Tax haven Guernsey has issued its first license giving a business the green light to grow cannabis.
The Bailiwick of Guernsey Cannabis Agency last week gave approval to 4C Labs, a company established in 2018 which plans to grow cannabis for medicinal purposes. The licence will allow 4C to begin the construction of its 40,000 sq ft pharmaceutical-grade indoor cultivation facility based in Guernsey, which will utilise “organic cultivation techniques” based on genetics testing developed by the Canadian Medical Cannabis market.
Greg Dobbin, chief executive of 4C Labs, today commented on the licence arrangement. He said: “We are delighted that with the approval of our cultivation licence, we can take the next steps in the development of our business and our vision to cultivate GMP craft Medical Cannabis.”
Dobbin added that the company is “poised to be at the forefront of the development of the Medical Cannabis industry in the UK,” and added that the company is “seeking to broaden our investor base as we develop and execute our growth strategy.”
The approval of a cultivation license is the latest signal that medicinal cannabis could soon make its way to UK markets.
The UK has recently made progressive steps to embrace the sector, with a string of medical cannabis companies listing on the London Stock Exchange and more expected to follow. The Financial Conduct Authority approved the listings after determining it was legally sound to do so earlier this year. Medical cannabis has been legal in the UK since 2018, whilst CBD-wellness sales are booming.
A recent report by Volteface, which included a foreword from the Adam Smith Institute, estimates that the UK’s medical cannabis market could be worth £1.2bn and create 41,000 jobs but regulatory issues are hindering the sector.
Daniel Pryor, Head of Programmes at the Adam Smith Institute said “the UK is in a unique position to reap the benefits of medical cannabis and CBD,” but called for the government to do more to ensure that Britain can “become the European leader.”
Plans for 4C
4C Labs is positioned to begin cultivation in 2022, with the first 4C Labs Medical Flower therapeutics expected to be available in early 2023.
The company said that the development of a large weed facility will lower the cost of cannabis-based therapeutics and improve ease of access for patients in the UK and Cannel Islands. 4C also aims to improve the quality of flower available in the UK.