Exclusive: Avicanna Obtains First Colombian USDA Organic Certification For Hemp Cultivation

Avicanna Inc AVCN AVCNF said Friday its subsidiary Santa Marta Golden Hemp S.A.S. (SMGH) has acquired a United States Department of Agriculture national organic program certification from Control Union Certifications, for its hemp cultivar. It has also attained registration for extra 15 genetic strains of cannabis.

This is an important milestone for the company because it has become the first producer to obtain this certification in Colombia.

With the certification, SMGH's cultivation operations are now approved by the USDA, which means that its certified organic hemp derivatives for use in food products can be shipped to the U.S. In other words, as the company’s CEO told Benzinga, this means they can export to the U.S.

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The USDA manages organic production, enabling certified growers to utilize the USDA organic logo on products that are grown without the use of contaminants such as pesticides, herbicides, and synthetic fertilizers.

"Receiving the USDA NOP certification marks a significant milestone in our commitment to help set the highest quality standards in organic and sustainable cannabis cultivation, as we take another step forward towards becoming a global leader in the CBD industry,” CEO Aras Azadian said in a statement.

“We expect this achievement to facilitate our growth strategy, which includes the expansion of both our plant-derived active pharmaceutical ingredients ("APIs") and bulk CBD formulations, as well as our branded lines of finished derma-cosmetics and phyto-therapeutic products into the U.S. and European markets where the USDA certification is a premium differentiator for those product categories that allow hemp to be certified as organic."

SMGH said it plans to grow 100% sun-grown USDA certified organic hemp. Lucas Nosiglia, Avicanna's Chief Agricultural Officer, commented on the company’s obtaining of additional registration.

"Achieving this additional registration not only expands Avicanna's genetic bank for commercial purposes but also reflects our commitment to work with a wide range of varieties that provide a new range of cannabinoids for our research and development projects," Nosiglia said. "This registration will also enhance our capacity to continue improving and stabilizing high performance genetics as part of our breeding program.”

Avicanna’s stock closed Thursday’s session at CAD$3.64 per share on the TSX and at $2.71 per share on the OTCQX.