Senator Ricardo Monreal—the head of MORENA, a political celebration in Mexico that controls the nation’s senate—says that Mexican lawmakers will quickly vote on a cannabis legalization bill.
Just after weeks of refining the reform bill via public forums and open session debates, Moreal believes that it will be authorized by the senate ahead of the finish of the month.
Final year, the Supreme Court of Mexico set October 2019 as a target date for nationwide cannabis legalization. This was just after it ruled that preventing Mexican citizens from possessing, cultivating, or utilizing cannabis is unconstitutional.
Mexico has an perfect climate for weather-loving crops such as cannabis. Some analysts are projecting that the nation could create the biggest cannabis industry in the planet. The industry could be worth $3–5 billion via the direct use of cannabis and about $12–18 billion in spin-off industries.
Thankfully, there are various Canadian corporations currently effectively-positioned for Mexican cannabis legalization. Investors interested in seeing how the country’s entrance into the recreational cannabis space can potentially turn the industry about really should think about backing one particular of these corporations.
Aurora Will Probably Be the Very first Mover
Final December, Aurora Cannabis Inc. (TSX:ACB) (NYSE:ACB) acquired Farmacias Magistrales S.A., Mexico’s 1st federally licensed importer of raw supplies containing THC. Via this deal, Aurora acquired the company’s licenses, facilities, and permissions to import, manufacture, shop, and distribute healthcare cannabis.
This suggests that Aurora is most likely to have 1st-mover benefit just after cannabis legalization comes to Mexico. It owns a 12,000 square-foot facility in Mexico City that is at the moment generating pharmaceuticals, but could be scaled for recreational cannabis.
The organization currently enjoys a robust distribution and investigation network in Mexico, and its hub for industrial-scale cannabis production in Edmonton is expected to be occupancy prepared by the finish of the month, just in time for Aurora to capitalize on the Mexican recreational cannabis industry.
>> Aurora Stock Nearing 52-Week Low: Has It Ultimately Bottomed Out?
CannaOne Technologies is Also Prepared for Mexican Cannabis Legalization
CannaOne Technologies Inc. (CSE:CNNA) (OTCPK:CNONF) is a tech organization that created a proprietary E-Commerce Marketplace answer for the cannabis business. Working with this answer, the organization launched the BWell Marketplace in July. BWell focuses on CBD item deliveries all through the United States.
Via a cookie-cutter model, the software program behind BWell—Bloomkit—can generate other marketplaces for any sort of cannabis item in any industry. From healthcare to recreational, from CBD-centric to THC-centric, Bloomkit is extremely adaptable.
That is why it is fascinating that, in March, CannaOne signed a contract with Manna Well being Solutions SA de CV to launch an on-line CBD item obtain and delivery marketplace in Mexico. Existing expectations are that the marketplace will start operations this fall.
In addition to its e-commerce answer in Mexico, CannaOne is operating to establish however a different CBD marketplace in the UK. As the United Kingdom has also produced moves towards adopting cannabis legalization, CannaOne is clearly picking out its markets wisely.
Other Providers Properly-Positioned in Mexico
Khiron Life Sciences Corp. (TSXV:KHRN) (OTCQB:KHRNF) has the uncommon privilege of having former Mexican President Vicente Fox Quesada on its board. It 1st entered the cannabis industry in Mexico just days ahead of the Supreme Court produced its ruling about recreational cannabis, so it is absolutely been waiting for this news with bated breath.
In May well, it unveiled plans to bring 100 cannabis merchandise to Latin America with its JV companion, and that identical month it discussed its strategic position in the Mexican industry.
PharmacCielo (TSXV:PCLO) also has a JV companion, MINO Labs SA de CV, that is assisting it enter the Mexican industry. The two corporations will be exporting cannabis oils and other derivatives to Mexico as early Q4 of 2019.
All 4 of these corporations have a foothold in Mexico. That is not just vital for their production and distribution capabilities, it also offers them brand recognition with the Mexican public.
As a different nation embraces cannabis legalization, Canadian corporations will continue to move 1st in capitalizing. Hopefully, that will support kick pot stocks back into higher gear just after half a year of decline.
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