Khiron CEO explains the advantages of the Peruvian Cannabis market
The rules for selling products are more flexible, according to the global company executive
Valéria França
Global Cannabis company publicly traded on the stock exchange, Khiron announced its entry into another Latin American market last week. Based in Colombia, the company is starting operations in Peru.
"Khiron is licensed to export full spectrum CBD from Colombia to Peru," said Álvaro Torres, co-founder and CEO of the company, in an interview with Sechat. "We are already selling medicinal Cannabis to compounding pharmacies."
The Peruvian market is new. The opening occurred with the new regulation approved in early 2019. Strategically, Khiron cultivates and produces in Colombia, where costs are lower than in Canada. Torres explains below the advantages of Peru.
From what I understand, business in Peru is progressing faster than it did in Colombia. What are the differences and advantages of Peruvian legislation?
AT: I will start by explaining in two categories, cultivation and sales. Peru is still a bit behind Colombia in terms of cultivation licenses, but in the end will have very similar regulation.
So the advantages are in the field of commerce?
AT: Yes, in the field of commerce, Peru is more advanced than Colombia. And this is specifically due to the creation of two types of product categories. One is the drug, registered and licensed by a laboratory with all necessary tests, such as clinical trials of phases 1, 2, and 3. For example, Sativex is a drug. The other was classified as a natural health product. It is a phytotherapeutic, with chemical synthesis from naturally extracted substances. The registration of this category is much faster and easier than that of a drug. Before the pandemic, it was taking two months.
Why do you think Peru has been able to progress more than Colombia in terms of commercialization?
AT: In Peru, there was already more knowledge about medicinal Cannabis, even before the new legislation. The country already had records of patients importing the medicine for compassionate use. Another advantage is the less divided geography compared to Colombia, which facilitates distribution. The majority of pharmacies - 70% - are concentrated in Lima.
Will Khiron also introduce the cosmetics from the Kuida line?
AT: Unfortunately not because Peruvian legislation only authorizes medicinal Cannabis.
Finally, I would like to know if Brazil is in the company's plans.
AT: We are already working to register our medicinal Cannabis products in Brazil. But we are starting with the export of products to meet the needs of Brazilian patients for compassionate use. We have signed an exclusive contract with Medlive (a distributor in southern Brazil that serves 3,000 clinics, hospitals, and government institutions).