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Investor Believes that a Growing Opportunity would be Available by Relaxation of Laws for Cannabis

Investor Believes that a Growing Opportunity would be Available by Relaxation of Laws for Cannabis
Cannabis stock has seen "amazing performance," is what one investor recently noted when being quoted in the media in relation to the relaxation for laws for the weed.
Cannabis production was described as a "professionalized industry that's becoming a real big market" by Juan Sartori, president and founder of investment firm Union Group.
For the nearly last two years, Sartori has invested in Uruguay's International Cannabis Corporation (ICC). ICC is listed at the Toronto Stock Exchange and is the world's first producer of state-commissioned cannabis for recreational use. Offering a price that is a quarter of that of its North American rivals, this company plans to offer a competitive cost per gram of its product. By the end of this year, export of its product would be started by ICC.
"Public opinion has completely changed on the subject," Sartori argued. He claimed that "every single poll all around the world is showing that people now are in favor of relaxation or legalization," which would pique lawmakers' attention. He added that, "we have seen the U.S. and Canada leading the way," suggesting that many more places around the world could follow suit.
The "first stage is always medical legalization, then the second, larger step is the recreational one, and the last one is production," Sartori said while talking about the issues of the process of a country making cannabis legal. The largest growth area of industry is understood to be medicinal cannabis. Germany and the U.K. have "legalized the use of cannabinoids, which is the extract that has a lot of health benefits," Sartori said.
With eight of these and the District of Columbia also permitting recreational use, more than half of the U.S.' states have legalized cannabis for medicinal use. With countries including Germany, Ireland and Mexico taking steps to approve its medicinal use, Canada plans to introduce legislation to permit the drug for both medicinal and recreational use this year.
The first country to begin relaxing laws on cannabis was Uruguay, Sartori explained. "Product that was illegal, but was a big market, has become a standard one," Sartori said, while he was comparing cannabis' growth to the U.S.' lifting of its prohibition on alcohol. There has been a "big change in regulation that generates overnight a huge market," he said.
Sartori claimed that cannabis was "one of the best performing stocks all around the world regardless of industries," and that the industry was worth "more than $6 billion in combined market cap." Most trading took place in Canada, Sartori said.
"It's a big industry that is just starting, and with an interesting future," Sartori said. The "growth of the (cannabis) industry isn't like anything else," he added.

Christopher J. Mitchell

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