Kemin enters hemp-CBD space with Luxiva distillates range

By Stephen Daniells contact

- Last updated on GMT

© AndrisTkachenko / Getty Images
© AndrisTkachenko / Getty Images

Related tags: Hemp, Cbd, CBD and Hemp, hemp extracts

Iowa-based Kemin is expanding its portfolio to introduce a range of USDA-certified organic, traceable, U.S.-grown hemp CBD distillates for use in health and wellness products.

The new range, which is branded Luxiva, includes two hemp CBD distillates:

1. A full spectrum cannabidiol (CBD) distillate (0.3%) extracted from hemp stems, leaves and flower of Cannabis Sativa​. It contains a minimum of 60% CBD content with a total THC content of less than 0.3%.

2. A full spectrum CBD distillate (0.1%), which contains a minimum of 60% CBD content with a total THC content of less than 0.1%.

The extracts are being sourced via the company’s partnership with Wisconsin-based Driftless Extracts LLC. Kemin announced a strategic investment in Driftless earlier this year​.

Driftless Extracts, based in Lone Rock, Wisconsin, sources its hemp from growers located in the so-called Driftless and Central Sands growing zones in Wisconsin.  The company operates from a LEED-certified Gold facility in Wisconsin and aims to establish a renewable materials industry within the Great Lakes manufacturing sector that marries natural hemp materials and manufacturing.

“Certification by a credible source”

“The Kemin team is excited to announce that Luxiva hemp CBD distillates are now available to help our customers elevate their health and wellness innovation products,”​ said Tyler Holstein, Global Product Manager, Kemin Human Nutrition and Health.

“The line includes two new products that are USDA-certified organic and fully traceable to hemp farms in the Midwest United States. Kemin ingredients are made in facilities with third-party GMP (Good Manufacturing Practices) certification and products that conform to the law and requirements governing hemp to help customers get new products to market quickly.

“They provide the added benefit of certification by a credible source—something that CBD consumers look for when making their purchase decisions.”

Both extracts are described as being derived from fully traceable hemp grown in the US, are non-GMO, vegan, kosher, and USDA organic certified.

Market

CBD and hemp have experienced stellar growth in recent years, and sales of dietary supplements with hemp-derived CBD ranked number one in the natural channel in 2019 and were number 9 in the mass channel, according to the American Botanical Council (HerbalGram 127​). Total sales for the two categories were $126.6 million in 2019.

However, 2020 was tougher year for hemp and CBD, with HerbalGram 131​ reporting that sales of dietary supplements with hemp-derived CBD in the mass channel shrank 30%, dropping it to number 16 on the rankings. The products retained their number one status in the natural channel despite sales decreases of 37%. Total sales across the two categories were almost $84 million.

Some market-watchers remain bullish, with the Nutrition Business Journal​ reporting that U.S. sales of hemp-CBD products (not just dietary supplements) were $803 million in 2020, with the category expected to reach $1.2 billion by 2023.

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