Medical cannabis firm Allied Corp. (OTCQB: ALID) has vaulted itself into a position to capture a bigger piece of the global medical cannabis market.
The Kelowna-based company announced Tuesday it has clinched an agreement that will allow it to sell its GMP-certified medical cannabis products internationally, opening the door to rapidly expanding markets in Europe, Asia and beyond.
The deal with an unnamed Swiss company holding a narcotics processing licence will allow Allied to sell its Colombian-produced medical cannabis in markets that require GMP-certified products.
Allied sells its products in Australia, Europe, Asia, South America and North America, said CEO Calum Hughes. “We are proud to say that our Colombian production has now met vendor qualification approval for several vendors,” Hughes said. “Given that we are now able to offer GMP products opens many additional commercial relationships and markets.”
GMP certification indicates a product has been manufactured to a certain level of quality standards. Many jurisdictions require GMP certification to import or distribute pharmaceuticals and medical products.
Last August, the pot producer with primary operations in Colombia shipped 1,728 kilograms of cannabis to a partner in Switzerland.
Company stock went up by 10.72 per cent on Friday to $0.21 on the OTCQB market.
There are a number of other Canadian competitors also looking to take advantage of international medical cannabis markets, especially in Europe, using their GMP-certified production facilities.
Canopy Growth Corp. (TSX: WEED, NYSE: CGC) has GMP certification for its facilities in Canada and Denmark, allowing it to export medical cannabis to Germany and Brazil.
Tilray Inc. (NASDAQ: TLRY) has GMP certification for its production facilities in Canada and Portugal. It exports medical cannabis products to Germany, Australia and New Zealand.
Sundial Growers Inc. (NASDAQ: SNDL) owns a GMP-certified facility in the UK, from which it sells medical cannabis oils in the UK. It plans to use the facility to export products to other European countries as well.