Three foreign companies (of American and Irish origin) are interested in Costa Rica, after recent advances made by the country for the production of industrial hemp and medicinal cannabis. This is reported by the Costa Rican Coalition of Development Initiatives (Cinde).
“To date there are no details that can be revealed because the process is premature and due to confidentiality clauses,” said Cinde. For the previous December, only two companies were interested. This means that after the law was approved in Congress, signed by the President and published in La Gaceta, one more company has set its sights on this market in Costa Rica.
Previously, Cinde had reported on the development of a plan for this industry to enter the country. For this, the experience of other countries was analyzed and the technical guidance of experts from Colombia and the United States was sought.
In 2020, a study prepared by the Foreign Trade Promoter (Procomer), indicated that the market for the sale of industrial hemp products alone exceeded $5,733 million and with a potential to grow 22% by 2025. Industrial hemp can be cultivated as fiber, grain or CBD (cannabidiol that has among its properties to relieve muscle pain).
The fiber is used to create bioplastics, textiles, and biofuels, among others. In the textile market, the world market, dominated by China, is estimated at $1,248 million.
Hemp grain can be used in food supplements or directly consumed from the seed, given its high nutritional value. Grain production, compared to CBD production, is less labor intensive and less profitable. Hemp can be grown for two or even all three purposes on the same site, but the quality of the fiber can be reduced.
The market for products with CBD such as supplements and beverages is estimated at $1,928 million with a growth of 57% in the 2016-2020 period, according to the Procomer study.