Global Ganja Report

Latin America is at the forefront of the global wave of cannabis law reform, according to a new report from a DC-based industry analyst. New Frontier Data sees a $9.8 billion market in the region, with big expansion potential for both exports and serving local consumption. 

Over the past two years, the Latin American cannabis industry has "emerged from the shadows" to command the attention of international firms and investors. Legal cannabis sales within the region are on track to reach $125 million in 2018—but that figure is expected to rise to $12.7 billion by 2028.

With Canada now joining Uruguay as the second country to legalize cannabis at the national level, industry eyes are scanning the world map for which could be the likely third. Latin America may provide the candidate, as even UN experts now urge the region's governments to consider legalization as a way out of the endemic narco-violence. But pressure for legal cannabis is fast mounting in several European countries as well. Legalization may soon be on the legislative agenda in Australia, while New Zealand has promised to put the questions before the voters. 

A year after legal cannabis first went on sale in Uruguay, it is still only available at a small handful of pharmacies. One particularly ironic obstacle has emerged: Uruguay's banks face US sanctions under the Patriot Act if they do any business with the country's legal cannabis industry. So a measure passed by the US Congress to crack down on criminal and terrorist networks that use drug profits is actually helping to keep cannabis under the control of criminal networks.

Brazilian federal police on Dec. 28 announced the arrest of José González Valencia, one of the top leaders of the Jalisco New Generation Cartel (CJNG)—the criminal machine that in recent years has risen to challenge the Sinaloa Cartel for control of Mexico's narco trade. Valencia, known as "Chepa" or "El Camarón" (The Shrimp), was arrested at Aquiraz, a resort near the coastal city of Fortaleza, where was spending the Christmas holidays with his family. Authorities said Valencia had been living in Bolivia for two years after fleeing Mexico, and had entered Brazil as a tourist on a Bolivian passport.

The First Argentine Congress on Cannabis and Health was held last week at the National University of La Plata (UNLP), bringing together academics, activists, cultivators and patients from across the Southern Cone country. The focus was on expanding the extremely limited medical marijuana law passed in Argentina earlier this year. At the opening ceremony, held in an auditorium within La Plata's provinicial legislature building, UNLP president Raúl Perdomo pledged to "work to make the regulations for the recently approved law include the national universities in cultivation and research."

Amid fast-escalating nightmarish narco-violence in Brazil comes disconcerting word that police in Rio de Janeiro seized 60 assault rifles hidden in a shipment of swimming-pool heating equipment that had just arrived on a flight from Miami. Pulse News Agency reported June 2 that the AK-47s and AR-10s were discovered in the cargo terminal of Rio's international airport. Photos of the haul showed weapons in the foam packaging they were flown in.

The medical marjuana advocacy organization Mamá Cultiva, which has been campaigning on the issue across South America, is criticizing the new measure just passed by Argentina's Senate for failing to legalize personal cultivation. The Senate voted unanimously on March 29 to legalize cannabis oil and other derivatives for medical purposes. Talking Drugs blog reports that the bill is set to become law immediately upon receiving President Mauricio Macri's signature, as it was already passed by the lower-house Chamber of Deputies in November. Under the law, patients must register with a planned national program to be overseen by the Ministry of Health.