Global poppy grower Tasmanian Alkaloids has signed a heads of agreement with distributor AusCann Group Holdings to manufacture and distribute medicinal cannabis across Australia and overseas.
The two companies will secure a licence to cultivate and manufacture medicinal cannabis in Tasmania, according to a report by Proactive Investors.
The licence will be in addition to AusCann’s medical cannabis cultivation licence granted last week by the Office of Drug Control.
“This partnership with Tasmanian Alkaloids significantly builds on our position within the Australian market as a leading medicinal cannabis company that intends to cultivate, manufacture and supply the Australian market with access to high-quality medicinal cannabis products,” said Elaine Darby, AusCann’s managing director.
Operating since 1976, Tasmanian Alkaloids produces 40 per cent of the world’s alkaloid raw material crop in Tasmania.
Medical cannabis has proven to be an effective treatment in the relief from neuropathic and chronic pain, according to AusCann.