Israeli cannabis startup “StickIt” announced the signing of a cooperation agreement with Green Globe International’s subsidiary “Hempacco”, a leader in the production of Herb and Hemp cigarettes, on Thursday morning to produce "cannabis sticks" – StickIts signature product, a stick (reminiscent of a toothpick) of non-oil “CBD” cannabis components that can easily be inserted into any cigarette.
Hempacco and StickIt intend to produce about 10 million “cannabis sticks” every month for export to the USA and Mexico. The factory will be built in California, USA, and is expected to become operational in January 2022.
Hempacco and parent company Green Globe International develop, manufacture, market, and sell cannabis-related products, such as smoking papers, hemp products, and Hempacco’s signature product, “CBD Cigarettes”.
"This is a significant move for the company, as part of its expansion and growth strategy for overseas markets,” said StickIt CEO Eli Ben Arush.
Dr. Asher Holtzer, founder of StickIt, agreed with the positive sentiment.
"The cooperation formed with Green Globe International’s subsidiary Hempacco, along with other collaborations we have announced with other companies overseas, places us as a leading company in its field in the cannabis industry.”
StickIt's patented cannabis sticks contain the cannabinoid CBD. CBD (Cannabidiol) is one of 113 identified cannabinoids in cannabis plants, along with THC (tetrahydrocannabinol), which is the active ingredient in what is colloquially known as “marijuana” or “weed.”
The positive effects of CBD on anxiety, cognition, movement disorders, and pain continue to be studied for their potential health benefits. Several products, from extracts to pills and even cosmetic creams, contain CBD as its active ingredient.
Medical marijuana has been permitted in Israel since the early 1990s for cancer patients and those with pain-related illnesses such as Parkinson's, multiple sclerosis, Crohn's disease and other chronic pain disorders. In 2004, the IDF began using THC for experimental treatment of PTSD (Post-traumatic stress disorder) in soldiers.
Cannabis has been studied in Israel since 1964, when Israeli scientists Raphael Mechoulam of the Hebrew University and Yechiel Gaoni of the Weizmann Institute isolated the THC component from a cannabis plant.
A 2017 survey by the Israeli Anti Drug Authority found that 27% of Israelis between the ages of 18 and 65 had consumed cannabis in the last year, up from 8.8% in 2009, giving Israel the highest rate of annual cannabis usage in the world, followed by Iceland and the US at 18% and 16% respectively. Cannabis is illegal in Israel, though it has been partially decriminalized for recreational use, meaning that the first two violations will result in civil fines as opposed to criminal charges.
Global demand for cannabis has steadily risen since the American states of Colorado and Washington legalized cannabis for recreational use in 2012. Cannabis sales in the United States alone totaled $17.5 billion in 2020, according to BDSA, a cannabis sales data platform.
“Just recently, we announced our launch on the Canadian Stock Exchange at a value of $50 million,” continued Ben Arush.
“We have received huge investment requests and we are happy to allow our investors to grow with us. We will be at the forefront of the technology of the global cannabis industry.”