On Thursday, the House Financial Services Committee overwhelmingly votes in favor of the SAFE banking act 45 to 15. Banks are attempting to open themselves up for cannabis businesses, but, with the risk of being federally prosecuted for federal money laundering or violating drug laws, most remain weary. The democratic controlled House is expected to vote in favour of the bill but with a GOP-controlled Senate the chance this turns into law is still unsure.
After CVS announced it would sell cannabis related products it was only a matter of time for their competitors to react. Walgreens has been the quickest in countering CVS with the announcement of selling CBD products in over 1500 stores across 9 states. Walgreens hasn’t announced which brands will be available in their stores. Since the farm bill last year CBD has been federally legalized which has allowed for an explosion in CBD infused products across the market. Now big retailers like CVS and Walgreens are getting involved and it will just be a matter of time for others to follow suit.
Latin America is becoming key in the medicinal cannabis industry. On the production side of things many companies are looking into going south as the climate as well as the labor will costs companies much less as the vamp up their cultivation capacities. Exportation is currently illegal, but with deals such as the deal between a canadian and a colombian cannabis company to export cannabis starting up there could be a major shift in the leaders of the market. One report has concluded that the costs of construction and facilities in Latin America can be as much as 80% cheaper than that in North America and Europe. With the medical cannabis market in Latin America is expected to be worth $8.5bn in 2028 we can imagine their global influence will explode.
Source: Health Europa