Saturday, September 28, 2019

Hemp takes root

Plant is legal; it’s not marijuana






NOT POT—Above, industrial hemp plants grow on farmland off of Pleasant Valley Road just outside Camarillo city limits. Hemp, often confused with the other high-inducing varietal of cannabis, does not have enough of the chemical component tetrahydrocannabinol, or THC, which causes the high when marijuana is ingested or smoked. At left, hemp is being grown at Sunset Valley Organic Farmland Restoration Project in Moorpark. The crop, farmers say, can grow with little to no water and has a wide range of uses.
NOT POT—Above, industrial hemp plants grow on farmland off of Pleasant Valley Road just outside Camarillo city limits. Hemp, often confused with the other high-inducing varietal of cannabis, does not have enough of the chemical component tetrahydrocannabinol, or THC, which causes the high when marijuana is ingested or smoked. RICHARD GILLARD/Acorn Newspapers
















Friday, September 27, 2019

Cannabis research pioneer hopes latest discovery is not overlooked — again

By Noash Smith
Source: nbcnews.com

Decades after Raphael Mechoulam linked CBD with treating epilepsy, his latest finding may help develop new drugs for psoriasis, arthritis and anxiety.

Raphael Mechoulam explaining steps of the process at his Hebrew University lab in Israel.
Raphael Mechoulam explaining steps of the process at his Hebrew University lab in Israel.Daniel Fine / EPM


Raphael Mechoulam, an Israeli organic chemist and professor of medicinal chemistry at the Hebrew University of Jerusalem, remembers the letdown after his groundbreaking discoveries surrounding the structure of the cannabis compounds CBD and THC in 1963 and 1964, followed by clinical tests with CBD published in 1980.
“Not much happened,” Mechoulam said, noting that it would take more than 30 years before his clinical work on using CBD, or cannabidiol, to treat epilepsy became widely accepted. Greenwich Biosciences, which is owned by GW Pharmaceuticals, was able to develop the first cannabis-derived drug that built on Mechoulam’s research. The drug, Epidiolex, treats seizures associated with two rare forms of epilepsy and was approved by the FDA only last year.
But even as his work laid the foundation for the modern cannabis industry and for understanding how cannabis interacts with the human body, a white whale eluded research: cannabis acids, which are compounds that are produced in the plant when it is alive and may be more potent than their better-known derivatives, such as CBD and THC.
That changed on Monday, when Mechoulam and a group of researchers announced at a medical cannabis conference in Pasadena, California, that they have developed a process for creating synthetic, stable acids that are found within the plant, and that the synthetic acids, which include acid versions of CBD and THC, are now available for licensing to companies for drug development
The discovery paves the way for drug companies to potentially develop new drugs based on the acids for a variety of health issues such as psoriasis, arthritis, anxiety and inflammatory bowel disease.
Israeli Professor Raphael Mechoulam, who is known as the "father of cannabis" for his groundbreaking work with THC and is EPM's head of research.
Raphael Mechoulam explaining the steps of the synthesis of stable CBD acid at his lab at Hebrew University in Israel. Mechoulam was the first to synthesize THC and discovered the endocannabinoid system, leading to the nickname "father of cannabis."Daniel Fine / EPM
 
The research is the product of a startup called EPM, in partnership with Mechoulam, six universities in Israel, the U.K. and Canada, the world’s largest topical cream company and a publicly traded laboratory company.
“I think it’s a big deal,” Mechoulam, who acts as EPM’s head of research, said, comparing it to his discoveries about CBD and THC.
In a 2018 British Journal of Pharmacology study, Mechoulam and his co-authors wrote that their synthetic compound, cannabidiolic acid methyl ester (called HU-580 in the paper) could be more effective than existing CBD remedies, making it “a potential medicine for treating some nausea and anxiety disorders.” Those initial clinical tests found the acids have yielded results on par, and even exceeding, existing treatments, without the side effects.
The naturally occurring but unstable CBD acid (CBDA) is a thousand times more potent than CBD in binding to a particular serotonin receptor thought to be responsible for alleviating nausea and anxiety.
“It’s an interesting molecule that potentially doesn’t have side effects,” said Dan Peer, managing director of the Center for Translational Medicine and head of the Cancer Biology Research Center at Tel Aviv University.
“It works like a steroid. If it doesn’t have adverse effects, then you have a replacement, which is great,” Peer said, discussing testing he did with cannabis acids and inflammatory bowel disease.
Ziva Cooper, research director of the UCLA Cannabis Research Initiative, said EPM’s research confirms what many in the field have long suspected about cannabis acids, but have been unable to confirm due to their instability.
“Their work is quite innovative, and it definitely builds on what we know related to the potential therapeutic effects of cannabinoids,” Cooper said, adding that the compound could be particularly effective for pain control. Cooper said that while more testing will be needed to determine effectiveness and safety for humans, EPM’s results so far are “quite encouraging.”
As the U.S. government plans to spend $3 million to research CBD, pharmaceutical industry veterans still urge caution, while lending some insight regarding why more drugs have not been built on cannabis compounds.
“People are always joking about getting the munchies if they use marijuana,” said David Campbell, a partner at the consulting firm Oliver Wyman and advisor to EPM, who has more than two decades of experience in the pharmaceutical industry.
Campbell said such anecdotal evidence is a “far cry” from being able to convince a research committee or shareholders about the efficacy of cannabis to treat a condition.
“The drugs that are produced are just not potent enough,” said Peer, referring to the CBD, THC, and other nonacids.
Materials used to stabilize CBD being heated up at Raphael Mechoulam's Hebrew University lab in Israel.
Materials used to stabilize CBD being heated up at Raphael Mechoulam's Hebrew University lab in Israel.Daniel Fine / EPM
 
 
 
These factors, in addition to social mores, have all led to a situation where pharmaceutical companies have not been a major presence in cannabis development.

Tuesday, September 24, 2019

Marijuana Legalization: Mexico Will Seal the Deal

By Sushree Mohanty
Source:  marketrealist.com

Image result for mexico marijuana legalization

Marijuana legalization is a trending topic in many countries. In 2013, Uruguay was the first country to legalize recreational cannabis. Canada followed suit and legalized marijuana in 2018. Now, many countries have stepped up. Meanwhile, Mexico is ready to seal the deal next month.

Mexico is ready to seal the deal 

A Leaf Desk report on September 20 said that Mexico will legalize cannabis by the end of October. Marijuana legalization was set in motion last year when the Supreme Court imposed a deadline to end prohibition. Currently, the Senate’s committees are reviewing 13 proposals.
A US-based Mexican political expert, Jonathon Winterburn, told Leaf Desk that Mexico will legalize marijuana. Now, we have to see when cannabis becomes legal. He thinks that Mexico might pass a law by the first half of 2020.
In August, the Mexican government asked for the public’s opinion about legalization. Public hearings showed a favorable response toward legalization. On September 3, Senator Julio Menchaca Salazar of the government’s ruling MORENA party introduced a bill to legalize marijuana. Last week, there were a lot of discussions about the bill. Also, President Andrés Manuel López Obrador’s administration supports legalization.
In March, New Frontier Data stated that the Mexican cannabis market’s current annual value is $2 billion. Meanwhile, the cannabis industry in Mexico also supported close to 50,000–75,000 jobs.
Reuters reported that Mexico’s Supreme Court asked the Health Ministry to have proper regulations set for medical cannabis use. According to the court’s ruling, the Health Ministry will update its guidelines. Notably, the updates should have happened within half a year after legalization in 2017.

Why did Mexico decide to legalize marijuana?

In the past, cannabis wasn’t legal in Mexico. However, the country legalized medical marijuana in 2017 for THC content of less than 1%. The country decriminalized the possession of small amounts of cannabis in 2009. The US still isn’t sure about full-scale legalization. However, many states have legalized cannabis. Regulatory reforms in the US motivated Mexico to make a legalization decision.
Also, Mexico wants to reduce drug-related crimes. The US started a “war on drugs” campaign to reduce the illegal drug trade in the US. However, the campaign results in a loss of lives and money in Mexico. The country is known for drug-related crimes. A CNN report stated that Mexican drug cartels generate $19 billion–$29 billion annually from drug sales in the US.
Moving the illicit cannabis market to a legal market will likely be a challenge for the Mexican government due to drug cartels. However, full-scale legalization and regulations could reduce crimes.
Senator Cora Cecilia Pinedo Alonso of the PT Parliamentary Group thinks that legalization could help Mexico. He said, “We are talking about a market with enormous potential, which is estimated to amount to $ 12 trillion over the next ten years.”
Illicit and black-market marijuana activities aren’t a problem in Mexico. Even Canada and the US face black-market marijuana activities. Canada is cautious with its marijuana legislation. However, the country still faces a challenge from black-market sales due to supply issues.
Image result for mexico marijuana legalization

Will Canadian cannabis players eye Mexico’s market?

Marijuana is still illegal at the federal level in the US. The current status limits Canadian cannabis companies’ expansion plans. However, most of the companies expanded in US states where marijuana is legal. Since Canada is ready for the second phase of legalization, the companies are getting ready to expand into the edibles market. The market includes CBD-infused products, cannabis-infused beverages, and the vape market. The companies will likely expand more due to upcoming legalization in Mexico.
Aurora Cannabis (ACB) (ACB.TO) might expand into the Mexican market after marijuana legalization. The company has already hit the medical cannabis market in Mexico. Last year, Aurora Cannabis announced the acquisition of Farmacias Magistrales S.A. Notably, Farmacias is Mexico’s only federally licensed importer of raw materials containing THC. The acquisition will allow people to have federal access to Aurora Cannabis’s non-flower medical cannabis products containing THC. The company has generated 247 million Canadian dollars in revenues in fiscal 2019. The stock has fallen 8.7% in September.
Canopy Growth (CGC) (WEED) is waiting on the acquisition of US-based Acreage Holdings. Federal legalization in the US is the only concern. The company already has significant investments from Constellation Brands (STZ). Canopy Growth has a mark on most of the cannabis segments. With Cannabis 2.0, the company will expand further into edibles and vape business. The company might expand after Mexico legalizes marijuana. Canopy Growth has generated 226 million Canadian dollars in revenues in fiscal 2019. The company has gained 8.4% in September.

What can investors expect?

We know that President Trump isn’t fond of Mexico. Recently, he spoke about closing the border if Mexico doesn’t end illegal drug trafficking. Full-scale legalization could boost to the Mexican economy. The country would earn tax revenues from cannabis. Notably, the revenues might support educational campaigns, drug rehabilitation, and more research. Beto O’Rourke discussed the benefits of marijuana legalization for the US in his recent election campaign.marketrealist.com