Flora Growth Archives - Green Market Report

Debra BorchardtSeptember 9, 2021
StarDog_Octubre-207_600x.jpg?fit=600%2C900&ssl=1

4min11310

Flora Growth Corp. (NASDAQ: FLGC) has entered into a commercial agreement with American e-commerce company Zulily to launch a sales and marketing campaign across the US for its Stardog Loungewear product line. The Flora brand and product launch through Zulily will initially feature Stardog’s best-selling product, hemp shoes, and is expected to kick off within the next month.

Zulily is a huge online retailer with annual sales of more than $1.5 billion and 5 million active customers. Zulily launches thousands of products each day, curating personalized shopping experiences. Zulily’s app uses compelling video and imagery to bring more than 15,000 big name brands and boutique finds to life on mobile, including brands such as Callaway, Cuisinart, Disney, Hanes, New Balance, SOREL, UGG, and Under Armour.

“In speaking with the category management team from Zulily, it was clear that they were looking to onboard special products with compelling values at attractive price points, differentiated by stories that inspire and excite consumers – this aptly describes Stardog and how we’ve executed mindfully building and scaling the brand, ” said Nicolás Vásquez, General Manager of Stardog Loungewear. “At Stardog, we are reframing our connection with nature by working with materials that can easily go back to where they came from. Growing the finest quality organic hemp fibers allows us to equip our tailors with the very best materials to design and handcraft our loungewear for consumers. Stardog is a shining example of the slow fashion movement that considers all aspects of the supply chain, aiming to respect people, the environment, and animals.”

Flora is a cannabis company that leverages natural, cost-effective cultivation practices to supply cannabis derivatives to its diverse business divisions of cosmetics, hemp textiles, and food and beverage. As the operator of one of the largest outdoor cultivation facilities, Flora strives to market a higher-quality premium product at below-market prices.

“Conversations around corporate social responsibility and having a transparent supply chain are more prevalent today than ever before as consumers carefully consider how to spend their hard-earned dollars. When reviewing potential distribution partners to launch this campaign, it was evident to us that Zulily was able to effectively take consumers on a digital discovery journey that could accurately capture the story we’re trying to tell, make a personal connection, and provide us with the opportunity to expand this campaign into a larger initiative across our entire brand and product portfolio,” said Jason Warnock, Chief Revenue Officer of Flora Growth. “Stardog has an extremely passionate and engaged community in Colombia and we’re looking forward to working with the team at Zulily to help create the same demand and engagement we see at home. By taking a customer-centric approach and implementing a comprehensive marketing strategy coordinated across the entire customer journey, we believe that we’re effectively positioning Stardog to be as leading global hemp textile brand and look forward to announcing further distribution deals.”


Debra BorchardtJuly 26, 2021
plant2.jpg?fit=960%2C640&ssl=1

6min11720

Colombian President Ivan Duque Marquez has signed a new law that would allow a much larger amount of dry flower to be exported from the country, after a high-profile meeting of Colombian cannabis business leaders with US-listed public companies. The new law, a change to Colombian Decree 613, greatly increases the amount of dry cannabis flower (the flower, stems, and roots) that can be exported from the country, and also allows for cannabis to be put into industrial products like food and beverages and for much more extensive marketing of cannabis products in Colombia.

“The passage of this legislation greatly immediately accelerates our strategic vision of bringing our cannabis products to international markets as noted by our first international supply agreement out of Cosechemos while we focus expanding our global distribution platform of traditional consumer packaged goods. Now having the ability to export our high-margin, high-quality cannabis flower being produced at Cosechemos, together with a healthy portfolio of premium brands, and a robust pipeline of deals, we will continue to look towards international markets to drive growth and revenue generation,” said Jason Warnock, Chief Revenue Officer of Flora (NASDAQ: FLGC). “Another added benefit of the new regulations is that we can now process the entire plant whereas before Colombian processors had to destroy upwards of 60% of the biomass which we anticipate will further improve on our margins out of Cosechemos.”

Columbia Decree

Some of the new language is as follows:

  • To encourage the pharmaceutical industry, Colombia will allow the entry of dried flower, seeds, grain, plants, plant components, and derivatives to free zones, so that companies can carry out processing, packaging, and repackaging activities at lower prices, taking into account the tax benefits of these zones.
  • Licenses have been extended from five years to 10 years.
  • The advertising prohibition has been lifted.
  • The activities that can be developed in the food market are specified, under the strict standards of Invima and other competent entities. This economic sector is yielding great returns worldwide and the economy of our country needs that boost.
  • The prohibition on the export of dried cannabis flower is eliminated, so that in the subsequent regulation a scientific debate is made to identify under what requirements and for what purposes this activity should be carried out, always having as its north the medical and scientific purposes.
  • The dispensing of master preparations based on cannabis in drugstores is allowed, which will facilitate the access of these medicines to the patient since these establishments are the most numerous and closest way to reach the patient.

Flora Growth Ready For Expansion

 Flora Growth said these new regulations will allow for the opportunity to increase near-term revenue and optimize its global diversified supply chain of premium brands and products. The company said that through this legislative update, Colombian cultivators like Flora Growth, have immediately gained access to this massive segment of the market that was previously inaccessible. “The allowance of cannabinoid containing ingestible products creates a near-term opportunity to amplify revenue growth through its food and beverage division, Kasa Wholefoods. Kasa intends on leveraging existing relationships to distribute CBD versions of its portfolio, including the recently announced $10M distribution agreement with Tropi, Colombia’s largest food and beverage distributor with 130,000 points of distribution across the country.” Additionally, by removing marketing restrictions on cannabis products locally, Flora Growth will be able to drive increased awareness across its portfolio of products and driving additional sales through its 1,500+ points of distribution within Colombia. 

Khiron Applauds News

Alvaro Torres, CEO of Khiron Khiron Life Sciences Corp. (TSXV: KHRN)(OTCQX: KHRNF) said, “Colombia has been a regional leader in medical cannabis laws since 2015 and this new Decree strengthens the Government´s commitment to creating a robust and competitive industry. After naming the industry a National Strategic Priority and extending universal health coverage for THC and CBD medical cannabis products in late 2020, the new regulation expands the country’s growth potential across various product categories in Colombia and through the export of dried flower.” Since April 2020, Khiron has been dispensing medical cannabis to patients through its Zerenia pharmacy in Bogota, to more than 350 cities and municipalities across the country. With Decree 811 of 2021, the Government has significantly expanded the number of pharmacies eligible to carry and dispense medical cannabis products, from only a handful today to a network of more than 14,000 pharmacies nationwide.


Don't Miss This Week's Groundbreaking News

Join the thousands of subscribers who stay informed with GMR's exclusive news briefs delivered directly to your inbox every Friday afternoon.

We respect your privacy. See our privacy policy.


About Us

The Green Market Report focuses on the financial news of the rapidly growing cannabis industry. Our target approach filters out the daily noise and does a deep dive into the financial, business and economic side of the cannabis industry. Our team is cultivating the industry’s critical news into one source and providing open source insights and data analysis


READ MORE



Recent Tweets

@GreenMarketRpt – 3 hours

⁦@BMO⁩ Outlines The Limits Of Limited License Markets $CRLBF $TCNNF

@GreenMarketRpt – 18 hours

Running a little late today but here’s your

@GreenMarketRpt – 1 day

Nevada schools have received $159 million from cannabis taxes in FY21. @ShopPlanet13…

Back to Top

Don't Miss This Week's Groundbreaking News

Join the thousands of subscribers who stay informed with GMR's exclusive news briefs delivered directly to your inbox every Friday afternoon.

We respect your privacy. See our privacy policy.