These Stocks Will Benefit From Mexico Legalizing Cannabis

Mexican lawmakers are poised to legalize cannabis across the country, which will doubtlessly have a massive impact on the cannabis industry. While oversaturation of the market and wrong-headed investing in the earliest days of public cannabis companies has led to an overall slump in the marijuana market, Mexico’s legalization efforts could provide the industry with a much-needed turbocharge. Certain stocks will benefit from Mexico’s legalization efforts more than others, and investors will want to know which companies have been poised to benefit from Mexico’s growing tolerance of marijuana if they want to earn a profit.

Here are the stocks that will benefit the most from Mexico legalizing cannabis, and why they’re well-situated to capitalize on this political development.

Mexico’s cannabis market will be massive

One of the reasons that certain companies have been paying attention to Mexico for years despite cannabis’ outlaw status in that nation is that the Mexican environment is ideal for growing certain types of cannabis. By taking a historic turn in the country’s war on drugs and choosing to champion legalization instead of prohibiting cannabis, authorities in the country hope to mitigate the influence of cartels while generating impressive sums of revenue that can be re-invested in the Mexican economy.

This is similar to what happened in Canada. Legalization there proved a massive blow to the black market and provided work for new migrants. A good immigrationlawyertorontofirm.ca has reported of a spike in jobs in the Cannabis sector for new migrants.

Some analysts think that the Mexican marijuana market of tomorrow will be one of the largest in the world, and it will doubtlessly be worth a few billion sooner rather than later once legalization takes hold.

One of the companies that will benefit more than most from Mexico’s legalization of cannabis is Aurora Cannabis Inc. (NYSE: ACB), which previously acquired Mexico’s first federally licensed importer of raw materials containing THC. This impressive acquisition made last December was an impressive bit of foresight on behalf of the company that all but ensures it will be one of the first movers into the budding Mexican marketplace as it takes off. Aurora’s decision to expand into Mexico demonstrates that the company has excellent long-term planning and stands to make a killing by exploiting its first-mover advantage that others will have to enviously want after without ever obtaining.

Aurora already owns a massive facility in Mexico City that’s roughly 12,000 square-feet, and while it focuses on pharmaceuticals it could very well pivot to recreational and medicinal marijuana products with ease. Mexico’s burgeoning CBD market in particular offers a ripe opportunity for companies looking to offer products to cannabis users who aren’t looking to get high, but rather want a medication to help alleviate the symptoms of seizures and other conditions. If Aurora capitalizes on this opportunity to the greatest extent possible, it will be one of the major players in what’s sure to be one of the world’s leading cannabis market.

Why CannaOne stands to benefit

Why does CannaOne stand to benefit from Mexico’s legalization of cannabis? Mostly because the company is another excellent example of a cannabis enterprise that understood the potential of the Mexican marketplace earlier than most others, and it’s acted accordingly. CannaOne has partnered up with Manna Health Services to offer an online CBD marketplace in Mexico, which could prove to be very attractive to Mexican consumers who want to safely and easily access CBD without the social stigma that may be associated with purchasing the drug over the counter. A Bloomberg report on CannaOne’s partnership with Manna to conquer the Mexican CBD market is worthy of a close review if you’re an investor interested in the future of the Mexican marijuana market.

Don’t discount the company’s focus on e-commerce, either; in the future, much of the cannabis industry will enjoy robust growth solely because of the ease with which consumers can pick up marijuana products online with nothing more than a few clicks of a button. Besides pioneering the Mexican ecommerce market when it comes to cannabis, CannaOne also has bold initiatives underway to capture the burgeoning online CBD market in the United States and the UK. These two companies are thus well-situated to make more off Mexico’s legalization of cannabis than anyone else. Between their savvy forward-thinking and clever acquisition strategies, both CannaOne and Aurora stand to make a killing off CBD and THC-infused materials and products in the near-future.

Business