The press release says
The Ministry of Health of Zimbabwe has approved Amatheon Agri’s license to produce cannabis for medical and scientific use
The company now embarks on an assessment and planning phase for growing and producing an assortment of cannabidiol (CBD) products
The global medical cannabis industry was estimated to be worth around US$21 billion in 2020, with very high estimated annual growth rates over the next five years as an increasing number of countries approve its use
Amatheon Agri’s subsidiary in Zimbabwe was established in 2014 and seeks a first-mover advantage as the country reengages with the international community and promotes agricultural investment
This extremely high value crop supports Amatheon Agri’s strategic expansion into export markets and diversified offerings to achieve additional contribution margins
Amatheon Agri Holding N.V. (the “Company”), the Euronext listed agribusiness and farming group (ISIN NL0010273694, Symbol MLAAH), today announces that its subsidiary, Amatheon Agri Zimbabwe (PVT) Ltd., has secured a license to produce medical cannabis in Zimbabwe. This is the first and important regulatory step and allows the Company to enter a detailed planning phase whereby it will identify the site, variety and protocols required for production. As a heavily regulated and extremely high value crop, this new product will further diversify Amatheon Agri’s export portfolio and spearhead its entry into the speciality products market.
Medical cannabis boom
The legalisation of medical cannabis continues to gain momentum around the world. North America remains the largest market, with expected progress on legalisation for both medical and recreational purposes likely to drive future growth. US market research company BDSA estimated a global market size of US$ 21.3 billion for 2020, with expected global sales of US$ 55.9 billion in 2026. This would mean a compound annual market growth of more than 17% (CAGR).
