Cannabis Stores Could Soon Open in Germany

Joints, Edibles, Hash Oil: The German federal government is paving the way for the commercial sale of cannabis products.

The Federal Ministry of Food and Agriculture (BMEL) is advancing the legalization of cannabis. In a draft regulation circulating in cannabis industry circles, the ministry, led by Cem Özdemir of the Green Party, has now designated the enforcement authority for the “permission and supervision of handling cannabis for scientific purposes” as the Federal Agency for Agriculture and Food.

Industry experts view this move as a step towards enabling the commercial sale of cannabis in pilot projects. “We are hopeful that a workable path will be created here to legally sell cannabis products in Germany – at least in some scientific projects,” says Jürgen Neumeyer of the Cannabis Industry Association.

The Cannabis Act currently only allows hemp plants to be cultivated in so-called cannabis clubs starting from July 1, 2024, which are still in the process of being established. Adults are permitted to keep 50 grams of dried cannabis flowers at home for personal use. When on the move, individuals can carry up to 25 grams of hashish or marijuana.

However, the federal government had already indicated to companies last year that the production, distribution, and sale of “recreational cannabis” in specialty stores to adults in a “licensed and state-controlled framework” would be allowed. With this so-called second pillar of the Cannabis Act, the “effects of a commercial supply chain on health and youth protection as well as the black market” were to be scientifically investigated. After a long period of inactivity regarding the pilot projects, the BMEL’s initiative could inject new momentum into the matter.

“There is great interest among our members,” says Neumeyer. “Without the ability to sell cannabis directly to consumers, we will not be able to push back the black market.” He hopes for legal certainty soon so that the establishment of production facilities in Germany can be pushed forward. The accompanying scientific research is welcomed, for example, to explore the effects on the black market or on consumer behavior.

The industry hopes that sales in shops will attract a larger audience. Sales revenues for recreational cannabis in Germany could exceed 300 million euros by 2026, predicts the British cannabis platform Prohibition Partners. Europe-wide, sales of 1.76 billion euros are expected.

Researchers also welcome the regulated and scientifically accompanied cannabis shops. “Conducting pilot projects is generally a good idea,” says Frank Zobel, Vice Director of the Swiss Addiction Foundation in Lausanne. They allow for a better understanding of cannabis users and the industry. However, if the projects are not well-regulated, they could also “boost unrealistic economic interests and thus promote consumption and risks.”

Zobel advocates for “non-profit monopolies” or concessions – temporary governmental approvals – for the sale of cannabis: “Existing data suggests that this is the best model if you take social and health issues seriously.”

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