The drink company are announcing they’ll be making THC-infused products including gummies, drinks and more.
The company is partnering up with Dixie Brands Inc., a leading cannabis consumer packaged goods company. They’ll be joining together for production, distribution and sales of their cannabis-infused products containing THC.
“Arizona has always led the way in product innovation,” said Don Vultaggio, chairman of Arizona Beverages in a statement. “The cannabis market is an important emerging category, and we’ve maintained our independence as a private business to be positioned to lead and seize generation-defining opportunities exactly like this one.”
The partnership will last for three years with an option for renewal of up to two additional two-year terms. That means we could be in for up to seven years of THC iced tea if sales go well enough to continue past the initial deal.
“Arizona is a power brand,” said Chuck Smith, CEO of Dixie Brands, “and the most iconic and recognized CPG brand to extend into the cannabis market, providing the evolving cannabis consumer with a fun and flavourful experience alongside an iconic brand they know and love.”
According to The Wall Street Journal, they’re likely to start with vape pens and gummies following with a line of beverages. Dixie intends to launch the products in the U.S. first and make their way into Canada and Latin America.
Arizona isn’t alone in getting into the cannabis market though. Just a few months ago, Ben & Jerry’s announced they’re petitioning for CBD-infused food to be made legal by the federal government.
The ice cream company is looking to release a CBD-infused ice cream with the growing popularity of the cannabinoid.
For those who don’t understand the specifics of cannabis, typical flowers contain mostly THC which has psychoactive properties. CBD, on the other hand, gives most of the medical benefits without the high.
CBD has become a trend that numerous brands have been hopping on and Ben & Jerry’s fully admit they’re trend hopping.
“Trend alert! CBD-infused ice cream is (maybe, hopefully) coming to a freezer near you!” their post on the topic reads.
What do you think of Arizona iced tea entering the cannabis market? Let us know in the comments below.