Can B Corp. announced its formation of joint venture with PrimeX for its CBD products in Brazil. PrimeX has a contract with Biocase Brasil to produce CBD products for the Brazilian market.

Biocase is a company focused on: local distribution, an intensive education program for doctors (MDs), production of oils, capsules, and creams through local facilities, and the development of a biotech laboratory for cannabis testing and extraction. Biocase Brasil has a strong network of doctors in Brazil and provides education, research, products development, and tests for the Brazilian market. Brazil relies on medical clinical trials to test CBD products for new categories, such as beauty, veterinary use, and food, before regulation permits the distribution to pharmacies and online sales.

Biocase Brasil patients also have access to prescriptions and Anvisa licenses. PrimeX services 120,000 retailers in Brazil, which includes markets, pharmacies, and bodegas, a country that recently approved the sale of CBD products in pharmacies. The joint venture will utilize PrimeX's existing distribution relationships in Brazil.

The largest country in South America, Brazil is the fourth biggest pharmaceutical market in the world. The Brazilian National Health System is one of the largest public health systems in the world. In 2019, Brazil had 114,352 community pharmacies (76.8% privately owned), which represent the first point of access to healthcare in Brazil due to their wide distribution.

Medical cannabis and CBD are expected to surge in Brazil with the passage of new legislation, with estimates that the sector could reach $4.7 billion in sales in the next three years. Up until recently, CBD in Brazil was permitted only for medical use with authorization from the National Sanitary Surveillance Agency. Regulations are in place for medical cannabis and hemp opening up a market of 210 million consumers.

There are only a few companies in Brazil - CBD Vida being one - selling CBD-based pharmaceuticals through prescription and medical reports. Only a handful of importers have established distribution in Brazil, including GW Pharmaceuticals, Biocase Brazil, which sells its Sativex CBD-based medicine in pharmacies, and Biocase sells Allandiol Full and Broad.