The reputed American stock exchange publication, NASDAQ, is reporting that a US-based company, United Cannabis, has been approved by Jamaica’s Health Ministry to produce cannabis products in Jamaica.
According to NASDAQ, the approval clears the way for the production of the company’s capsules and sub-lingual drop cannabis products.
The publication says United Cannabis has successfully registered its products with the Health Ministry.
NASDAQ says United Cannabis is now moving to secure facilities and hire staff to begin production in Jamaica within 90 days.
The NASDAQ report was published on July 11 this year.
According to NASDAQ, United Cannabis has earmarked $2-million to facilitate the necessary expansion.
NASDAQ says that by manufacturing the products in Jamaica, the US company is taking advantage of agreements which Jamaica has in place with other countries.
Canada, Australia, and New Zealand have agreements in place that allow the purchase of hemp-based products from Jamaica.
The publication says United Cannabis’ team is seeking to use its access to Jamaica as part of its efforts to build worldwide distribution channels.
NASDAQ says there is a potential cost-savings associated with doing business in Jamaica, as labor and operating expenses tend to be lower in the island compared to other countries.
In responding to the story, Health Ministry officials today referred our news center to a statement from the Cannabis Licensing Authority, CLA.
The statement from the CLA did not directly address the NASDAQ report.
However, it stated that some aspirants have sought product approval and registration from the Health Ministry.
The CLA statement did not say whether approval has been granted to United Cannabis.
But it indicated that approval of any cannabis medicinal product by the Health Ministry is not sufficient for a company to begin operations in Jamaica’s budding industry.
CLA CEO, Greg Douglas, is quoted in the statement as saying a license from the authority is required for a company to begin operations in the local cannabis industry.