Through a new multi-year supply deal, Cannatrek will export an initial 200 kgs of dried cannabis to Nimbus Health, to be distributed throughout Germany and the rest of Europe.
Thanks to a new multi-year supply agreement, Cannatrek will supply an initial 200 kgs of dried cannabis flowers to Nimbus Health, which currently has a market share of roughly 25% of the German medicinal cannabis market.
The deal positions Cannatrek as a key cannabis supplier throughout Europe and affords Cannatrek the capacity to increase to larger commercial quantities to Germany and other European countries.
As we've covered previously, the German medical cannabis market alone is estimated to be worth close to AUD $12.6 billion by 2028, with an estimated 60,000 medical cannabis patients across the country.
Nimbus Health is a major supplier of cannabis to European medical cannabis market, and holds a German GDP and GMP licence which allows for the trade and importation of narcotic drugs to be provided to patients that need narcotic medicines.
Cannatrek's first shipment of dried flowers is slated to arrive in the first half of 2021 from Cannatrek's Australian growing facility, and will be used in a range of medicines for illnesses like pain, anxiety, sleep disorders and depression by Nimbus.
We are thrilled to be supplying such an important German partner, which gives us a toehold in the large European market. Cannatrek's brand will arrive in Europe early next year.Tommy Huppert, Cannatrek's CEO
Mr. Huppert continued to elaborate upon the idyllic climate that Australia has, and how this will be beneficial for growing cannabis: "Australia is a great place to grow medicinal cannabis because of its ample, hot sun that produces excellent terpene profiles and quality products. Medicinal cannabis grown in the sun is generally considered a superior quality than medicinal cannabis grown under artificial lights. Cannatrek is able to produce low-cost, clean and potent medicinal cannabis which we believe will be in demand from importers worldwide in the months and years ahead."
Brett Schwarz, Cannatrek's Chief Financial Officer, and Corporate Advisor told The Green Fund that "Cannatrek is excited to secure this multi-year supply agreement and partnership with Nimbus Health, who has a market share of approximately 25% of the German medicinal cannabis market, which is the largest market in all of Europe. Quality Australian-grown produce is being widely accepted into the fast-growing German market, and Cannatrek looks forward to helping fulfill that growing demand by patients, not only in Australia, but now abroad."
The CEO of Nimbus Health, Mr. Linus Weber said, "We are very happy that we are able to provide a large number of companies easy access to the German Medicinal Market given our expertise in the regulatory field. Our partner Cannatrek will, with its Australian Dried Flower Products with unique terpene profiles, bring additional value to patients in Germany and increase their well-being."
The news of Cannatrek's multi-year supply deal with Nimbus follows the company's ongoing OnMarket campaign, which you can find here.
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