On March 5, 2019 The Green Organic Dutchman (TGOD.T) announced that it has received organic certification from Pro-cert Organic Systems.
TGOD is the largest licensed producer of 100% certified organic cannabis in Canada. Pro-cert is the 2nd certification body to endorse TGOD’s organic process at its Hamilton facility.
All TGOD cannabis is already certified by ECOCERT, a global organic certification body. ECOCERT verifies that production standards are met through surprise audits, and product analysis.
TGOD’s organic cannabis is grown in living soil without the use of synthetic fertilizers, pesticides or herbicides. The result is a cleaner, premium product for Canadian consumers across both medical and recreational uses.
“In a recent study conducted by Hill & Knowlton,” states TGOD, “over 50% of recreational consumers stated it was important that their cannabis was organic. When the same question was posed of medical patients, that number increased to 63%.”
The Canadian Food Inspection Agency (CFIA) is responsible for monitoring and enforcing Part 13 of the Safe Food for Canadians Regulations. CFIA has accredited a dazzling array of organic certification bodies.
The Pro-cert and ECOCERT certifications are important because North American organic product consumers have been burned in the past.
Canadian farmers market vendors were caught spinning false homegrown stories to consumers looking for fresh local fruits – resulting in consumers paying ‘premium prices for produce with fake organic backstories”.
Products in Ontario featured a “Non-GMO Project Verified label” which turned out to have no meaning.
There are even bigger organic compliance problems in China and the U.S.
According to The Washington Post, 36 million pounds of soybeans recently entered California via Ukraine. “Along the way, it underwent a remarkable transformation.”
The cargo began as ordinary soybeans. Like ordinary soybeans, they were fumigated with a pesticide. They were also priced like ordinary soybeans.
By the time the 600-foot cargo ship arrived in California, the soybeans had been labeled “organic,”— raising the shipments value by $4 million.
For investors, organic products are a double-edged sword. Certified organic products = higher prices/bigger margins. But if that organic brand gets compromised – the recovery period will be painful.
So yes – it’s important that TGOD has robust organic certification – and also that Pro-cert and ECOCERT aren’t rubber-stamping TGOD products.
“Certified-organic provides consumers with the best cannabis experience, and the entire TGOD organization is committed to that standard,” stated Brian Athaide, Director and CEO of TGOD. “The certification from Pro-Cert, along with the earlier certification from ECOCERT means that both leading organic certification bodies have approved our process.”
Focused on medical cannabis markets in Canada, Europe, the Caribbean and Latin America, as well as the Canadian adult-use market – TGOD has a planned capacity of 219,000 kgs and is building 1,643,600 sq. ft. of cultivation and processing facilities across Ontario, Quebec, Jamaica and Denmark.
Aurora Cannabis (ACB.T) has invested approximately $78 million in TGOD for a 20% off-take agreement on Canadian production.
- Deployed $33 million on construction facilities in Hamilton, Ontario and Valleyfield, Quebec
- Commercial production in both facilities anticipated in 2019.
- Developing five new strains for medical and recreational markets
- Signed a deal with european giant Knud Jepsen to establish JVs ventures for commercial production of cannabis and cannabis oils and to develop and patent elite cannabis genetics.
- Secured approvals from the City’s Agricultural and Rural Affairs Committee, the Planning Committee, the Ontario Federation of Agriculture.
- Hamilton’s 2 existing facilities (total 27,000sq ft), already zoned to produce medical cannabis.
- Sale of premium, certified-organic cannabis to medical patients through integration with HelloMD’s online clinic services.
- Invested in Jamaica, through Epican Medicinals. Planned expansion into four more retail stores, with production capacity to 14,000 kgs.
- Gained right to use EnWave’s REV dehydration technology to dry organic cannabis in its Canadian operations
- HemPoland booked sales of CBD oil and other industrial hemp products across Europe
- Advancement of operations in Greece.
- Anticipates 170,000 kgs of annual cannabis capacity across Canada and Jamaica.
- JV’d with one of largest pharmaceutical distributors in Mexico.
- Radically expanded operations, administration and marketing infrastructure.
Pro-Cert is one of North America’s foremost certification bodies, with a client base including producers, processors and traders from across Canada and the United States.
Pro-Cert’s certification programs are ISO 17065 compliant and accredited, providing global recognition and international access to the products that are certified. TGOD packaging will include the Pro-cert logo to convey the organic point of difference to consumers.
Full Disclosure: TGOD is an Equity Guru marketing client, and we own the stock.Disclaimer: ALWAYS DO YOUR OWN RESEARCH and consult with a licensed investment professional before making an investment. This communication should not be used as a basis for making any investment.