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Marijuana legalization in the U.S. inflicting financial losses to the Mexican drug cartels

January 1, 2016  |  Posted by: JammedUp Staff
Marijuana legalization in the U.S. inflicting financial losses to the Mexican drug cartels

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Sales from the legalization of marijuana in individual U.S. states has revealed the most efficient strategy to date in battling the Mexican cartels.

Aside from increased revenue for the states where marijuana production is legal, it is also hitting the pockets of the drug cartels.

U.S. marijuana cultivation has dropped the price per kilo from $100 down to $30 in Mexico, according to the Los Angeles Times.

Production and smuggling of the drug in Mexico have seen a dramatic decrease since legalization became law.

In 2008, almost 70% of the marijuana in the U.S. was cultivated, and smuggled from Mexico. That amount now has reduced to 30 percent.

Experts attribute the sharp decline to a drop in American consumption of Mexican marijuana and the increase production in the states.

According to the Los Angels Times, the effect has led to significant financial losses for the Sinaloa Cartel in recent years, who are making less money from marijuana production.

Antonio Mazzitelli, who represents the UN Office on Drugs and Crime in Mexico, spoke with the Los Angeles Times and said the number of marijuana crops destroyed by the Mexican law enforcement has dipped from 44,000 acres in 2010 down to 12,000 acres in 2015.

To date, a total of twenty-three states has passed the legalization of marijuana production in some form, including for medical use.

States including Washington, Alaska, Colorado, and Oregon have made the production and consumption for recreational purposes legal.

The legalized marijuana industry has also seen a windfall of Investment, which has doubled from $1.5 billion in 2013 and to $2.7 billion in 2014.

The U.S. marijuana industry has forced the Mexican cartels to shift the production capabilities and trafficking logistics to heroin, meth, and cocaine.

Heroin use has reached epidemic proportions in the U.S., which has led to federal law enforcement agencies increasing operations to stem the flow of heroin smuggled over the border by the Mexican drug syndicates.

Also, with the marijuana debate starting in Mexico, if legalization were to be passed, it would totally eliminate a major source of revenue for the cartels, which cannot simply be made up with increasing production of other types of drugs. It would truly be a stinging defeat for the criminal cartels plaguing Mexico.

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