Canopy Growth Corp (TSX: WEED; NYSE: CGC) has sent its chief medical officer to Lima to launch a subsidiary called Spectrum Peru.
The Ontario-based firm bought Spectrum Colombia in a $34.8 million deal last year and founded Canopy LATAM Corporation to handle operations on the continent. It has now expanded into Peru and it decided to use the Spectrum brand, with the aim of increasing “the growing global Spectrum Cannabis family”.
It comes with Peru on the brink of introducing new laws for medicinal cannabis and Canopy wants to have a base in the country, which has a population of 32 million. Peru is the fifth largest economy in Latin America, after Brazil, Mexico, Colombia, and Argentina.
Canopy will use the subsidiary to advance education and awareness of cannabis in the country. It hopes to work closely with the medical community in Peru to foster greater understanding of marijuana’s potential uses, while cutting out the stigma often attached to it.
To that end it has sent chief medical officer Dr. Mark Ware into the market, and he will host a number of cannabis-focused events for physicians, healthcare professionals, and patient groups. That includes addressing doctors currently attending a course on cannabis held by Colegio Medico del Peru, a medical college in Lima, and he also addressed the Encuentro Americano De Professionales Expertos En Fitocannabioides, a conference on cannabinoids, on Friday.
Dr. Ware is a pain management specialist and he will also participate in the signing of the Lima declaration on the medicinal use of cannabis, a physician-led declaration that encourages governments across Peru and South America to ensure patients gain access to cannabis when needed. It aims to boost collaboration and collegiate working across the region, while calling upon pain sufferers to demand marijuana as treatment.
“The landscape for medical cannabis continues to evolve rapidly in Latin America and Peru is poised to take a leading role with the introduction of new regulations which we hope will prioritize patient access,” said Antonio Droghetti, managing director at Canopy LATAM. “Launching Peruvian operations enhances our ability to engage with regulators, healthcare professionals, and patients to ensure they have the information they need, while also preparing for the future sale of medical cannabis products across the country.”
Cultivation of cannabis is moving forward at the company’s farm in Colombia, where the harvest began in late 2018. It has received licenses for all plots on its 126ha land, and Canopy claims it is now among the largest licensed cannabis production facilities in the world.
Along with Colombia and Peru, Canopy LATAM is also making strong inroads into Mexico. It is now joined by another Canadian firm, Captiva Verde Land Corp. (CSE: PWR), which has just announced a deal to acquire Mexican cannabis licenses, land, and facilities from S & G Procesos Industriales, S.A de C.V. It is issuing a million common shares to get the deal tied up.
Jeff Ciachurski, chief executive at Captiva Verde, said Mexico offers ideal growing conditions, market awareness, and a long history of cannabis production, along with a growing acceptance of marijuana as a “wellness product”.