Green Farmers, a wholly owned subsidiary of CHI, has been granted a medicinal cannabis cultivation permit by the ODC for genetic stock, cultivation, and production. Having acquired the Victorian site in October 2020 Green Farmers has now completed an upgrade of the 4,000 sqm glasshouse for cannabis operations. With the granting of the cultivation permit the facility becomes one of the largest cannabis cultivation facility in the Australian market with expected production of 5,000 kg of THC and CBD medicinal cannabis and first harvest in January.
CHI was formed with a vision of delivering holistic health cultivation to the Australian market focusing primarily on medicinal cannabis. The company has recently completed a $10 million capital raise managed by Solomons Capital of Brisbane in June this year with funds used to complete the facility upgrades and working capital.
CEO and co-founder Tom Varga said “To have raised the capital required for this project during COVID is a credit to the strength of our vision and cultivation capability but also our brokers in Solomons Capital. It proves that a facility can be developed in a short period of time with the right team and focus and enables us to deliver our first harvest in January and a profit this financial year.”
Green Farmers is focused on delivering high quality, consistent flower to the Australian and export markets using the latest technology in a protected cropping environment (glasshouse). This includes supplementary lighting for year-round cultivation, humidity control, Argus Controls glasshouse management system and a range of other technologies all focused on pharmaceutical grade medicinal cannabis.
“We recognise the important role that medicinal cannabis plays in patients’ lives and we take that responsibility very seriously” CFO and co-founder Matthew Turner said. “Medicinal cannabis is progressively becoming more accepted as an effective medicine and we are learning more about the benefits every day. Through our unique genetic library Green Farmers will play a vital role in improving patient outcomes by early next year.”
The 4,000 sqm glasshouse makes Green Farmers one of the largest, if not the largest, protected cropping medicinal cannabis facility in Australia and with first harvest in January a leading player in the market. With a further 21,000 sqm of approved expansion in additional glasshouse facilities on the site Green Farmers will be commencing construction of glasshouse 2 in early 2022.
“Our vision is not to be the biggest in Australia or the world but rather to focus on quality and genetics while building additional scale with market demand. Focusing on delivering the right cultivars to patients to meet their health needs is our priority. Through our capabilities, unique genetics and existing scale we can deliver high quality flower and oil at competitive prices removing the need for imported material.”
Green Farmers B2B strategy enables existing brands in the Australian market to buy locally cultivated medicinal cannabis. This increases availability to Australian patients and improves quality by reducing transit time, regular harvest and removing the need for some forms of product treatment.