Flora Completes Inaugural U.S. Import of CBD Food & Beverage Products from Colombia; Validates New Low-Cost Supply Chain Pathway
March 04 2022 - 7:30AM
Business Wire
- This represents one of the first-ever exports of CBD containing
food and beverage products from Colombia to the U.S. market.
- This export comes as a result of the recent Colombian law
change, Resolution 227, that permits the manufacturing and export
of food and beverage products that contain non-psychoactive
cannabinoids, among other favorable changes.
- The initial products are from Flora’s Mambe brand and validate
the pathway of bringing low-cost non-psychoactive cannabinoid
products from Colombia into the U.S.
- Flora expects to import additional low-cost raw materials and
finished product into the U.S. to be integrated into its supply
chain and distribution network, including JustCBD’s extensive U.S.
operations.
Flora Growth Corp. (NASDAQ: FLGC) (“Flora” or the “Company”), a
leading all-outdoor cultivator and manufacturer of global cannabis
products and brands, announces that it has completed its first
import of CBD-containing food and beverage products into the United
States from Colombia under its Mambe brand. This announcement comes
after Colombian President, Ivan Duque, signed Resolution 227 last
week, which provided the necessary framework for the use,
distribution and export of cannabis, dried flower, and other
non-psychoactive derivatives.
Over the coming weeks and months, Flora expects to expand
distribution of its CBD-containing food and beverage products,
including juices, chocolates, and ghee, among others. Flora will
also continue to expand distribution of non-psychoactive flower and
derivatives from its Cosechemos cultivation and extraction
facility.
“We are thrilled to be the first Colombian cannabis operator to
capitalize on the law change President Duque signed into effect,”
commented Flora Growth CEO, Luis Merchan. “We are grateful for the
Colombian government’s forward-thinking approach to cannabis
regulation and are excited to bring Colombian-made cannabis food
and beverage products to the U.S. market. Our team anticipated this
regulatory update and has been laying the necessary foundation to
expand this new supply chain pathway allowing Flora to quickly
bring our diverse product portfolio and low-cost cannabis inputs to
new high-growth international markets.”
As noted earlier this week, Flora expects to capitalize on
multiple synergies relating to its JustCBD acquisition. This
includes the global expansion of the JustCBD brand into Colombia,
and the inclusion of Flora’s existing product portfolio across
JustCBD’s extensive U.S. distribution network and 300,000 loyal
customers. Flora will also explore integrating its supply chain by
utilizing the CBD oils and isolates from its Cosechemos cultivation
in JustCBD products to leverage its owned, cost-advantaged
cultivation to drive lower cost of goods.
You can read more about the JustCBD acquisition on Flora
Growth's website.
About Flora Growth Corp.
Flora is building a connected, design-led collective of
plant-based wellness and lifestyle brands that is designed to
deliver one of the most compelling customer experiences in the
world, one community at a time. As the operator of one of the
largest outdoor cannabis cultivation facilities, Flora leverages
natural, cost-effective cultivation practices to supply cannabis
derivatives to its diverse business divisions of cosmetics, hemp
textiles, and food and beverage. Visit www.floragrowth.com or
follow @floragrowthcorp on social [media] for more information.
Cautionary Statement Concerning Forward-Looking
Statements
This document contains forward-looking statements. In addition,
from time to time, we or our representatives may make
forward-looking statements orally or in writing. We base these
forward-looking statements on our expectations and projections
about future events, which we derive from the information currently
available to us. Such forward-looking statements relate to future
events or our future performance, including: the size of markets
for cannabis and cannabis products; the expected and anticipated
benefits with respect to Flora’s acquisition of JustCBD, the
collaboration with third parties; and our business prospects and
opportunities. You can identify forward-looking statements by those
that are not historical in nature, particularly those that use
terminology such as “may,” “should,” “expects,” “anticipates,”
“contemplates,” “estimates,” “believes,” “plans,” “projected,”
“predicts,” “potential,” or “hopes” or the negative of these or
similar terms. In evaluating these forward-looking statements, you
should consider various factors, including: our ability to change
the direction of the Company; our ability to keep pace with new
technology and changing market needs; and the competitive
environment of our business. These and other factors may cause our
actual results to differ materially from any forward-looking
statement. Forward-looking statements are only predictions. The
forward-looking events discussed in this document and other
statements made from time to time by us or our representatives may
not occur, and actual events and results may differ materially and
are subject to risks, uncertainties and assumptions about us. We
undertake no obligation to publicly update or revise any
forward-looking statement, whether as a result of uncertainties and
assumptions, or the forward-looking events discussed in this
document and other statements made from time to time by us or our
representatives not occurring, except as may be required by
applicable law.
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version on businesswire.com: https://www.businesswire.com/news/home/20220304005085/en/
Investor Relations: Evan Veryard
evan.veryard@floragrowth.com
Public Relations: Cassandra Dowell +1 (858) 264-6600
flora@cmwmedia.com
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