{"id":33140,"date":"2024-03-30T08:00:03","date_gmt":"2024-03-30T12:00:03","guid":{"rendered":"https:\/\/www.veriheal.com\/blog\/?p=33140"},"modified":"2024-03-22T11:09:46","modified_gmt":"2024-03-22T15:09:46","slug":"colombias-rec-legalization-efforts-fall-short-again","status":"publish","type":"post","link":"https:\/\/www.veriheal.com\/blog\/colombias-rec-legalization-efforts-fall-short-again\/","title":{"rendered":"Colombia&#8217;s Rec Legalization Efforts Fall Short&#8230;Again"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">On December 22, 2014,<\/span><span style=\"font-weight: 400;\"> Colombian President Juan Manuel Santos signed a <a href=\"https:\/\/web.archive.org\/web\/20161118101625\/https:\/\/www.yahoo.com\/news\/colombia-legalizes-medical-marijuana-171023547.html?ref=gs\" target=\"_blank\" rel=\"noopener\">decree legalizing medical cannabis<\/a>. The move made Colombia one of the first Latin American countries to legalize medical use. Nevertheless, legal cannabis in Colombia isn&#8217;t as black and white as its residents may have hoped.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Speculation that recreational legalization was on the horizon attracted foreign investors, many from Canada, who salivated at the thought of making a quick profit. In total, foreign investors spent <\/span><a href=\"https:\/\/www.reuters.com\/business\/healthcare-pharmaceuticals\/colombias-cannabis-industry-crisis-over-regulatory-political-hurdles-2023-12-21\/#:~:text=Since%20cannabis%20for%20medical%20use%20became%20legal%2C%20the%20sector%20has%20attracted%20an%20estimated%20%24500%20million%20in%20foreign%20investment%2C%20but%20much%20of%20that%20has%20not%20been%20recouped%2C%20according%20to%20industry%20group%20Asocolcanna\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">an estimated $500 million<\/span><\/a><span style=\"font-weight: 400;\"> setting up cannabis grow houses.\u00a0\u00a0\u00a0<\/span><\/p>\n<h2><b>Cannabis in Colombia: A Gold Rush Turns Into Fool\u2019s Gold<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">In the 10 years since foreign investors flooded into Colombia, little has changed \u2014 though not for lack of trying. December 2023 marked the 5th time that recreational legalization failed to pass<\/span><span style=\"font-weight: 400;\">\u00a0the Senate.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Without local recreational sales to depend on, foreign investors are struggling to stay afloat. Around 200 companies closed in 2023, bringing the total number of closures to 600. This means nearly half of all companies founded since medical legalization are now out of business.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Surviving businesses must now contend with a mandate coming into effect in February declaring that cannabis inventory over two years old is destroyed. One Canadian investor summed up the <a href=\"https:\/\/www.reuters.com\/business\/healthcare-pharmaceuticals\/colombias-cannabis-industry-crisis-over-regulatory-political-hurdles-2023-12-21\/#:~:text=%22We%27re%20going%20from%20bad%20to%20worse%2C%20it%27s%20slow%20agony%20and%20the%20clock%20is%20going%20against%20us%20with%20pressure%20from%20partners%20and%20without%20cash%20flow%2C%22%20said%20the%20owner%20of%20the%20Colombian%2DCanadian%20company%2C%20who%20asked%20for%20anonymity%20because%20he%20is%20seeking%20new%20investment%20to%20save%20his%20%2420%20million%20business%20set%20up%20in%202018.\" target=\"_blank\" rel=\"noopener\">dire state of affairs<\/a> for himself and other foreign businesses, <\/span><span style=\"font-weight: 400;\">saying:<\/span><span style=\"font-weight: 400;\"> &#8220;We&#8217;re going from bad to worse, it&#8217;s slow agony, and the clock is going against us with pressure from partners and without cash flow.&#8221; The Candian investor said he is seeking a new investment to save his $20 million business set up in 2018.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">That said, medical cannabis is legal in Colombia, meaning these foreign investors could pivot to making medical products. So, what\u2019s stopping them?<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">Foreign investors say that gaining approval to sell medical cannabis products requires meeting difficult regulatory demands and paying for expensive studies on their products&#8217; medical composition. Colombia\u2019s food and medicine regulator, INVIMA, says that<\/span><span style=\"font-weight: 400;\">\u00a0in most cases, foreign investors complaining about the difficult approval process have submitted incomplete documentation. <\/span><a href=\"https:\/\/www.reuters.com\/business\/healthcare-pharmaceuticals\/colombias-cannabis-industry-crisis-over-regulatory-political-hurdles-2023-12-21\/#:~:text=%22It%20is%20necessary%20to%20comply%20with%20established%20legal%20and%20technical%20requirements%2C%22\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">INVIMA added<\/span><\/a><span style=\"font-weight: 400;\">, &#8220;It is necessary to comply with established legal and technical requirements.\u201d<\/span><\/p>\n<h2><b>Legislation Failed Locals, Not Investors<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">Lost amongst the media coverage surrounding the plight of foreign investors is the fact that Colombian locals are the ones hurting the most.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Though Colombians are allowed to <\/span><a href=\"https:\/\/colombiareports.com\/colombia-decriminalizes-marijuana-cultivation-up-to-20-plants\/\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">grow up to 20 plants and carry up to 20 grams of cannabis for personal use<\/span><\/a><span style=\"font-weight: 400;\"> \u2014 selling is still illegal. Without legal sellers, the black market has, unsurprisingly, persisted. This means the country and region must continue grappling with the violence and bloodshed caused by America\u2019s <\/span><a href=\"https:\/\/www.veriheal.com\/blog\/did-latin-americas-war-on-drugs-fail\/\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">War on Drugs<\/span><\/a><span style=\"font-weight: 400;\">.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Opponents of recreational cannabis in Colombia say it will lead the country\u2019s youth into an era of <\/span><span style=\"font-weight: 400;\">\u201c<\/span><a href=\"https:\/\/www.marca.com\/en\/lifestyle\/world-news\/2023\/12\/13\/6579c86a46163ff40f8b45b9.html#:~:text=Meanwhile%2C%20the%20sector%20that%20has%20been%20against%20the%20project%20argues%20that%20debauchery%20and%20exhibition%20would%20become%20an%20apology%20for%20minors%20and%20the%20next%20generations.\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">debauchery<\/span><\/a>.\u201d<span style=\"font-weight: 400;\">\u00a0Those at the forefront of the legalization movement, like Senator Mar\u00eda Pizarro, however, have something to say about those claims.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">In a message posted on X, Pizarro made it clear that those against legalization are holding the country back. <\/span><a href=\"https:\/\/twitter.com\/PizarroMariaJo\/status\/1734721479311274294?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1734721479311274294%7Ctwgr%5E3d47b3717a8945a61aaab0f3aa53ae3c220063ea%7Ctwcon%5Es1_&amp;ref_url=https%3A%2F%2Fembedly.forbes.com%2Fwidgets%2Fmedia.html%3Ftype%3Dtext2Fhtmlkey%3D3ce26dc7e3454db5820ba084d28b4935schema%3Dtwitterurl%3Dhttps3A%2F%2Ftwitter.com%2FPizarroMariaJo%2Fstatus%2F1734721479311274294image%3Dhttps3A%2F%2Fi.embed.ly%2F1%2Fimage3Furl3Dhttps253A252F252Fabs.twimg.com252Ferrors252Flogo46x38.png26key3D3ce26dc7e3454db5820ba084d28b4935\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">Pizarro wrote<\/span><\/a><span style=\"font-weight: 400;\">, &#8220;The real people responsible for handing over youth to violent mafias are those who voted to file the project to regulate the commercialization of ADULT USE cannabis WITHOUT A SINGLE ARGUMENT. Shame.&#8221;<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Pizzaro\u2019s sentiments are echoed by new Colombian President Gustavo Petro. In September, President Petro suggested an alliance between Latin American countries to fight drug trafficking. <\/span><a href=\"https:\/\/petro.presidencia.gov.co\/prensa\/Paginas\/America-Latina-debe-tener-su-propia-voz-y-dejar-repetir-los-discursos-fallidos-de-una-guerra-contra-las-drogas-230909.aspx\"><span style=\"font-weight: 400;\">He criticized the militarized approach<\/span><\/a><span style=\"font-weight: 400;\"> that leaders in the region have taken towards the issue, saying it has caused \u200b\u200b&#8221;&#8230;immeasurable bloodshed and pain in Latin America\u201d.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>On December 22, 2014, Colombian President Juan Manuel Santos signed a decree legalizing medical cannabis. The move made Colombia one of the first Latin American countries to legalize medical use. Nevertheless, legal cannabis in Colombia isn&#8217;t as black and white as its residents may have hoped. Speculation that recreational legalization was on the horizon attracted&#8230;<\/p>\n","protected":false},"author":66,"featured_media":34206,"parent":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[257],"tags":[16100,16102,16101,1296],"class_list":["post-33140","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-politics","tag-cannabis-in-colombia","tag-gustavo-petro","tag-is-weed-legal-in-colombia","tag-war-on-drugs"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.1 (Yoast SEO v26.1.1) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Cannabis Central<\/title>\n<meta name=\"description\" content=\"Explore the legalization of cannabis in Colombia: from promising gold rush to regulatory struggles. 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