Auxly Cannabis Group Inc (OTCMKTS:CBWTF) pronounced its entry into a new business agreement. In the hemp cultivation and purchase deal the business giant will become the financial sponsor for a co-operative. This hemp farming co-operative comprises of about six individual hemp license holders.
Auxly Cannabis Group has already channeled about $4.5 million into the hemp cultivation undertaking. The total amount required to complete the process is $6 million, and it will soon give out the outstanding. The Hemp Farmers have made major strides in line with the farming activities. So far, they have covered about 300 acres with hemp. This is expected to yield hemp biomass of almost 100,000 kilograms.
Dosecann Inc is one of this company’s subsidiaries, and will be one purchasing the production of the Hemp Farmers. An official working with Auxly Cannabis Group says the subsidiary will purchase the product at a rather preferential rate. This will be something almost close to the wholesale rates on the market.
Planning for the future
The amount Auxly will be directing towards the development of the project will be useful. It will serve as pre-payment for purchases that Dosecann will be making shortly. Auxly says that initial hemp harvesting may start this fall if everything plays out according to plan. The next line of activity will, of course, be the testing, milling, and storage activities.
Upon delivery to Dosecann, the extraction and manufacturing process will start right away. The company hopes the end products will be of high quality. The Minister of Agriculture and Land for Prince Edward Island Bloyce Thompson has spoken about the matter. He is quite pleased with the latest developments. The company doesn’t take it for granted getting the opportunity to work with the finest farmers in Canada.
The President of Auxly Hugo Alves says that it was an honor for them to collaborate with farmers from the province of PEI. He opined, “I’m proud of our Dosecann team for finding this opportunity and being able to demonstrate our continued support for Atlantic Canada.”