Although we consider the United States (US) to be the most attractive cannabis market in the world, we continue to remain bullish on the opportunity in the European Union (EU).

Italy seems to be on the cusp of legalizing cannabis and is a market that we are highly focused on. The country is well known for its beautiful wine vineyards, and we believe the climate is ideal for cultivating cannabis.

A few days ago, Euractiv announced that an Italian referendum to decriminalize cannabis is on track to receive the 500,000 signatures that are required for it to be voted on by lawmakers prior to the September 30^th deadline.

If the referendum is approved, Italy would become just the fourth member of the EU to pass the reforms. We are favorable on how the legal cannabis industry in the EU is gaining traction. If the referendum passes, Italy will join a group of countries that include Portugal, the Czech Republic, and Estonia.

In less than a week, the referendum has already received more than 420,000 signatures and we are favorable on the amount of support it has received. Currently, the penalties associated with the personal possession or sale of cannabis in Italy are significant and we believe this needs to change.

Possible is a progressive party that is promoting the referendum in Italy. The organization’s founder, Giuseppe Civati, told Euractiv that there are around a million cannabis consumers in the country and we believe this would make Italy a sizeable market.

Civati also told Euractiv that the process that is associated with getting signatures for the referendum has been easier and cheaper due to the introduction of digital signatures and we are favorable on how the process has evolved.

Some of the Canadian Licensed Producers (LPs) that are levered to the cannabis market in the EU and could benefit from decriminalization in Italy include Canopy Growth Corporation (TSX: WEED) (Nasdaq: CGC), Aurora Cannabis Inc. (TSX: ACB) (Nasdaq: ACB), and Cronos Group Inc. (TSX: CRON) (Nasdaq: CRON).