Bod Australia gains approval to commence importing medicinal cannabis oil

Cosmetics and natural medicines company Bod Australia (ASX: BDA) has added another piece to its puzzle towards commencing production of medicinal cannabis-based products in Australia.

According to Bod Australia, the company is “currently finalising an order with Linnea Natural Pharma Solutions (Linnea) for the oil and delivery is expected mid-March.”

Bod Australia has been granted permission to import its proprietary cannabis oil into Australia by the Office of Drug Control and means that Bod Australia now has the green light to import Linnea’s proprietary 5% cannabidiol (CBD) MCT oil, to be used in Bod Australia’s upcoming Phase I clinical trial.

The clinical trial will also be used to test a “unique CBD delivery method” which Bod Australia is developing in tandem with iX Biopharma in Australia.

Authorised to proceed

Today’s news comes hot on the heels of Bod Australia announcing a separate authorisation from the Office of Drug Control to import cannabidiol powder for its upcoming clinical trials and subsequent production phase of various medicinal cannabis products.

Bod Australia says it is also investigating the possibility of making the oil available to approved entities under the Australian Therapeutic Goods Administration’s (TGA) Special Access Scheme Schedule B, which opens the door for Bod Australia to explore near-term revenue opportunities in Australia.

“Being granted permission to import Linnea’s proprietary CBD oil is a major milestone. We are excited to be able to be working with a phytocomplex product that contains a broad spectrum of compounds and is consistently standardised down to the flavonoid and terpene levels, thus enhancing the products entourage effect. We look forward to witnessing the benefits it will provide to those that require it,” said Jo Patterson, CEO of Bod Australia.

“To further enhance our position as a market leader, we are investigating the possibility of working with approved prescribers in Australia to educate them on the key benefits of Linnea’s product offering. We also hope to work closely with the Australian government and associated industry bodies to facilitate a better process for patients to access cannabis oils as a treatment.” Mr Patterson said.

Business strategy

Further afield, Bod Australia hopes to capitalise on potential sales overseas through “key daigou relationships” and “access to over 800 pharmacies” across Australia via a key sales and distribution partnership with In2Pharma.

In addition, Bod Australia is building a sustainable, multi-faceted cannabis business through a supply and collaboration agreement with Swiss botanical extracts manufacturer, Linnea Natural Pharma Solutions, with the intention of developing a range of over-the-counter therapeutic products based on GMP-certified cannabis extracts.

According to Bod Australia, Linnea’s proprietary oils have significant advantages over other market offerings due to their “standardised and reproducible low THC content of less than 0.01%”, as well as “unique phytocomplex profile.”

Given the consistency of Bod Australia’s source materials supplied by Linnea, the company expects to provide a product that is both consistently reproducible and sufficiently unique to attract strong recurring demand over the coming years.

One of its non-CBD based products (Pommade Divine) has already attracted “unprecedented demand” with Bod Australia expecting a similar reception for its soon-to-be-launched CBD-based range of cosmetic products.

The Pommade Divine balm contains no mineral oils, no synthetic dyes or fragrances, no parabens, no silicones and no petrochemicals.

Bod Australia is selling the balm for $39.99 per unit and has received strong demand due to a growing propensity for consumers to select alternative products that are proven to contain less artificial chemicals and other toxins.