BETHESDA, Md.--(BUSINESS WIRE)--India Globalization Capital, Inc. (NYSE: IGC) announces that its

subsidiary Holi Hemp’s application has been approved and that it has

executed agreements with operators to grow and harvest industrial hemp

under the terms and conditions of the Industrial Hemp Program developed

by the Arizona Department of Agriculture (AZDA).

Our strategy is to ensure the highest quality output by controlling the

production of important cannabinoids like Cannabidiol (CBD) and

Cannabigerol (CBG) among others, both as a supplier and to support our

products such as HyalolexTM and Holi HempTM. The

establishment of a grow operation platform is an important step in

achieving these objectives and sets the foundation for CBD based brand

development, fulfilment, and growth.

“We selected Arizona after much analysis including assessing climate,

cost of labor, political environment, local support, logistics, market

penetration, and competition, among other factors. IGC intends to employ

a strategy to plant year-round that reduces the amount of requisite

acreage while taking full advantage of the hot weather to land dry the

bio-mass. Our plan will focus on about 100 acres for extraction with

additional acreage set aside for R&D initiatives. We anticipate having

an extraction facility built in time for the November 2019 harvest but

various factors, for example building permits, could cause a delay. If

we are able to execute on our plans, one acre of hemp can potentially

yield about 2,000 Kgs of dry flower that can potentially be extracted

and refined into approximately 50 Kgs of THC-free CBD distillate with a

current market value of $5,500 to $7,000 per Kg.,” said Ram Mukunda, CEO.

Hemp is a variety of the cannabis plant that has relatively high levels

of the cannabinoid CBD, and levels of the cannabinoid

tetrahydrocannabinol (THC) below 0.3% on a dry weight basis. The 2018

Farm Bill signed into law in December 2018 legalized the growing and

processing of industrial hemp. The risks to the process of producing the

end product include, among others, seed selection and performance,

inclement weather like hail or heavy rain, and the methodology used in

the extraction and refinement process. Current pricing may not be

indicative of future pricing as it depends on supply and demand. Our

rationale for being as vertically integrated as feasible, allows us to

control various factors including and especially the cost of production.

About IGC:

IGC has two lines of business: infrastructure and plant and cannabinoid

derived products. The company is based in Maryland, U.S.A. Our website:

Twitter @IGCIR

Forward-looking Statements:

This press release contains forward-looking statements within the

meaning of Section 21E of the Securities Exchange Act of 1934. These

forward-looking statements are based largely on IGC’s expectations and

are subject to a number of risks and uncertainties, certain of which are

beyond IGC’s control. Actual results could differ materially from these

forward-looking statements as a result of, among other factors,

competitive conditions in the industries, in which IGC operates, failure

to commercialize one or more of the products, services and technologies

of IGC, general economic conditions including pricing for products that

are less favorable than expected, the Federal Food and Drug

Administration’s (FDA) general position regarding hemp based products

and our products in particular, and other factors, many of which are

discussed in our SEC filings. In light of these risks and uncertainties,

there can be no assurance that the forward-looking information contained

in this release will in fact occur.


Claudia Grimaldi