Israeli medical cannabis company Together Pharma (TASE: TGDR) reports that it has sold its first 50 kilograms of medical cannabis inflorescences in Germany. The produce was cultivated at the company's farm in Uganda.
The company, which is in contact with other strategic customers, is preparing to continue importing into Germany in order to supply the market with medical cannabis produce on a regular basis and take advantage of its the market’s infancy and rapid rate of growth so as to capture a large market share.
"Together has become a cannabis company with an international presence. The revenue from Germany creates for us a parallel channel, independent of our activities in Israel. The German population totals about 80 million people, eight times the size the State of Israel, therefore the potential market represents an exceptional opportunity for us", Together CEO Nissim Bracha said. "The fact that the German market is still in its infancy will allow us to establish market leadership and capture a significant market share with a continual supply of quality produce. Looking ahead, we are in contact with other strategic customers to sell significant amounts of medical cannabis produce."
In Germany, a country with a population over eight times that of Israel, about 10 tons of medical cannabis was consumed in 2020. This compares with Israel where according to data from the Medical Cannabis Unit, more than 40 tons will be consumed in 2021. The German cannabis market is, as previously said, only starting out, so that the early entry by Together Pharma to this market, under the Together brand, represents an important competitive advantage for acquiring an existing and future market share.
To the best of the company's knowledge, one gram of medical cannabis inn the German market is priced significantly higher than one gram of medical cannabis sold to pharmacies in Israel.
Published by Globes, Israel business news - en.globes.co.il - on December 7, 2021.
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