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LATIN AMERICA ADVISOR a DAILY PUBLICATION of the DIALOGUE Tuesday, February 2, 2021 LATIN AMERICA ADVISOR A DAILY PUBLICATION OF THE DIALOGUE www.thedialogue.org Tuesday, February 2, 2021 BOARD OF ADVISORS FEATURED Q&A TODAY’S NEWS Diego Arria Director, Columbus Group POLITICAL Devry Boughner Vorwerk Will Legalizing Bolsonaro Allies Chief Corporate Affairs Officer, Grubhub Win Top Positions Joyce Chang Global Head of Research, Medical Cannabis in Brazilian Senate JPMorgan Chase & Co. & Lower House Paula Cifuentes Director of Economic & Fiscal Affairs, Work for Mexico? Legislators endorsed by Brazilian Latin America & Canada, President Jair Bolsonaro won Philip Morris International the top posts in both chambers Marlene Fernández of Brazil’s Congress. The Senate Corporate Vice President for chose Rodrigo Pacheco, and the Government Relations, Arcos Dorados (McDonald’s) Chamber of Deputies selected Arthur Lira. Peter Hakim President Emeritus, Page 2 Inter-American Dialogue Donna Hrinak Senior VP, Corporate Affairs, ECONOMIC Royal Caribbean Group White House to Jon E. Huenemann Former Corporate and Release $1.3 Billion Government Senior Executive Last month, Mexico’s health ministry published rules to regulate the use of medicinal cannabis in Puerto Rico Aid James R. Jones in the country. // Image: Esteban López via Unsplash. Chairman, The aid was originally meant for Monarch Global Strategies reconstruction after Hurricane Craig A. Kelly Mexico’s health ministry in January published rules to Maria hit the U.S. territory in 2017. Senior Director, Americas It will now be used to protect Int’l Gov’t Relations, Exxon Mobil regulate the use of medicinal cannabis, a major step in a against future climate disasters. John Maisto wider reform that is set to create the world’s largest legal Director, U.S. Education Page 3 Finance Group Q cannabis market. The new regulations allow pharmaceutical Nicolás Mariscal companies to begin doing medical research on cannabis products. What POLITICAL Chairman, Grupo Marhnos are the next steps in Mexico’s legalization process? Will the efforts spur Haiti May Allow Thomas F. McLarty III significant investment in Mexico, and what sorts of regulations does Diaspora Chairman, the market need? What lessons can Mexico draw from other countries McLarty Associates Members to Beatrice Rangel in the region, such as Uruguay and Canada, that have decriminalized or Director, legalized both medicinal and recreational use of marijuana? Seek Presidency AMLA Consulting LLC The change could be among those Jaana Remes up before voters in a new con- Partner, McKinsey Global Institute Luis David Suárez Rodríguez, president of the Mexican stitution, said President Jovenel Ernesto Revilla Association of Cannabinoid Medicine (AMMCANN): “Can- Moïse. Head of Latin American nabinoid-based medicine (CBM) is already the law of the Page 2 Economics, Citi Gustavo Roosen land. Companies or individuals are already able to apply for Chairman of the Board, A licenses to participate in the research, production, import, retailing and Envases Venezolanos Andrés Rozental distribution of CBM. The authorities have yet to streamline the bureaucra- President, Rozental & cy around this. It could take a few months. We also have to wait for the Asociados General Cannabis Law, due to be ready in April, that should regulate adult Shelly Shetty Managing Director, Sovereigns and industrial uses of cannabis. The two laws complement each other; we Fitch Ratings are halfway there. We believe these efforts will spur investment in Mex- ico. The CBM regulation contemplates the possibilities of foreign com- panies participating in the industry, for example, by helping develop CBM formulations and through partnerships with local growers to produce raw cannabis. We need these companies, not only as economic resources, but more importantly to learn from their experiences in growing medi- Moïse // File Photo: Haitian Government. Continued on page 3 COPYRIGHT © 2021, INTER-AMERICAN DIALOGUE PAGE 1 LATIN AMERICA ADVISOR Tuesday, February 2, 2021 POLITICAL NEWS NEWS BRIEFS Haiti May Allow Bolsonaro Allies Diaspora Members Guyana Won’t Engage in Venezuela Talks Before Win Top Positions to Seek Presidency Fishermen’s Release: Ali in Brazil’s Congress Proposed amendments to Haiti’s constitu- Guyanese President Irfaan Ali has said his tion could allow Haitians living outside their government will not engage in bilateral talks Allies of Brazilian President Jair Bolsonaro on native country to run for president and other with Venezuela until it releases 12 Guyanese Monday won the top positions in both houses high-ranking offices, President Jovenel Moïse fishermen who he said were illegally detained of Brazil’s Congress, which is expected to help said Monday, the Associated Press reported. by the government of President Nicolás Madu- Bolsonaro fights efforts to impeach him, the Moïse made the remarks during a public ro last month, the Jamaica Observer reported Associated Press reported. The Chamber of address during which he reiterated that he today. “We will continue to look for a peaceful Deputies selected Arthur Lira of the cen- would remain in office until February of next solution to Venezuela’s aggression,” Ali said ter-right Progressives party as its president, year, the wire service reported. He also urged in an address to the nation over the weekend. while the Senate selected Rodrigo Pacheco of Haitians to support the drafting of a new The fishermen were arrested on waters that the center-right Democrats party as its leader. constitution, an issue that Haitians will vote on both countries claim, but which have generally Any move to impeach Bolsonaro would have to in a referendum in April. “It’s time to change been recognized as part of Guyana’s exclusive begin in the lower chamber. Outgoing Chamber it,” said Moïse. ‘We can’t continue like this. The economic zone. of Deputies President Rodrigo Maia has been country is paralyzed.” The proposed changes a tough critic of Bolsonaro, but he has rejected to the constitution are expected to be made calls for ousting Bolsonaro, the AP reported. public this week. Opposition leaders have Mexico’s Cemex to Sell In Monday’s vote, Lira garnered 302 votes urged Moïse to leave office this Sunday, saying among his colleagues in the lower house, while his five-year term began when former President 24 Concrete Plants in Deputy Luiz Felipe Baleia Rossi received 145. Michel Martelly’s term ended in February 2016. France to LafargeHolcim Lira also leads the Centrão bloc, a group of 230 However, the country’s election to replace Mexican cement producer Cemex announced legislators known for giving political support Martelly was chaotic and led to the appoint- Monday that it had signed binding agreements in exchange for government appointments ment of interim President Jocelerme Privert, for the sale of 24 concrete plants and one or allocations in the government budget, the who served for a year, until Moïse took office aggregates quarry in France to Swiss building Financial Times reported. Ahead of Monday’s in February 2017. Haitians have taken to the material firm LafargeHolcim, Reuters reported. congressional leadership elections, Bolsonaro’s streets in recent weeks to demand that Moïse The Mexican company said that the divestment government freed up hundreds of millions of step down. Monday was also the first of a two- of the assets was part of a larger plan to focus dollars in the federal budget for 250 legislators day strike by transportation workers, an action its portfolio development into high growth mar- to spend on public works projects in the areas that has paralyzed parts of the country and led kets, according to the report. Cemex expects to they represent, Brazilian newspaper O Estado to the closures of schools, banks and other close the sale by April. de S.Paulo reported before the votes. “A part- businesses. The country’s provisional electoral nership based more on interest than ideology, council, which Moïse unilaterally appointed, however, carries its own risks, particularly if announced nearly a month ago that Haiti’s Bolsonaro’s popularity crumbles further amid a presidential election would be held on Sept. Bassols Tapped as rising Covid-19 death toll and economic woes,” 19. However, critics of the current government Mastercard’s Country Anya Prusa, a senior associate at the Wood- have questioned whether the country can hold Manager for Brazil row Wilson International Center for Scholars, a free and fair election under its current elec- Mastercard announced last Friday that it had told the Advisor in a Q&A published Jan. 28. toral structure. “No serious election can occur named Estanislau Bassols as its country In the Senate race, Pacheco had the support with this provisional electoral council,” Simon manager for Brazil. Bassols, a former chief of opposition parties, despite Bolsonaro’s en- D. Desras, a former president of Haiti’s Senate, executive officer of SKY Brasil, will take on the dorsement. Pacheco won the Senate presiden- told the Advisor in a Q&A published Jan. 25. new role at Mastercard as of Feb. 15. He will cy by a vote of 57-21 against his rival for the The current electoral council is “unilaterally report to João Pedro Paro Neto, Mastercard’s position, Senator Simone Tebet. In their victory nonconsensual” and also “unconstitutional” be- president for Brazil and the Southern Cone. speeches, neither Lira nor Pacheco mentioned cause it was not properly sworn in as required “Brazil’s strength and growth over the years has Bolsonaro, and they both vowed to lead an by Haiti’s constitution, said Desras. Raymond been instrumental for the company worldwide,” independent Congress, the AP reported. Joseph, a former Haitian ambassador to the Paro Neto said in a statement. COPYRIGHT © 2021, INTER-AMERICAN DIALOGUE PAGE 2 LATIN AMERICA ADVISOR Tuesday, February 2, 2021 United States, told the Advisor in the same Q&A FEATURED Q&A / Continued from page 1 that Moïse set up the electoral council “without regard to constitutional norms.” He added, “It cal-grade cannabis.
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