New York-based GoIP Global Inc. is claiming to have obtained a licence to cultivate cannabis on 500 acres of land in Kenya.
In a notice, the company which is listed on the OTC Markets of New York, told its shareholders that it has secured an official permit to grow the crop in the Kenya.
“After visiting Kenya and meeting with officials in the country, I am very excited about the prospects this agreement (licence) brings to our company. This is the first of several critical transactions that will transform GoIP into a relevant member of the burgeoning cannabis industry,” said company chairman, Ike Sutton in a statement.
“The lease term will be for 25 years and Kenya being on the Equator, provides the best conditions for all-year round production”, the statement adds.
The Kenyan government however denies issuing this licence, warning that marijuana remains a prohibited plant in the country. GoIP is yet to issue a public response to this.
“I am not aware of the licensing of the said firm to grow marijuana”, says Kenya’s agricultural research principal secretary, Hamadi Boga.
As you are aware, cannabis is not on the list of crops that we currently regulate”, Boga adds.
In a statement of disclosure to shareholders, the US firm indicated that it had received an interim licence from the Ministry of Agriculture allowing cultivation of the prohibited crop.
The anticipated harvests, GoIP says, will be exported to European Union countries and Canada so as to meet the rising demand for cannabis, both for medicinal and leisure purposes.
Canada recently approved the use of the crop for medicinal value, while some American states have approved its cultivation and use for medicinal use and leisure.
Kenyan laws prohibit any dealings in cannabis with hefty fines and jail terms meted out to deter possession, cultivation and trafficking in its fresh, dried or processed form.