Let's talk about grading.
And no, not the kind you earn in school. Vanilla beans are graded as Grade A, Grade B, or ungraded. 
The difference between grades A and B. The primary differences between the two are moisture content and length. Both types have their uses.
As shown in the chart above, both grade A and grade B beans have their own purposes. Grade A beans are more suited to fresh uses, such as in cooking and baking where you want the vanilla bean specks to be present (called caviar in the industry). Grade B beans are dry, which makes them more suited to extracts and vanilla bean powders.
Now is one better than the other? No, it's the same vanilla. So why are grade A beans more costly than Grade B? It all comes down to supply and demand.
Grade A beans tend to be more rare than Grade B. This is because in order for a bean to be grade A, it must be unsplit and of a longer length. This is difficult because of the conditions described in our previous blog about how they're harvested. In summary, beans must be harvested right when they're determined to be ready otherwise they will split and lose value. This "loss in value" is going from Grade A to Grade B, which can reduce prices by as much as $15/kilogram. That's almost a 30% difference!
However, these Grade B beans end up being perfect for one big thing: vanilla extract. These drier beans are no different than fresh Grade A beans once they become submerged in liquid to become extract. If anything, we love the fact that the loss of water in the bean means that you don't have as much dilution in the final product. And because vanilla extract is made by weight of beans to fluid ounces of liquid, we as extract makers don't really care how moist the vanilla bean is and more about the flavor of the actual bean that's unlocked by rehydration. Using weight is also a really important factor in making extract because different vanilla beans can all be different sizes, even if they fall under the length requirements.
Size comparison of vanilla beans. Typical species involved with vanilla making are V. tahitensis (Tahitian vanilla) and V. planifolia (Flat-leaf vanilla, mostly from Madagascar and Indonesia; used in 90% of all vanilla products). V. pompona is a species of older vanilla bean that has seen a resurgence in interest due to its unique and potent flavor profile. V. bahiana is closely related to V. planifolia and is confined mainly to Brazil with endangered status.
Then we get into the more interesting types of vanilla that are not formally graded. One of the biggest categories that we use in our extracts are either called red vanilla or splits. 
Vanilla bean splits
These beans have dried and split to a degree that they can no longer be considered Grade B. They often resemble dried out tinder for fires. And while burning these "sticks" for their intoxicating aroma may seem enticing, we promise that there is much more to them that meets the eye. Because vanilla is sold by weight, it doesn't matter the appearance of the vanilla: vanilla is vanilla. So you get that same great flavor, just at a lower price since a lot more people will view this class of vanilla as "undesirable", or as the viral Tiktok video says, one unmarketable clump of beans.
You can find all kinds of vanilla extract and vanilla products in our shop. Feel free to stop on by and see what suits your interests and what you'd like to do with your vanilla!
Up Next: New Blog Series (Types of Vanilla)
Meet the Classic, Madagascar!