DURBAN – Nutritional Holdings said on Wednesday that it was positioning itself to enter the Asian market after it concluded a R780 million off-take agreement to supply cannabidiol (CBD) products in Japan, together with Ukusekela Holdings, for two years.
The group advised its shareholders that it has reached an agreement to supply CBD products into the highly regulated and strictly governed market in Japan.
“Nutritional Holdings, in conjunction with Ukusekela Holdings, have concluded an off-take agreement of $2 million (R31m) a month for 24 months, equating to R780m, in the next two years. This is in line with the business model and five year growth plan of Nutritional Holdings,” the group said.
Nutritional Holdings has set itself a target of a tenfold growth in revenue.
Last month, the group said it experienced exponential demand and resultant growth in the sale of cannabis-associated products during the year to the end of February.