- A muscle relaxing drink from the Pacific Islands could be seeing a resurgence in the alternative medicine market
- The drink called Kava is taken from a plant's root and can be used in curbing anxiety and give feelings of euphoria
- Australian listed company Fiji Kava (ASX:FIJ) is trying its best to catch the wave that is seeing kava put in bars, clubs, alternative dining, and in fringe culture
- Fiji Kava signed on a new deal with natural medicine supplier Oborne Health Supply today — which will see further distribution of its Kava properties in pill form
- Shares in small cap Fiji Kava have achieved a valuation of 10.5 cents each after a five per cent premium today
A Pacific Island muscle relaxant drink has made its way into fringe culture, bars, and even healthcare investors' hands. But how viable is it in the greater market?
Chances are you haven't crossed paths with the niche alternative medicine. The root of the plant is used in creating a thick-textured drink.
When consumed, a kava drinker experiences muscle relaxation, sedation, anaesthetic effects, and feelings of euphoria. Kava is also known to provide measures in combatting depression and anxiety.
For many years, curious globetrotters would have to visit the Pacific Islands in person to get a taste.
However, the past decade has seen the properties of kava marketed to greater western consumers through sprays and even pill forms.
A stand out in the Australian market has flashed its teeth — Fiji Kava.
The small cap company most recently closed shares at 11 cents each in a $6.97 million valuation — pushing the muscle relaxant properties in a pill form.
According to Fiji Kava, the global alternative medicine market is expected to reach a roughly $310 billion valuation by 2026. The company is looking to break into this market with its choice of kava strain known as "Noble".
"There is a major resurgence of global demand for kava, with unprecedented interest shown in our Noble kava extracted products in capsule and powdered forms," Fiji Kava Founder and Managing Director Zane Yoshida said.
Kava is commonly grouped into two major categories: Noble and Tudei.
Tudei kava is referred to as being much stronger than Noble kava and more likely to cause drinkers nausea and overwhelming sensations.
Fiji Kava is the first foreign company in the industry to gain approval from the Fijian Government. Today it operates a tissue culture lab and a 111-acre farm on Fiji's Ovalau island.
Recently Fiji Kava got major recognition from the Australian Government, softening trade restrictions on the alternative medicine.
"The recent relaxation on kava imports by the Australian Federal government further supports this resurgence," Zane said.
Now the Fiji Kava pills are even being sold through popular web-shop Amazon.
Today the company ear marked its latest accomplishment, signing a memorandum with an Australian natural health market leader — Oborne Health Suppliers.
"We selected Oborne Health Suppliers based on their leadership and wholistic offering, and we are confident that together we can deliver customer service and support at both an individual retailer and key retail banners nationally across the Natural, Traditional and Complementary Health channel," Zane added.
Oborne distributes its repertoire of natural medicines to health practitioners, health food stores and anything in between.
This deal will act as a gateway for Fiji Kava to reaching further naturopaths, specialists, herbalists, doctors, and chiropractors.
Oborne Health boasts 29 years of experience in the industry and sources products from over 300 suppliers.
Oborne Health Supplies Director Barry Oborne had words of encouragement to add today.
"We are very excited to be working with Fiji Kava, and be distributing their products across our national network of healthcare professionals, to meet the growing demand for kava within our network," he said.
Shares in Fiji Kava have undergone a 10 per cent premium today to trade at an even 11 cents each.