Morning, There are a number of hemp producers trying to break...

Morning,

There are a number of hemp producers trying to break through along side 'Vitahemp' but it's a question of who will break through.

You have the bigger players like 'Red Tractor' supplying Coles & 'Thompsons' supplying Chemist Warehouse but their raw seeds are currently mainly sourced from Asia.

The Australian grown hemp seed will command a higher price for both quality & global goodwill that comes with the respect for Australian produced products. Imported seed currently have to be irradiated by law which also lowers the nutritional value of the consumable giving home grown the edge.

Vitahemp actually supply both 'Redtractor' & 'Thompsons' with a range of products excluding raw hemp seed for everyone who is new to the forum.

The challenge for Australian hemp consumable businesses in this early stage of the newly legalized industry is sourcing quality bulk hemp seed that is Australian grown. Whoever can have a bulk stable supply of product first has won half the battle. The second challenge is then been able to move the product.

Vitahemp's (CGB) primary grower is Waltana who actually do their own niche hemp products however the power of CGB's business model & connections lends to CGB actually having the ability to move completed product to market..The T12/Costco announcement demonstrated this.

There will be plenty of 'Ma & Pa' honesty box hemp setups but how many will control a dominating slice of the hemp consumable market?

In addition to CGB hemp consumable products the company has other divisions they are vigilantly working at making profitable..The BioHealth/Medcan/Pharmacann/Canntab alliance means that production of medicinal marijuana products under the CGB branding for the Australian/Asian market is imminent.

Pharmacann reps as announced have already visited the BioHealth facility in Sydney from Israel & have been consulting on the manufacturing of their products for the Australian markets.

If CGB can start translating partnerships to revenue with the likes of Costco the company will very quickly move out of the speculative realm & into a more substantial long term investment prospect on the share market...That could mean no more capital raises..Possibility of multiple revenue streams via multiple divisions for risk diversion..Potential share buy back schemes & dividends.

It's early days but the Costco announcement has certainly given shareholders & investors a peak of what could be if executed well.