Earlier this year, Mexico’s Supreme Court decriminalized the recreational use of cannabis, calling prohibition unconstitutional.
With that ruling, Mexico could become one of the hottest cannabis markets in the world.
Better, according to New Frontier Data, “Mexico is the second-most populated country in Latin America, with more than 1.4 million cannabis consumers, including nearly 850,000 regular users. Mexico’s total potential market revenues are substantial.” However, another game-changing decision is on the horizon.
On December 1, the Supreme Court is expected to rule on Xebra Brands (CSE:XBRA) constitutional claim to obtain an injunction that would authorize it to be the first in Mexico to legally cultivate hemp, and would include the right to commercialize hemp derived cannabinoids, such as CBD and CBG. Other top cannabis companies to keep an eye on include Aurora Cannabis (NASDAQ:ACB)(TSX:ACB), Canopy Growth (TSX:WEED)(NASDAQ:CGC), Tilray Inc. (NASDAQ:TLRY)(TSX:TLRY), and OrganiGram Holdings (NASDAQ:OGI)(TSX:OGI).
Xebra Announces That Mexican Supreme Court Sets Date of December 1st to Vote On Granting Xebra An Injunction To Commercialize Cannabis
Xebra Brands Ltd. just announced that it has been informed that the Mexican Supreme Court will convene on Wednesday December 1st, 2021, to deliberate and vote on a claim by Xebra’s wholly owned Mexican subsidiary, Desart MX, SA de CV, to obtain an injunction that could result in Xebra being positioned to hold an outright first-mover-advantage in the Mexican cannabidiol and cannabigerol market.
If an injunction is granted, Xebra could be authorized to operate irrespective of when, or whether or not, Mexico legalizes cannabis, and the injunction would apply only to Xebra.
Xebra believes Mexico has the potential to be one of the largest near-term country cannabis consumer markets in the world upon legalization of cannabis. Mexico is also within the North American free trade zone (USMCA), giving it considerable cultivation and product manufacturing cost advantages over Canada and the United States. Xebra is of the opinion that there is sufficient precedent with many agricultural crops and manufactured products, to suggest that there is a possibility that ultimately the majority of North American industrial scale cannabis production activity will occur in Mexico.