Creso Pharma Ltd (ASX:CPH) is pleased with the Therapeutic Goods Administration’s (TGA) interim decision regarding a change to the status of cannabidiol (CBD) products in Australia, which could allow the company unprecedented access to the market.
The interim decision recommends that CBD products be down scheduled from schedule 4 and classified as schedule 3 medicines in Australia.
This would allow Australian consumers to purchase CBD products over-the-counter (OTC) through pharmacies without the requirement of a prescription.
Creso non-executive director and head of technology, innovation and distribution Miri Halperin Wernli said: “The down scheduling of CBD products in Australia is an exciting development and provides Creso Pharma with a number of key near term opportunities.”
The decision will follow a consultation period with a final decision to be reached by February 1, 2021.
Unlocking market opportunity
This development unlocks a major opportunity for Creso Pharma’s CBD and hemp products and the company will look to progress a number of opportunities to capitalise on a market which is estimated to be valued at A$200 million and set to grow rapidly in the near term.
Halperin Wernli said: “We anticipate that the Australian market will play an important role in the company’s growth trajectory and will grow significantly as CBD becomes more accepted and entrenched with consumers.
“Creso Pharma has a large GMP product range and we are confident that the company’s offering would be well received in Australia.”
Currently, the company’s cannaQIX 50 is being sold in Australia as a medicinal cannabis product under the LozaCan brand via distribution partner Burleigh Heads Cannabis (BHC).
Creso Pharma has developed various cannabidiol (CBD) hemp oil-based products in the cannaQIX® range using the company’s proprietary innovative delivery technology.
The products contain broad-spectrum organic hemp oil extracts with CBD and aim at reducing stress and supporting mental and nervous functions.
This range of products is sugar-free and contains no tetrahydrocannabinol (THC).
The standardised, user-friendly strength and formulation allows precise dosage control and the lozenges have a more palatable taste compared to oils.
In addition, the cannaQIX range has been developed to good manufacturing practice standards and is produced in Switzerland by Creso Pharma’s partner, Swiss-based food and pharma development company, Domaco, Dr. med. Aufdermaur AG with a ‘Swiss Made’ label.