The country that has been at the forefront of medical cannabis research by discovering THC and the endocannabinoid system has given the green light to exporting cannabis. And it’s about to change the entire industry.
As I’ve said here a lot at Cannabis Profits Daily, momentum builds quickly in cannabis markets. Don’t let the U.S. Congress’ formerly slow pace of change fool you – the world is moving on cannabis.
We’ve seen capital rushing into newly public companies through IPOs and the frenetic mergers and acquisitions among cannabis companies as they scramble to get bigger or focus on becoming a niche-filling company.
Just last week, a cannabis company that has been public for less than two months unsuccessfully (so far) made a hostile takeover offer for one of the largest Canadian LPs.
This growth is spurred forward even more quickly by the interest of deep-pocketed corporate giants from outside the industry that are desperate to establish a foothold in cannabis through buying a stake in the company or forming strategic partnerships.
It seems that, no matter how aggressive or bold a prediction appears, most prove to have been timid in short order.
Add to this the rapid pace of new cannabis legislation around the globe. We’ve told you of how Canada is already moving forward with plans to expand its nationwide recreational cannabis program less than three months after its launch. We’ve also seen increasingly surprising medical marijuana legalizations in Mexico, then the United Kingdom, then Thailand this month in perhaps the biggest shock of all.
As these new laws pass, entire sub-sectors break open almost overnight into multibillion-dollar opportunities. The companies and countries that smartly position themselves for the ending of these cannabis prohibitions internationally create massive profit potential for themselves and for investors with a stake in them.
All of this will help define the cannabis market for years to come, especially the latest news from abroad.
Here’s the game-changer that got me so excited in the last week…
Cannabis’ Research Kingpin Approves Product Exporting
Just a mere two weeks ago we talked about how an exporting superpower will be born from Israel‘s pro-exporting legislation, which I expected to come in early 2019. But, as I mention about change in cannabis coming faster and faster, it has already passed.
On December 25, the Israeli Parliament, or Knesset, passed a bill allowing the export of medical cannabis. The vote was unanimous, and the measure was subsequently approved by Gilad Erdan, the Minister of Internal Security, in short order.
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A government rubber-stamp to finish the effort off is expected this week. That authorization will add Israel to a short-list of countries that have legalized the exportation of medical cannabis, behind countries such as the Netherlands, Canada, and Australia.
That Israel is among the early leaders should not be too surprising. The country has been at the forefront of medical cannabis research for years. Tetrahydrocannabinol, or THC, was discovered by Israeli researcher Dr. Raphael Mechoulam. He also teamed with other researchers to discover anandamide, one of the cannabinoids humans produce naturally. His work also led to the discovery of the endocannabinoid system.
The Market for Cannabis Expertise Is Open for Business
Because of Israel’s long history of researching medical marijuana, the county is home to some of the world’s best-quality cannabis. Researchers demand extremely high-quality cannabis with precise ratios of THC, CBD, and other cannabinoids depending on the researchers’ needs.
Dr. Michael Dor, a founding advisory board member at the National Institute for Cannabis Investors and a prominent cannabis researcher who has worked closely with Mechoulam, predicted this day would come in short order. Dr. Dor, the senior advisor for the General Medical Division at the Israeli Ministry of Health, tells us the opportunities that arise from a thriving cannabis export market are boundless – and they’ll be even greater when the United States loosens some of its research restrictions. And as we’ve noted, those reforms will happen in fewer than five years… likely significantly sooner.
If you factor in not just medical grade THC and CBD but also food supplements, cosmetics, pet medications as well as industrial hemp applications like furniture, clothing, and even more environmentally friendly plastics, you can see how $100 billion estimates for the cannabis industry are far too conservative.
Cannabis companies operating in Israel should begin exporting activity by mid-year, so we can soon check the Institute’s prediction that Israel would officially join the ranks of cannabis exporters next year off the list. Given its reputation in the industry, Israel is on the brink of creating the template for all other countries to follow. It’s a template that will start unearthing a trend of significant product growth being done abroad for the benefit of North American-based companies.
Thanks for being an important part of the National Institute for Cannabis Investors,
Executive Director, National Institute for Cannabis Investors
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