MJBizMag September 2020 - 71

imports and exports of narcotics, also
would not identify the buyer: " The
specific information sought is not
public, falling within the scope of the
activities of the licensed companies, " the
agency told MJBizDaily.
Portugal has a regulatory framework
URUGUAY
2019 Population: 3.5 million
2019 GDP: $56 billion
2020 Projected GDP (% Change):
-3.0%
Sources: World Bank and International
Monetary Fund
Uruguay fully legalized cannabis at the
end of 2013, but the first meaningful
exports didn't occur until the end of
2019. They ramped up in 2020.
In August, the government approved
rules to promote additional overseas
cannabis sales, allowing companies
to export plant material that is not
registered as medicine in Uruguay. This
comes after Uruguay's medical cannabis
export business was dormant for several
years-until last year.
Marijuana Business Daily reported
that in late 2019, Uruguay-based
Fotmer Life Sciences shipped 1,000
kilograms of high-THC cannabis
flower to Portugal. It was probably the
largest single shipment of psychoactive
cannabis flower to date. But in 2020,
Fotmer made a second, even larger
shipment of almost 1,500 kilograms,
also to Portugal.
Fotmer also shipped roughly 500
kilograms to Israel, for a total of about
3,000 kilograms exported as of mid-2020.
No other company has exported
high-THC cannabis from Uruguay as
of July 2020.
The two huge shipments to
Portugal, meanwhile, are unusual
for their secretive nature-at least
from the importer's standpoint. So
far, no company has publicly taken
responsibility for the flower.
Infarmed, the Portuguese regulatory
agency responsible for approving
that allows domestic sales of medical
cannabis. But no Portuguese company
has been able to get the necessary
approval to begin selling to domestic
patients. For that reason, it seems even
more unusual that the high-THC flower
was shipped to the European nation
late last year-unless it was used for
research or the shipments were destined
for another country.
The declared customs value of the
latest Fotmer shipment to Portugal was
about $2 per gram, lower than the first
shipment, which registered a value of
$3.20 per gram.
Uruguay also began exporting hemp
flower recently, with two companies
shipping a total of 2,834 kilograms for
an average price declared in customs of
16 cents per gram to Switzerland as of
Aug. 5.
Flower has slightly more than
10% CBD and in Switzerland is typically
used as a tobacco substitute, not as
medical cannabis.
The " Cannabis Legalization and
Control Bill " is set for a Sept. 19 vote in
a nationwide referendum that coincides
with the nation's general election.
The proposed legislation would:
* Reserve market share for
micro-cultivators.
* Prioritize indigenous-run
businesses.
* Allow consumption lounges.
However, the measure would also ask
the Cannabis Regulatory Authority to
establish a yearly cap on the amount
of marijuana available for sale in the
licensed market. It also would set
potency limits through controls on the
amount of THC permitted in cannabis
products.
If the referendum wins approval
from voters, the incoming government
would be able to introduce legislation
to Parliament. That means the outcome
of the general election could be as
important as the cannabis referendum
itself.
The bill states that its purpose is to
" authorize, regulate and control the
cultivation, processing, use and sale
of cannabis in New Zealand, with
the intent of reducing harms from
cannabis use. "
The bill proposes to tightly regulate
all aspects of the cannabis supply chain,
from seed and growing to retail sales.
It would effectively ban vertical
integration by limiting to one the type
of license a person may hold, meaning
businesses allowed to grow cannabis
could not operate a retail outlet or
consumption lounge.
When setting the annual limit, the
NEW ZEALAND
2019 Population: 4.9 million
2019 GDP: $206.9 billion
2020 Projected GDP (% Change):
-7.2%
Sources: World Bank and International
Monetary Fund
New Zealand could become the third
country in the world-after Uruguay
and Canada-to legalize adult-use
marijuana production and sales.
cannabis authority would determine
the share of the cap to be awarded
among holders of cultivation licenses,
including micro-cultivation license
holders.
The bill also contains a provision to
limit the market share one company
could control: The authority would not
be allowed to authorize a license holder
to supply or sell more than 20% of the
annual cultivation cap allocated.
September 2020 | mjbizdaily.com 71
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MJBizMag September 2020

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