Australian Primary Hemp (ASX:APH) announced on Tuesday it had secured a retail distribution agreement with Woolworths.
The agreement involves APH’s new Mt. Elephant range of baking products that include pancake, protein ball and bread mixes.
The company forecasts annual retail sales from the arrangement, which kicks off in March, will generate $2.31 million a year. As to how long the agreement lasts, that will be based on sales performance in each category as dictated by Woolworths.
“This substantial agreement builds on APH’s momentum in the retail space and is significant progress in achieving our commercialisation and distribution goals,” said APH Managing Director and CEO Neale Joseph.
In November last year, Australian Primary Hemp inked a retail distribution arrangement with 7-Eleven Australia involving its Mt. Elephant brand snack bars.
Australian Primary Hemp covers just about everything hemp food related, from farming to processing, packaging and retail. Last year the company also branched out into hemp based PPE.
Mr. Joseph stated the company had “several more” potential retail contracts in its pipeline.
Both of these deals are not only good news for APH, but also the Australian hemp food industry generally as they indicate growing consumer acceptance of hemp. Considered by some to be a superfood, hemp seed has a nutritional profile deserving the label. Hemp seed is particularly high in Omega-3 and -6, magnesium and Gamma Linoleic acids, although levels of these and other nutrients varies with the strain, and growing and processing conditions
As for its taste, hemp seed has a pleasant earthy, nutty flavour.
It was only in November 2017 that a ban on hemp seed foods was finally lifted in Australia, and Australia was the last country in the world to do so. Learn more about the history of hemp seed foods in Australia.
Another Australian company to have its hemp products on Woolworths’ shelves is ECS Botanics (ASX:ECS) – some soups and hemp seed oil. Other hemp seed products currently available from Woolworths include hemp seed under the Macro brand, hand washes, body bars, protein powder and even hemp corn chips.