Cansortium Texas, which is a part of Florida-based Cansortium Holdings, received the first medical marijuana license on Friday according to the Austin American-Statesman. Cansortium is the first of possibly two additional companies expected to set up shop in Texas.
The company will be allowed to grow, process and sell medical marijuana to patients with rare forms of epilepsy. Cansortium has licenses in Florida, Pennsylvania, and Puerto Rico. The Department of Public Safety is also reviewing applications from Compassionate Cultivation and Surterra Texas. The companies were selected from more than 40 applicants in May and have undergone a series of facility inspections. They face strict guidelines and regulations that restrict their customer base and how they formulate their product.
Licenses are being issued under the Texas Compassionate Use Act which was signed into law by Gov. Greg Abbott in 2015. The act legalized the production and sale of cannabidiol. The oil does not produce a high. The law also only allows patients with intractable epilepsy to use the oil. All patients must have a doctor’s prescription and have already tried two conventional drug treatments that were not effective.
Industry experts believe Texas could rival the California cannabis market which is estimated to be a $2.8 billion business. Cansortium Texas will be located near the Schulenburg area (95 miles West of Houston).
Sources: Austin American-Statesman, Gov. Greg Abbot Office