Mexico Poised to Become the Largest Legal Cannabis Market
The Mexican parliament is preparing to pass a law that will allow the production and recreational use of cannabis. This move would make Mexico the largest legal cannabis market in the world. Authorities hope the new legislation will undermine the power of drug cartels, though experts remain skeptical.
Legalization Efforts and Legislative Progress
Mexico is moving toward legalizing the production and recreational use of cannabis as part of efforts to combat powerful drug cartels and strengthen civil liberties. The legislative changes would make Mexico the third country in the world to legalize cannabis after Uruguay and Canada, and the largest market, with a potential consumer base of 88 million people.
In late November, the Mexican Senate, the upper house of Congress, approved a bill allowing the cultivation, distribution, and recreational use of cannabis. The lower house-the Chamber of Deputies-was scheduled to vote on the bill on December 15, but postponed the discussion until February. President Andr�s Manuel L�pez Obrador explained the delay as a “matter of procedure.”
“There are no objections to the Senate-approved provision allowing limited medical use of cannabis. But there are errors and inconsistencies in the quantitative measures, etc. There can’t be contradictions within the same law,” he was quoted as saying by El Universal.
Key Provisions of the Bill
The bill approved by the Senate allows consumers to possess up to 28 grams of cannabis and to grow up to eight plants per household. Possession of more than 28 grams would result in a fine, while possession of over 200 grams would be punishable by imprisonment. Both companies and individuals would be able to produce, distribute, sell, export, and import cannabis. Lawmakers are also pushing to increase the amount of cannabis a person can possess without facing penalties.
Medical use of cannabis has been legal in Mexico since 2017. In 2018, the Mexican Supreme Court ruled that the ban on cannabis was unconstitutional. Currently, individuals can possess up to 5 grams of cannabis without risk of arrest.
Global Impact and U.S. Pressure
According to American civil rights advocate Maritza Perez, the new law will more than double the number of people worldwide with access to legal cannabis, giving momentum to legalization efforts globally. She noted that legalization in both Canada and Mexico will likely put pressure on the United States to follow suit. Currently, recreational cannabis is legal in 15 U.S. states, including California and Illinois. Oregon recently became the first state to allow possession of small amounts of even hard drugs.
Challenges in Combating Drug Cartels
The Wall Street Journal notes that there are currently about 200 organized crime groups involved in drug trafficking in Mexico. Government estimates indicate that around 270,000 people have been killed in Mexico since 2006, mostly as a result of cartel activity.
Authorities expect that legal recreational cannabis will increase competition, lower prices, and shrink the black market, thereby undermining the drug trade. However, many analysts believe legalization will have only a minor impact on drug gangs, whose main sources of income are cocaine, synthetic drugs, fuel theft, and extortion. “Anyone who thinks this law will be a magic bullet that reduces crime and murders is overly optimistic,” security analyst and former intelligence officer Alejandro Hope told the WSJ. He believes Mexico’s only real chance to counter the cartels is to establish effective law enforcement, which the country has so far failed to achieve.