Interesting news. Puts things in perspective Just released today
New Zealand's only large scale medicinal cannabis grower has inked a $160 million ($110 million USD) conditional deal to supply a United States manufacturer.
Under the deal Ruatoria-based Hikurangi Cannabis will send three tonnes of cannabidiol extracts, THC extracts and whole cannabis flowers to Seattle-based cannabis brokerage company Rhizo Sciences next year and up to 12 tonnes by 2021.
Hikurangi has a crop of 5000 plants. Rhizo also has suppliers in Africa, Europe, Australia and North America.
"There is huge scope for New Zealand to produce the highest quality medical product in a global sector expected to reach US$60 billion (NZ$82b) within five years."
Hikurangi operates legally with an industrial hemp licence that allows it to extract cannabinoids from cannabis plants for research and development purposes. It is not allowed to sell a commercial crop.
Hikurangi and Rhizo announced in January their plan to open a facility in New Zealand this year to manufacture THC-free medicinal cannabis products.
Hikurangi plans to launch a $2m crowdfunding campaign in March. It is also seeking another $4m from a single investor.
In conclusion,
No manufacturing facility. No sales license. Against New Zealand law to grow and export medical cannabis commercially. No funds = $140,000,000 CAD supply agreement. ICC
manufacturing facility. CHECK
sales license. CHECK
legal. CHECK
funds. CHECK
560 acres
whole plant material yield 300kg/acre
CBD yield 33.8kg/acre
CBD concentration 15%
Extraction efficiency 75%
CBD extraction lab with the production capacity of 150,000kg a year
Currently, the lowest cost producer in the world. Production costs average $4/gram of CBD extract in comparison to Canadian LPs who average $20-30/gram.