Market Rate Supply Contracts VB Labs Website
Want to guarantee supply at the market rate? Typically prices go down so this is like locking in price decreases when the market price decreases. This helps us have a lasting relationship and minimizes haggling. Sign up for a MRSC market rate supply contract. We can fulfill large contracts greater than 100 kilograms/liters per month.
Fill out our form to express interest in signing a market rate
Why Market Rate Supply Contracts?
Hear phrases like lock into a contract? We at VB Labs think it’s crazy to lock farmers and retail brands into fixed price contracts. It can cause anxiety on both sides. Farmers insist we are held to the lofty standards of the previous year. Then we need retail brands to buy at higher than market prices for us to make money. Then attorneys get involved to see how enforceable the contract is and the only ones making money are the attorneys.
What if I insist on a fixed price contract?
Does your farmer network do Market Rate Supply Contracts also?
How is the market rate determined?
It’s determined by the monthly Hemp Benchmarks report. The day the report comes out, we adjust prices the next day.
Do you use the median or the high side? What specific price point is used for each of the bulk ingredients I buy regularly?
All of our products are derived from full spectrum distillate so we use the median price for full spectrum distillate +/- a certain percentage depending on which bulk ingredient is supplied.
What is the largest capacity you can handle?
We can fulfill large contracts greater than 100 kilogram/liters per month.
What is the most I can buy per month without getting into a contract?
10 kilograms/liters per month. Keep in mind a contract is for you to receive a large amount reliably, to solidify your supply chain. This limit helps our planning committee.