(Newswire.net — March 17, 2020) —
Without a doubt, the Coronavirus pandemic has impacted virtually every industry in the country. Those who do business overseas have likely seen their companies grind to a halt due to issues related to international shipping. Professional sports leagues including the PGA tour, the ATP tour, the WTA tour, and even UFC have suspended their leagues, joining mainstream sports such as the NBA, the MLB, and the NHL. At the same time, the cannabis industry is not immune to the effects of the Coronavirus pandemic either.
Growers, retailers, and consumers are likely going to join the ranks of other global industries that are going to feel the impact of the Coronavirus pandemic. One of the biggest reasons why is that much of the CBD hardware is actually made in China. Combine this with the economic shock the Coronavirus pandemic is delivering and it is easy to see how and why so many people are impacted by this virus. The virus has spread quickly, starting in China before reaching Europe and the United States. The Coronavirus pandemic has caused global markets to enter a state of free fall, causing nearly everyone to feel the sting. Now, many people are questioning how the CBD marketplace is going to be impacted.
There are a few experts who have weighed in on the potential impacts. First, there will likely be a shortage of certain pieces of hardware, including vaporizers, as many of these products are made in China, which is still on lockdown. Many people in China have not been allowed to leave their homes. There will also be shortfalls of raw materials from China as well. In addition, there will also be a financial ripple that will be felt from the stock markets taking a plunge. This is going to scare people away from investing in anything right now. This includes companies that make CBD oil, CBD cosmetics, CBD capsules, and more. Without a doubt, this is going to be a wake-up call for CBD companies everywhere.
In order to mitigate the impact of the Coronavirus pandemic, CBD companies need to take a close look at the supply chain. Make sure there are multiple locations from which to draw inventory. People need to know where their products are coming from and have a backup plan in place. While many companies have gone with the cheapest option, which is China, it is also a good idea to have alternative options. These options are important during a time of crisis, such as the Coronavirus pandemic. Like other industries, the CBD market is going to rebound as well. The only question is when this is going to happen.