While the state of Arizona remains notorious unfriendly to cannabis, its namesake beverage manufacturer is taking steps to join in on the ever more-crowded weed game.
Arizona Beverage Co., the company that makes those good old sugary tall boys of Arizona Iced Tea has made a deal with Denver-based cannabis company Dixie Brands Inc. The Wall Street Journal reports that the agreement still needs official approval from Dixie’s board, but that hasn’t stopped Dixie and Arizona from starting to hatch some big plans.
If the plan moves forward, then Dixie will manufacture an array of cannabis-infused foods, beverages, and other cannabis goodies for Arizona and Arizona will have the right to buy up to $10 million of the whole Dixie company.
The intention, for now, is to start small with gummies and vape pens, and then move into a line of beverages such as tea, lemonade, coffee, soda, and seltzer. Dixie would make the products in multiple states and then distribute them to dispensarie and pot shops in the area. They would not transport any cannabis products over state lines, in abidance of federal law.
“You’ve got to be willing to try things,” said Don Vultaggio, Arizona’s chairman and CEO. “The upside is we’re one of the first ones in an emerging space.”
Maybe not exactly the first, but they could be getting in at the ground floor. Lagunitas has already started selling cannabis-infused beverages in Colorado, and Molson Coors is developing weedy drinks for distribution in Canada, and even Coca-Cola has expressed interest in making drinks tinged with the wacky tobaccy.
Photo via Flickr user Ralph Castillo