Universal Corp and botanical extraction company Avoca Inc formed a joint venture (JV) to produce pharmaceutical-grade liquid nicotine for the e-cigarette industry, the leaf merchant said.

AmeriNic Inc will begin producing USP (United States Pharmacopeia) grade nicotine using traceable tobaccos before the end of the year, Universal said. Virginia Tobacco Co, a subsidiary of Universal, is the operating partner with Avoca, which is based in North Carolina.
“We believe that the best source of liquid nicotine is tobacco and that AmeriNic Inc has the capability needed to build a supply chain to provide the highest quality product at a competitive price,” said Universal Chief Executive Officer George Freeman. “The electronic cigarette industry is developing rapidly, and as a leader of tobacco sourcing and agronomic research, we are pleased to bring our expertise to this dynamic market,” he said.