Financial report reported that Australia’s largest pharmacy chain, Chemist Warehouse, will begin supplying low-dose cannabidiol (CBD) products after signing an exclusive supply agreement with Cannatrek, a medical cannabis company. According to AJPThis move comes after TGA’s final decision in December 2020 to move some cannabis products from Prescription Only to Pharmacist Only, which went into effect on February 2, 2021.
CBD products are growing in popularity as anecdotal evidence shows their effectiveness in treating a wide variety of conditions. Something Top cannabis researchers even provided insight into the effectiveness of CBD and other cannabinoids for treating inflammation, insomnia, chronic pain, and anxiety.
Jack Gance, Co-Founder of Chemist Warehouse, and Tommy Huppert, CEO of Cannatrek, have teamed up to develop and market cannabinoid products. Grance said the deal will add some equity to Cannatrek to Chemist Warehouse, which he believes will help both companies succeed and provide consumers with the best possible CBD products.
“We looked at 20 suppliers [of medical cannabis] and chose Cannatrek because they grow the product, know the market, and are effective and efficient, ”explained Grance. “We had a situation where they were the right people to do business with and we get equity in the business. The more we build the business, the more benefit we get from the equity. Consumers also win because we can offer the best prices. “
According to structureAustralian regulations allow individuals to have access to Schedule 8 (Controlled Medicines) and Schedule 4 (Prescription Only) medicines with a prescription from a doctor or specialist who works under the SAS-B licensing system. However, the TGA’s decision to downgrade some low-dose CBD products to Schedule 3 means some of those products will be available over-the-counter in 2021.
Canntrek operates a farm in Queensland and is currently building another operation in Shepparton. The company also signed an export deal with Astral Health in the UK last year. This was an attractive deal as CBD products are already available over the counter in the US and UK. But not that Australia made that change, they expect their popularity to grow significantly.
“In the near future it will be far more mainstream,” said Huppert structure. “And we now have thousands of doctors in Australia prescribing it.”