.
On a cost per pound of industrial hemp we charge: $15 per pound to convert into decarboxylated crude.
The other option is a toll-processing profit share. In this model, we process the material for free and split the finished material 50/50. You can keep the 50% of finished product or sell directly to us at current market rate. Or we can process your crude into THC-free distillate for another $1000 input per liter.
CBD Extraction Prices
Extraction Price Step 1: Biomass into Winterized/Decarboxylated CBD Crude Oil
· $15 Flat Rate per pound of hemp biomass
If you supply the hemp biomass to our facility, we will convert the biomass into winterized and decarboxylated cbd crude oil. A customer can expect 55-70% CBD from the crude depending on the quality of hemp biomass flower.
Extraction Price Step 2: Converting CBD crude oil into CBD Distillate
· $1.00 per gram flat rate – Crude into CBD Distillate
We charge an additional $1.00 per gram if you wish to turn Winterized/Decarboxylated CBD crude into CBD Distillate
Extraction Price Step 3: Converting CBD Distillate to Isolate
· $1.00 per gram flat rate – CBD Distillate to Isolate
We charge an additional $1.00 per gram if you wish to turn CBD Distillate into CBD Isolate
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