Medical cannabis, CBD skincare line are next for German company

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Berlin-based MH medical hemp GmbH (MH) has applied for licenses to import and sell medical cannabis in German pharmacies, with approval expected this summer. MH is in the process of obtaining Wholesale Trading Authorization for human medicinal products as well as a Narcotic Drug License as outlined in the German Narcotic Drug Act.

Next evolutionary step for MH

“This is the next step in the evolution of the company. It’s a natural space for us to be in,” said Joscha Krauss, MH’s CEO. “The demand for medical cannabis in Germany is by far higher than its supply – especially when high quality standards lead to tight bottlenecks.”

Joscha Krauss, CEO, MH medical hemp GmbH, Germany.

Germany’s medical marijuana law, which went into effect in spring 2017, makes it easy for patients to access cannabis for medicinal purposes, removing a complicated system in which special authorization was required to obtain cannabis remedies in the past. Patients are only required to have a doctor’s prescription, and can collect reimbursement via their health insurance program.

“The fact that health insurance companies will cover the cost of medical cannabis gives Germany a leading role on a global level,” Krauss added, and empowers both patients and doctors in their efforts to manage patient needs.

The legalization also will spur German research on cannabis in all of its medical forms including CBD, Krauss noted.

New Phytalize Skincare line

MH also announced it will soon expand into the cosmetics market with the launch of a highly sophisticated product range under a new brand called Phytalize Skincare. The naturally-derived products – a lip balm, a balsam and a transdermal cream – all incorporate respective levels of CBD into the formulas.

Meet Joscha Krause at HempToday’s “The Future of Medical Hemp.”

For MH, the Phytalize launch marks the company’s expansion from wholesale CBD sales into branded goods for the consumer market; the company will also offer white label services based on the new products. The Phytalize debut comes after more than four years spent in research, exploring the advantages and disadvantages of various CBD extraction processes and installing rigid quality control standards. During that time, MH also has gained valuable market insight interacting with bulk buyers of its CBD, and boasts a rapidly expanding network of high-caliber and experienced customers and contractors.

“We’ve built up a lot of technical and scientific knowledge about the key ingredient – the CBD in the Phytalize line. That knowledge is essential to creating top-shelf products for the consumer.” Krauss said.

Transdermal delivery

Along with high CBD content, products in Phytalize cosmetics contain essential fatty acids, including gamma-linolenic acid – which is lacking in most people but which is crucial for healthy skin. Individual products also include derivatives from other beneficial plants to heighten the desired restorative effects of each. For example, the Phytalize balsam balm combines CBD with extract from the Calendula plant, an anti-inflammatory and healing agent that has long been used to treat wounds and rashes.

The Phytalize cream is based on an oil-in-water emulsion and liposomal technology that provides transdermal delivery, resulting in the slow release of potent active ingredients deep into the voids of skin tissue.
All products are free of GMOs, parabens, phthalates, formaldehyde and artificial coloring – substances often found in highly processed, chemical-based cosmetics.

Krauss sees MH as well positioned to serve the medical cannabis and CBD markets in Europe and beyond. Anticipating the sector will some day reach a set of industry-wide standards, the company has already established internal controls critical to further development of large-scale manufacturing processes that employ safe and environmentally-friendly methods.

How CBD market can expand

As the CBD business continues rapid growth, Krauss said a clear, rational regulatory landscape is the main thing still needed to keep the hemp cosmetics, medicine and food supplements sectors expanding, and to get beyond niche markets into the mainstream. Especially critical is the need to set the regulatory classification for CBD and rules governing its concentration and dosage, Krauss added.

On the wholesale side of the business MH offers hemp whole-plant Co2 extracted CBD oil that features the full range of cannabinoids, terpenes, flavonoids and phenols from EU certified hemp.

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