The most prominent beverage company in the world, Coca-Cola, is the latest to express their interest in the booming CBD industry. Is Coca-cola going to make CBD wellness beverages?
The CBD wellness beverages market is heating, as Coca-Cola enters the race. According to Kent Landers, Coca-Cola spokesman, “We have no interest in marijuana or cannabis. Along with many others in the beverage industry, we are closely watching the growth of non-psychoactive CBD as an ingredient in functional wellness beverages around the world. The space is evolving quickly. No decisions have been made at this time.”
BNN reported that Coca-Cola had been in contact with Aurora Cannabis in an effort to produce a new line of CBD wellness beverages. Neither Aurora nor Coca-Cola would confirm this statement, however, Aurora Cannabis chief executive Terry Booth did mention that his company had been collaborating with several different beverage makers this year.
“I think it’s important to have a beverage, period,” mentions Booth in an interview with Bloomberg. “We can’t comment on speculation at this time… We’ve spoke [sic] to at least three different beverage companies in the space in the last three months.”
CBD wellness beverages are right in line with common beverage trends in recent years. Beer sales have been dwindling in lieu of wine, while sugary drinks like soda have also been losing their footing in the marketplace. Consumers are looking for healthier and smarter food and drinks these days.
CBD has become an increasingly popular additive in beverages due to it’s many health benefits which include but are not limited to pain relief, anti-inflammatory, anti-anxiety and anti-depressant, and of course, a powerful treatment for various forms of epilepsy.
And Coke isn’t the first company to dip a toe in the CBD wellness beverages pool. Just a few weeks ago, alcohol giant Constellation Brands announced that they are investing $4 billion dollars into Canopy Growth. Another major brand, Molson Coors entered a partnership with Canadian company Hydropothecary Corporation, and Portland’s Coalition Brewing launched their own CBD-infused beef called Two Flowers IPA.
Just as Canopy’s stock surged after Constellation Brands invested, shares of Auroa Cannabis increased by over 18%. Additionally, other cannabis stocks were up such as Cronos group (2%) and Tilray (7%). Expect more companies to look to the cannabis market as states continue to legalize.