International Cannabis Business Conference Blog – Page 26 – International Cannabis Business Conference

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French Lawmakers File Cannabis Legalization Proposal

Written by Hazel Norman on February 19, 2025. Posted in Policy.

Momentum for cannabis policy and regulatory modernization efforts has increased in recent years in Europe, with three countries—Malta, Luxembourg, and Germany — having adopted national adult-use legalization measures.

France is one European nation that advocates hope will make history soon by adopting recreational legalization. A pair of lawmakers, Ludovic Mendes (EPR) and Antoine Léaument (LFI), recently filed a proposal in France to achieve that goal.

“This measure, which opposes the government’s repressive policy, would aim to regulate production and distribution via a public agency, on the model of the National Gaming Agency.” reported Entrevue in its local coverage (translated from French to English).

“Legalization advocates, such as the Addictions France association, point out that cannabis consumption is already massive in France, with around 4 million regular users. For them, lifting the ban would not cause a significant increase in consumption, but would on the contrary allow for stricter control of the product and a reduction in health risks.” the outlet also reported.

A recent report produced by NORML France determined that 99.7% of cannabis being consumed in the European nation is unregulated, which creates potential public health risks.

According to a recent newsletter sent out by international cannabis economist Beau Whitney of Whitney Economics, France is home to the largest total addressable cannabis market in the European Union with a value of $11.3 billion (midpoint).

A previous study by an economic advisory board within the nation’s prime minister’s office determined that the French government spends roughly €570m annually on cannabis prohibition enforcement. The study recommended that France adopt adult-use cannabis legalization and launch a regulated recreational industry.

Emmanuelle Auriol, a professor at the Toulouse School of Economics who authored the study’s report and findings, estimated that such a policy change could create as many as 80,000 new jobs, and generate €2.8bn in taxes annually.

Argentina To Revoke All Medical Cannabis Production Permits

Written by Hazel Norman on February 19, 2025. Posted in Business.

In October 2022, regulators in Argentina issued the nation’s first-ever domestic cannabis production license. However, government officials in Argentina announced this month that it plans to revoke all current medical cannabis cultivation permits.

“The Minister of National Security, Patricia Bullrich announced that the Government will cancel permits to grow marijuana.” InfoBae stated in its local coverage.

“We are going to cancel everything, we are going to start from scratch.” Patricia Bullrich stated according to the media outlet.

In April 2023, Argentina’s government participated in the nation’s first legal hemp harvest in roughly 50 years. Starting in 2019, Argentina has made a big push to boost its domestic cannabis industry, particularly as it pertains to science and research. Back then, Argentina’s Ministry of Science and Technology signed an agreement with a local government, the National University, and other entities.

That was followed by a Presidential decree issued in 2020 which provided a way for medical cannabis patients to, in theory, sign up for a government program in order to be able to cultivate their own medicine.

In May 2022, lawmakers in Argentina passed a measure that created the framework for a more robust medical cannabis industry in the South American nation, including provisions for boosting exports around the world. Later in 2022, the government established a public company to provide seeds, testing, and training to the nation’s emerging medical cannabis industry.

How Does Proposed Swiss Legalization Compare To Other EU Countries?

Written by Johnny Green on February 16, 2025. Posted in Policy.

Currently, national adult-use cannabis legalization measures have been adopted by three European Union member nations. Malta was the first to do so, adopting recreational legalization in 2021, followed by Luxembourg in 2023.

Germany has adopted the most robust form of adult-use legalization in the EU so far. Whereas Malta and Luxembourg have both adopted cultivation and possession by adults, and Malta cultivation associations, Germany has legalized cultivation, associations, and will also eventually launch commerce pilot trials. Germany also has the largest legal medical cannabis industry in Europe.

If current trends persist, Switzerland may become the fourth EU country to adopt a national legalization measure. On Friday, Switzerland’s Social Security and Health Committee of the National Council gave preliminary approval to a recreational legalization plan by a 14-9 vote.

“Public health and youth protection must be placed at the heart of a renewed cannabis policy. Adults must be granted strictly regulated access to cannabis. In addition, to ensure that consumption is not encouraged, cannabis products must not be sold for profit and must be subject to an incentive tax. This is what is provided for in the draft drawn up by the National Council’s Social Security and Public Health Committee (CSSS-N).” the committee stated in a translated press release.

“The committee is unanimous in its view that cannabis consumption is a social reality. The majority of the committee considers that the current situation is unsatisfactory and that the prohibitive approach is wrong. In its view, strictly regulated access to cannabis and a controlled market better protect public health, strengthen youth protection and improve safety.” the press release also stated.

Below are the key points of the proposal being considered in Switzerland:

Cannabis will remain classified as a narcotic.
Adult residents can cultivate up to three plants in their private residences.
Eventual sales will be subject to a state monopoly. Sales must not be for profit. Any profits are allocated to prevention, harm reduction and addiction support.
Vertical integration is prohibited.
Advertising is prohibited, including for cannabis seeds and cuttings and accessories related to the consumption of cannabis.
Cannabis products will be subject to an incentive tax “in order to limit consumption and direct it towards less risky forms.” The tax rate will be tied to “THC content and the type of consumption.” Cantons may levy “a monitoring tax and fees.”
Penalties will be increased for “people who evade the legal market.”
A “zero tolerance” approach to driving under the influence will be instituted, with anyone proven to “have consumed cannabis” being “considered unfit to drive.”

“The next step will be to draw up an explanatory report on the preliminary draft, so that the committee can examine these documents during the summer. Interested parties and stakeholders will then have the opportunity to take a position as part of the consultation procedure.” the committee stated about the next steps for the Swiss legalization approval process.

The legalization proposal being considered involves permitting adults to possess a personal amount of cannabis, however, a specific possession limit does not appear to be identified yet. According to the committee press release, “Maximum quantities for private and public possession apply” but quantities were ultimately not specified.

By comparison, what was preliminarily approved in Switzerland is better than what is in place in Luxembourg in some ways and less favorable in other ways. In Luxembourg adults can cultivate up to four plants in private residences, which is better than the three plant proposal in Switzerland, but there is no recreational commerce allowed in any manner in Luxembourg. The possession limit in Luxembourg is 3 grams.

In Malta, adults can also cultivate up to four plants in their private residences, but the possession limit is considerably greater compared to Luxembourg’s possession limit. Adults in Malta can possess up to 7 grams when away from their homes and up to 50 grams within their homes. The previously mentioned cultivation associations operating in Malta are not subjected to as many limitations as what is being proposed for retail outlets in Switzerland, and are not subject to a state monopoly.

If/when Switzerland’s proposal is approved, it will not eclipse Germany’s legalization model. Germany’s legalization model involves a three plant home cultivation limit, which is the same as the Swiss plan. German adults can possess up to 25 grams when away from their residences and 50 grams in their residences. Germany is already home to dozens of approved cultivation associations, and hundreds more have applications pending. Eventually, thousands of associations are expected to be approved across Germany, and they will not be subject to a state monopoly, nor the level of restrictions being proposed in Switzerland.

Switzerland has multiple regional adult-use cannabis commerce pilot trials operating right now, and it is unclear how current and future trials will be handled if/when the Swiss legalization plan is enacted. Germany’s legalization model involves permitting trials, and it is expected that they will eventually be located throughout most parts of Germany. Over two dozen municipalities in Germany have already expressed interest in launching pilot trials.

Arguably the most significant difference between what is being proposed in Switzerland versus what is already approved in Germany is how cannabis is classified. The Switzerland plan involves keeping cannabis classified as a narcotic, which is a nuanced policy that has a dramatic impact on what can and cannot happen when it comes to cannabis. Conversely, Germany removed cannabis from the nation’s Narcotics List as part of the CanG law’s approval, which has dramatically improved the nation’s medical cannabis program and removed many barriers to cannabis research.

99.7% Of Cannabis In France Remains Unregulated

Written by Hazel Norman on February 16, 2025. Posted in Business, Policy.

As of 2022, the European Union Drugs Agency estimated that France had the greatest cannabis consumption rate of any of its member nations, with a reported 10.6% of France’s population having consumed cannabis at least once within the last year.

Unfortunately, cannabis use by adults for recreational purposes remains illegal in France, and only patients enrolled in the country’s medical cannabis trial experiment are permitted to consume cannabis legally. As such, nearly all of the cannabis consumed in France comes from unregulated sources.

“Despite a strict prohibition policy in France, the figures are clear: after the Place Nette operations, 99.7% of the cannabis circulating in France remained on the black market.” reports Newsweed (translated from French to English).

“This observation highlighted by the NORML France association in a report entitled “Why legalize cannabis in 2025” aims to show the ineffectiveness of repressive measures and raises the question of their relevance in the face of a market that continues to prosper.” the outlet also reported.

Health authorities in France announced late last year that the nation’s medical cannabis trial experiment will be extended until July 31st, 2025. The announcement is welcomed news to the reported 1,800 suffering patients estimated to be currently participating in the trial.

“The experiement was due to end on 31 December 2024, but at a meeting on Thursday between patient associations and the health authorities, the Ministry of Health gave the green light for it to run for a further six months, FranceInfo reported.” stated RFI in its local coverage.

The French medical cannabis experiment received initial approval from the federal Senate back in 2019, however, the launch of the trial was delayed until the spring of 2021 due to various reasons.

Initially slated for two years, France’s medical cannabis experiment was eventually granted a one-year extension and was set to end in 2024 before receiving the latest extension pushing the estimated end of the trial to the summer of 2025.

Spain Cannabis Regulatory Measure Amended To Address CBD Products

Written by Johnny Green on February 16, 2025. Posted in Business, Policy.

Lawmakers and regulators in Spain are making what appears to be a final push to finally approve and implement a long-awaited medical cannabis regulatory measure. Spain has long been home to a thriving medical cannabis community and market, however, regulations for the nation’s domestic medical cannabis industry have proved to be elusive for years.

The effort to bring Spain’s medical cannabis policies into the modern age passed a major milestone back in October 2024 when the nation’s Ministry of Health published a draft royal decree focused on medical cannabis. The measure is reportedly moving forward, and was recently amended to address concerns over how it would potentially impact CBD products.

“Thanks to the coordinated lobbying efforts of EIHA, alongside other associations and manufacturers, the Spanish government has amended the draft Royal Decree on cannabis regulation from October 2024.” the European Industrial Hemp Association (EIHA) stated about the amendment.

“The risky sentence “regardless of its cannabinoid content”, which posed a serious threat by potentially classifying CBD as a narcotic, has been replaced with: “preparations with a THC content equal to or greater than 0.2% by weight will be considered psychotropic and will be subject to the control measures.”” EIHA also stated.

“This draft Royal Decree establishes the conditions for the prescription, preparation, dispensing, and use of standardised master formulas for cannabis preparations. Likewise, it establishes a register for standardised cannabis preparations used in the elaboration of these master formulas, in order to guarantee their quality.” the official language of the Royal Decree states (translated from Spanish to English).

“In the preparation of this draft, the different normative regulations on the regulation of medical cannabis in countries of the European Union (France, the Netherlands, the Czech Republic, Croatia, Portugal, Italy, Germany…) and in third countries (Switzerland, Israel, the United Kingdom, Canada…) have been considered. The review has been carried out considering its scientific basis, based on evidence published in scientific literature, the available information on the functioning of the different systems and their health effects, and the possibility its adaptation to the Spanish regulatory framework.” the Decree also states.

Despite the lack of proper regulations in Spain, the nation’s cannabis industry is thriving, albeit not within a regulated system. Suffering patients deserve to have safe access to safe medical cannabis therapies, and entrepreneurs and investors deserve to operate in a business environment that is built on a strong foundation of certainty.

European Parliament Accepts Low-THC Cannabis Petition

Written by Hazel Norman on February 16, 2025. Posted in Business, Policy.

Cannabis products that are low in THC are very popular in many parts of the world right now, particularly in Europe. ‘Cannabis light,’ as it is sometimes referred to, is widespread across the European continent.

Italy is a market where cannabis light products are very popular, however, the products have been the target of recent crackdown attempts by Italian lawmakers and regulators. Attempts to ban Italy’s cannabis light industry resulted in a petition being previously submitted to the European Parliament, and the petition was recently accepted.

“The petition presented by several national acronyms last September was accepted by the Petitions Committee (PETI) of the European Parliament. Its chairman, Polish conservative Bogdan Rzońca, asked the European Commission to “conduct a preliminary investigation into the issue.” reported EUNews in its recent coverage.

“In the response addressed to the president of Canapa Sativa Italia, Mattia Cusani (the first signatory of the petition that gathered the yes of Confagricoltura, Cia, Copagri, Cna Agroalimentare, Unci, Liberi Agricoltori, Altragricoltura, Associazione Florovivaisti Italiani, Federcanapa, Sardinia Cannabis, Assocanapa, Resilienza Italia Onlus, Canapa delle Marche, the European Industrial Hemp Association -EIHA, and the French UPCBD) the PETI committee pointed out that the Court of Justice of the European Union, in a judgement of October 4, 2024, ruled that Member States may not impose restrictions on the cultivation of industrial hemp, including indoor cultivation and cultivation exclusively for the production of inflorescences, unless such restrictions are supported by factual scientific evidence relating to the protection of public health.” the outlet also reported.

The battle over cannabis light in Italy and other parts of Europe comes at a time when many European countries are working to modernize their cannabis policies. Most European nations now have some type of medical cannabis program operating to some degree.

Currently, cannabis that is not low in THC is expressly legal for adult use in Malta, Luxembourg, and Germany. Additionally, regional adult-use cannabis commerce pilot trials are operating in the Netherlands and Switzerland.

An Important Upcoming Election For German Cannabis

Written by Johnny Green on February 15, 2025. Posted in Policy.

Germany is currently home to the most exciting legal cannabis industry in Europe. In addition to adult-use cannabis being legal and sectors involved with recreational home cultivation, consumption, and cultivation associations increasing in size every month, Germany’s medical cannabis industry is booming by every measure.

Against that backdrop, the upcoming federal election in Germany is set for February 23, 2025. Germany’s president previously announced the dissolution of the lower house of parliament, and with Chancellor Olaf Scholz also losing a confidence vote in December, it paved the way for an early election. The stakes for cannabis policy in Germany could not be higher.

As the German Cannabis Business Association (BvCW) pointed out in a recent newsletter, the upcoming federal election in Germany could prove to be “decisive for the future of cannabis legalization in Germany.” Will the country continue its push for policy and regulatory modernization, will the current status quo remain, or will Germany regress on cannabis policy? It all depends on who gets elected.

BvCW provided a roundup of where political parties stand this week, stating (translated from German to English) that “while the SPD , the Greens , the FDP and the Left are in favor of a continuation or expansion of the current partial legalization, the CDU and AfD want to repeal the cannabis law and are taking a restrictive line.”

“The SPD is planning legalization in line with European law, the Greens are calling for specialist shops and international reform. The FDP is remaining vague and sticking to the current law, while the Left is the only party calling for complete decriminalization of all drug users and regulated access for other substances as well.” BvCW also stated. “The CDU and AfD argue that partial legalization has not reduced the black market and see it as a failure. Experts disagree and criticize that a return to prohibition would criminalize millions of people again. The BSW does not comment on drug policy.”

The German Hemp Association (DHV) also issued its own election analysis, urging German voters to select candidates from the Left party, stating (translated from German to English) “The Left, freed from the hesitant Wagenknecht fans, can really take off and take a clear stance.”

“With the best program and convincing answers, Die Linke is the clear winner of the election check and our clear recommendation to vote for. It is the only party that identifies a specific need for changes to the CanG.”

“We can expect all three traffic light parties to defend the Cannabis Act against the prohibition parties. However, all three parties have not made a perfect impression due to unnecessary resistance from their responsible ministers and state associations.” DHV stated about the SPD, Greens, and FDP parties.

“The CDU and AfD clearly position themselves as opponents of cannabis. Both parties want to reverse decriminalization and prosecute cannabis users again.” DHV also stated in its election analysis.

Law Enforcement Against Prohibition’s (LEAP) board members in Germany have also issued election guidance. LEAP was originally started in the United States by former members of law enforcement who oppose the harms of cannabis prohibition and has since expanded internationally. While LEAP did not issue any voting endorsements in Germany, it did make its position clear that Germany must not regress on cannabis policy and voters need to ensure that doesn’t happen in the upcoming election.

“We recognize that in the current legislative period, with the Consumer Cannabis Act and the transfer of cannabis for medical and medical-scientific purposes into a separate law, significant progress has been made towards a rational decriminalization of consumers. However, we are also concerned that some parties want to reverse the progress made so far in drug policy and thus, with their statements in their election manifestos, are diametrically opposed to our goals as LEAP Germany.” the organization’s Board in Germany stated (translated from German to English).

“We are not making any election recommendations, but for us as the LEAP board, it is absolutely clear that we can only vote for a party that advocates maintaining the progress made and further developing an evidence-based drug policy and that recognizes that the prohibition of the past decades has failed and instead focuses on health policy instruments in dealing with addictive substances.” organization leadership also stated.

For further analysis of Germany’s upcoming election and how cannabis policy may be affected, check out the International Cannabis Business Conference’s recent conversation with leading international attorney Peter Homberg of gunnercooke.

Brazil Announces 12-Year Cannabis Cultivation Research Effort

Written by Frank Schuler on February 12, 2025. Posted in Science.

Brazil is home to an emerging legal cannabis industry, and the nation is also home to a national agricultural research agency named Embrapa. Embrapa recently announced that it will launch a research project focused on cannabis cultivation, which is expected to last 12 years.

“Brazil’s agricultural research agency Embrapa, which helped turn the country into a leading grains exporter, is preparing a 12-year research program that could do the same for cannabis cultivation in the farming powerhouse.” stated The Gazette in its original reporting.

“Embrapa’s plans include creating a cannabis seed bank and adapting varieties to the Brazilian soil and climate, while helping to identify and develop regional cannabis production hubs around the country.” the media outlet also reported.

Kaya Mind estimates that Brazil is now home to about 672,000 medical cannabis patients, which is a 50% increase compared to 2023. The market researchers estimate that only one-third of those patients currently make their purchases legally through the nation’s pharmacies and another 22% access medical cannabis products through collectives.

According to leading international cannabis economist Beau Whitney, the overall region’s growing cannabis market is worth a considerable amount of money.

“Central and South America together are an $8 billion total market; however, its low-cost manufacturing and drive towards EU GMP and GAP certifications is making the region an attractive source of supply for the EU.” Whitney stated in a recent newsletter.

Whitney’s analysis was originally provided as part of his presentation at the inaugural Andean Hemp and Cannabis Trade Summit in October where he presented on the Central and South American hemp and cannabis markets.

In addition to the overall market value analysis, Whitney Economics also provided the following market information:

Five countries in Central and South America make up 89% of the regional demand
Brazil is home to the largest domestic market ($2.5 billion)
Total Central and South American market demand requires 6.3 million pounds of cultivated output
Peru is an estimated $0.8 – $2.2 billion domestic market
Peru’s hemp industry has strong opportunities in fibers, grains, and isolated cannabinoids

A separate market analysis by Coherent Market Insights projects that the global cannabis cultivation market size “is expected to reach US$ 136 Bn by 2030, from US$ 42.9 Bn in 2023, at a CAGR of 17.9% during the forecast period.”

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Hemp Flowers Are Now Subject To Austria’s Tobacco Tax

Written by Hazel Norman on February 11, 2025. Posted in Business, Policy.

The level of popularity for hemp flowers among cannabis consumers has exploded in recent years, particularly in Europe. ‘Cannabis light,’ as it is sometimes referred to, contains low enough levels of THC that many markets in Europe permit sales of it.

Whereas adult-use cannabis commerce for products derived from non-hemp sources remains illegal throughout most of Europe, commerce involving hemp products is often legal to some degree. Hemp flowers are a bit of a grey area from a regulatory standpoint in much of Europe. In Austria, a recent court decision declared that hemp flowers are subject to the nation’s tobacco tax.

“The Austrian Administrative Court (VwGH) has recently ruled that dried hemp flowers with a THC content of up to 0.3% are subject to tobacco tax.” reported Cannabis Industrie in its original coverage. “In addition to the tax liability, these products are also subject to the Tobacco Monopoly Act, which means that they may only be sold through tobacco shops.”

“The decision of the VwGH could have far-reaching consequences for the cannabis industry in Austria. Producers and distributors must now adapt to the new regulations and comply with the sales restrictions. This could lead to a shift in the market and possibly new legal challenges.” the outlet also reported.

According to analysts at the Tax Foundation, Austria places a €3.32 excise duty per 20-pack of tobacco cigarettes. An additional ‘value added tax’ or VAT is also placed on tobacco products, raising the total tax per pack of tobacco cigarettes to €4.23. The Tax Foundation estimates that tax as a share of the final selling price per pack of tobacco cigarettes is 77%.

Regulators across Europe, and many other parts of the world, are struggling to rectify the inconsistencies in laws and regulations pertaining to consumable hemp products. For many years, hemp products were largely limited to textiles. However, many savvy entrepreneurs are bringing more consumable hemp products to emerging markets, and policymakers are scrambling to try to catch up.