First Commercial Cannabis Plants to be Cultivated in Australia Soon

The first Australian company to be legally licensed to grow medical cannabis aims to begin the cultivation process very soon.

The Cann Group was the first medical cannabis company to be approved by Australia’s Office of Drug Control for commercial medical cannabis cultivation and production. The medical cannabis crop is being grown for undisclosed commercial purposes. Peter Crock, CEO of Cann Group, stated in a press release that the final product will be available to patients through clinical trials or through the Therapeutic Goods Administration’s Authorized Provider or Special Access schemes.

The Cann Group was also the first company to be licensed for medical cannabis research, being granted two permits for research. One of the permits are to establish a cannabis breeding crop for propagation purposes. The other is to participate in a research program with the Commonwealth Scientific and Industrial Research Organisation to create unique cannabis extracts.

“We will start cultivation at our Southern facility, while work continues on preparing our Northern facility, also in Melbourne, which will have a larger cultivation and production capacity,” Crock said in the press release. “When the facility modification is complete towards the end of this year, we will apply for our licenses and permits to be extended to that facility.”

The company expects to harvest its first crop in early August.

Earlier this month, the Cann Group was listed with Australian Securities Exchange. They raised $13 million from its initial public offering. Canada’s Aurora Cannabis Inc. is a large stakeholder in the company, controlling 19.9 percent of its shares.

The emerging Australian medical cannabis market has been estimated to be worth 75 million potentially. Though the The Narcotic Drugs Amendment Act 2016 became finalized late last year to allow medical cannabis cultivation, each Australian state has its own set of regulations for medical cannabis that companies have to abide by.