Followers | 0 |
Posts | 1744 |
Boards Moderated | 0 |
Alias Born | 03/25/2018 |
Tuesday, September 17, 2019 9:13:05 AM
Today 9:00 AM ET (Benzinga)Print
Market research and cannabis consultancy company Brightfield Group on Tuesday released a report analyzing the current state of the Latin American cannabis market. The report focuses on looking at each country’s legislation, to assess their potential consumer markets.
Too Green For The Green Rush?
The report analyses the situation of the cannabis industry in Chile, Mexico, Colombia, Brazil, Argentina, Peru and Uruguay. It’s important to point out that these countries only account for seven out of the 20 countries that make up the region.
A region overview by the Brightfield Group states that, although many Latin American countries are developing policies that will eventually lead to legal marijuana markets, the business opportunities behind these markets are limited. According to the study, the results derived from today’s authorized medical and recreational marijuana markets are “unlikely to provide significant market potential in the near term.''
Click here for more information about the upcoming Benzinga Cannabis Capital Conference Oct. 22-23 in Chicago.
CBD, King In The Region
According to the report’s projections, CBD is expected to become the most important cannabis segment by far, reaching $448 million by 2023, with Mexico accounting for over half of that market. Medical marijuana is expected at $109 million by that same year and recreational projections show no growth from today’s scenario.
Don’t miss out on the top cannabis stories of the day. Click here to sign up for our daily insider newsletter.
Big Expectations For Cultivation And Export Potential
Although consumer markets in Latin America cannot compete with the U.S. or European demand, the region shows a promising potential as an exporter of cannabis products, thanks to good weather conditions for marijuana growth, and low farming costs.
Several big weed companies like Canopy Growth (NYSE: CGC), Aurora (NYSE: ACB), Aphira (NYSE: APHA), Tilray (NASDAQ: TLRY) and Khiron (OTC: KHRNF) have already made investments in Latin American soil, and some have already seen their first crops.
Regulation, however, has not yet allowed for big exports to leave their homeland and reach international shelves.
A ‘Wait And See’ Case
According to the report, low average household incomes, patients’ freedom to grow their own cannabis, and strictly regulated medical markets are placing Latin America away from world-class markets like Canada, some US states and some European countries.
However, educational efforts from advocacy organizations and international investors are shaping public opinion positively for cannabis, generating demand on medical cannabis.
Although the report offers a sensible overview of the region’s panorama, it lacks certain traits shared by academic-level market studies. This means that, while its projections might be accurate, it’s not recommended to take them for granted, since the report offers no evidence to the reliability of its sources or method used in projecting its results.
© 2019 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Recent ACB News
- Aurora Improves Offerings in Australia with New Range of Premium Dried Flower Products • PR Newswire (US) • 04/30/2024 11:15:00 AM
- Aurora Improves Offerings in Australia with New Range of Premium Dried Flower Products • PR Newswire (Canada) • 04/30/2024 11:15:00 AM
- Marijuana Stocks Up After Banking Reform Progress • IH Market News • 04/09/2024 10:05:42 AM
- Aurora Cannabis Commends Germany's Landmark Legalization Achievement • PR Newswire (US) • 04/01/2024 11:00:00 AM
- Aurora Cannabis Commends Germany's Landmark Legalization Achievement • PR Newswire (Canada) • 04/01/2024 11:00:00 AM
- Aurora Cannabis Achieves Australia's TGA GMP Certification, Setting Global Standard for Quality and Compliance • PR Newswire (Canada) • 03/20/2024 11:15:00 AM
- Aurora Cannabis Achieves Australia's TGA GMP Certification, Setting Global Standard for Quality and Compliance • PR Newswire (US) • 03/20/2024 11:15:00 AM
- Aurora Introduces Medical Cannabis Pastilles for Patient Relief in Australia • PR Newswire (Canada) • 03/04/2024 02:42:00 PM
- Aurora Introduces Medical Cannabis Pastilles for Patient Relief in Australia • PR Newswire (US) • 03/04/2024 02:42:00 PM
- Aurora Completes Final Repayment of Convertible Senior Notes Representing ~$465 Million in Total Repayments Since 2021; Cannabis Operations Are Now Debt Free[1] • PR Newswire (Canada) • 02/29/2024 10:00:00 PM
- Aurora Completes Final Repayment of Convertible Senior Notes Representing ~$465 Million in Total Repayments Since 2021; Cannabis Operations Are Now Debt Free[1] • PR Newswire (US) • 02/29/2024 10:00:00 PM
- Aurora Partners with Script Assist to Provide Better Access to UK Medical Cannabis • PR Newswire (US) • 02/28/2024 12:13:00 PM
- Aurora Partners with Script Assist to Provide Better Access to UK Medical Cannabis • PR Newswire (Canada) • 02/28/2024 12:11:00 PM
- Aurora Partners with Script Assist to Provide Better Access to UK Medical Cannabis • PR Newswire (US) • 02/28/2024 12:11:00 PM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 02/20/2024 12:36:30 PM
- Aurora Cannabis Announces CFO Transition and Completion of Previously Announced Share Consolidation • PR Newswire (Canada) • 02/20/2024 12:00:00 PM
- Aurora Cannabis Announces CFO Transition and Completion of Previously Announced Share Consolidation • PR Newswire (US) • 02/20/2024 12:00:00 PM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 02/16/2024 02:49:18 PM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 02/08/2024 12:23:28 PM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 02/08/2024 12:10:27 PM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 02/08/2024 12:07:18 PM
- Aurora Cannabis Announces Fiscal 2024 Third Quarter Results; Generates Record Adjusted EBITDA of $4.3 Million • PR Newswire (Canada) • 02/08/2024 12:00:00 PM
- Aurora Cannabis Announces Fiscal 2024 Third Quarter Results; Generates Record Adjusted EBITDA of $4.3 Million • PR Newswire (US) • 02/08/2024 12:00:00 PM
- Aurora Cannabis Acquires MedReleaf Australia • PR Newswire (US) • 02/08/2024 11:45:00 AM
- Aurora Cannabis Acquires MedReleaf Australia • PR Newswire (Canada) • 02/08/2024 11:45:00 AM
NanoViricides Reports that the Phase I NV-387 Clinical Trial is Completed Successfully and Data Lock is Expected Soon • NNVC • May 2, 2024 10:07 AM
ILUS Files Form 10-K and Provides Shareholder Update • ILUS • May 2, 2024 8:52 AM
Avant Technologies Names New CEO Following Acquisition of Healthcare Technology and Data Integration Firm • AVAI • May 2, 2024 8:00 AM
Bantec Engaged in a Letter of Intent to Acquire a Small New Jersey Based Manufacturing Company • BANT • May 1, 2024 10:00 AM
Cannabix Technologies to Deliver Breath Logix Alcohol Screening Device to Australia • BLO • Apr 30, 2024 8:53 AM
Hydromer, Inc. Reports Preliminary Unaudited Financial Results for First Quarter 2024 • HYDI • Apr 29, 2024 9:10 AM