By Diego Oré

MEXICO CITY (Reuters] – Mexico is expected to be the largest player in North American’s marijuana market when legalization has been completed, says the company that was granted permission to use cannabis by Mexico’s highest court.

Mexico’s lower House of Congress supported decriminalization for cannabis recreational, scientific and medical uses in March. It was an important step in a long-running battle against drug gang violence in Mexico.

Final approval was held up by the Senate.

Mexico’s Supreme Court made Desart MX the first Mexican company to allow imports of seeds.

Robert Giustra, President of Xebra Brands told Reuters that the impact was significant as it established a precedent for Mexico. He also said that this is a historic event.  

Mexico has begun legalizing marijuana. “It’s going to happen. It will probably be next year,” he stated, noting that Mexico holds an industrial advantage and a large market for consumers.

According to Reuters, a MORENA official, the ruling party of President Andres Manual Lopez Obrador, said that despite the obstacles facing the bill, it would be approved by the Senate in 2022. Mexico could become the biggest single marijuana market in the world.

Grand View Research estimates that the global legal marijuana market will reach $73.6 billion in 2027.

Giustra stated that the Mexican market is attractive because it has access to land and skilled workers, as well as a trade agreement with Canada and the United States.

Canada is another industry player Khiron Life Mexico has also been a destination for scientists (OTC:).

Xebra awaits approval from Mexico’s health regulator Cofepris. Giustra believes that authorization will be granted no later than February. Cofepris has not responded to my request for comment.

Xebra currently seeks land on the Yucatan Peninsula in Mexico’s central State, as well as on the Yucatan Peninsula to grow marijuana. The facility will produce derivatives of hemp for use in beauty and other products for export to Europe.

Giustra believed his company would be able to compete for the CBD and CBG markets for as long as three years.