The Mexican market will soon be receiving medical cannabis. A partnership between Aurora Cannabis Inc (NYSE:ACB) and Farmacias Magistrales S.A. will ensure the steady supply of the medical pot to Mexico. Farmacias Magistrales is both a pharmaceutical manufacturer and distributor; the only one with an import license from the federal Mexican authorities. According to Terry Booth, CEO of Aurora, the company through the partnership is optimistic about being able to play a significant role in the market.
Booth says, “We look forward to working with Farmacias and leveraging its strong retail, pharmacy, and hospital networks to provide high-quality, medical grade cannabis to patients in this new and significant market.”
Farmacias’ import license positions Aurora with another first-mover advantage in Latin America
Farmacias is well-established in the Mexican market. The distributor has acquired a broad reach of about 80,000 retail points and 500 pharmacies and hospitals. Mexico being one of the world’s most populous countries, this serves as an obvious advantage for Aurora. The company will have access to more than 130 million people who will have access to its flower medical cannabis products.
Nonetheless, Booth was quick to point out the company’s intention to support the Mexican government. Together with Farmacias, it will use its strong retail, pharmacy, and hospital networks to bring change to the cannabis market, from being run by drug cartels now to being run by legitimate economic players.
Aurora’s rapid organic growth and strong execution of its strategies
The company, headquartered in Edmonton, Alberta, Canada has its sales and operations in 22 countries across five continents. It has established a unique consistent and efficient production strategy. The strategy seeks to automate its operations while maximizing on the production of high-quality products and at a lower cost. From facility engineering to design to breeding and genetics research, all the activities are either vertically or horizontally integrated.
The use of high-end technologies, automation, and customization have resulted in high quality, industry-leading yields. To date, Aurora has continued to experience rapid organic growth and it has acquired a reputation of being an employer of choice. This is perhaps because of its established strategic partnerships with the likes of Hempco Food and Fiber, Micron Waste Technologies, and CTT Pharmaceuticals among others.