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South Africa Supreme Court Reviews Cannabis Cultivation Club Case

Written by Johnny Green on . Posted in Business, Policy.

South Africa’s Supreme Court is reviewing a case that could have significant implications for the future of the nation’s emerging cannabis industry. The case involves an entity that started a private cannabis cultivation club shortly after South Africa’s Supreme Court issued a landmark decision that determined cannabis prohibition as it pertains to people in private settings was unconstitutional. This latest case involving the private cannabis cultivation club may help firm up what exactly ‘private cannabis possession and use’ actually means.

Whenever a court issues a ruling, there are almost always questions left unanswered as well as the creation of new uncertainties. For instance, in South Africa’s landmark decision Deputy Chief Justice Raymond Zondo stated, “It will not be a criminal offence for an adult person to use or be in possession of cannabis in private for his or her personal consumption.” What does ‘private’ entail, and what is considered to be ‘possession’ and ‘personal consumption?’ This latest case before the South Africa Supreme Court gets to the heart of those questions.

Private Cannabis Cultivation Club Model

Someone being in possession of cannabis in a private setting for the purpose of consuming said cannabis may seem like a straightforward scenario to some people, however, there’s a lot of legal gray area involved. For starters, does ‘private’ only mean in a person’s home, or does that extend to all private property, including business properties? Does possession include cannabis plants that are growing, or does it only mean harvested cannabis and products derived from the harvest? Does this involve gifting and/or paying someone to help with acquiring cannabis in private settings to any degree?

All of those questions are being considered via the latest cannabis case being reviewed by South Africa’s Supreme Court. The Haze Club (THC) launched with a unique business model. It’s a private club that involves people signing up for a membership, the member provides cannabis seeds to THC, THC then cultivates the plant for the member in a dedicated, private space on THC property, and after the plants are harvested they are provided to the member.

Obviously, law enforcement seemed to feel that the model operated outside of the Court’s decision being that they raided it and applied charges to the club’s owner. The club owner is arguing that everything was conducted in private and that the Court’s decision provided for such private activity. Ultimately, the Supreme Court will sort it out.

Possibly A Moot Decision

In the midst of the latest cannabis court case in South Africa, lawmakers and regulators are working towards making the country a legal continental and international cannabis powerhouse. The country has a ‘Cannabis Master Plan’ that is geared towards embracing cannabis commerce both domestically as well as beyond the borders of South Africa.

Domestically, the plans include provisions for a regulated adult-use industry. Internationally, at least for the time being, South Africa’s efforts will focus on medical cannabis. Currently, only three countries have legalized cannabis for adult use via legislative action, and out of them, Canada is the only country that allows legal adult-use sales to anyone of legal age regardless of their residency status. With that in mind, it will still be a while before we see international adult-use commerce between multiple countries.

However, when legal adult-use commerce does officially launch at the international level, South Africa will presumably be well-positioned to hit the ground running. In the meantime, much of the effort in South Africa will be geared towards the domestic industry, and private cannabis clubs using THC’s business model could be fully legalized, licensed, and regulated. If that proves to be the case, any decision in the specific THC case could ultimately prove to be moot.

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Morocco’s National Cannabis Regulatory Agency Meets For The First Time

Written by Frank Schuler on . Posted in Business, Policy.

Morocco is one of many countries around the world that are working towards reforming their cannabis laws and launching a legal, regulated cannabis industry.

For several decades Morocco has served as an international source of cannabis, albeit an unregulated one. Hashish from Morocco is common in parts of Europe, especially Spain.

The demand for cannabis products from Morocco is clearly there, it’s just a matter of getting the country and legal global industry to a point where legal supply can meet legal demand, and that is also true for domestic sales.

That will be awhile, however, Morocco did recently take a significant step in that direction when its regulatory agency met for the first time. Per The New Arab:

Morocco’s national regulatory agency overseeing the use of marijuana for medical use met for the first time on Thursday in one of the last steps before legalisation in the world’s top cannabis-resin producer.

The North African nation adopted a law in 2021 provisionally authorising the legal uses of cannabis for medical, cosmetic and industrial uses, and tasked a national agency to oversee the process.

Chaired by Interior Minister Abdelouafi Laftit, the National Agency for the Regulation of Cannabis Activities approved its organisation chart and budget for the year 2022.

A regulated industry cannot exist without a regulatory body overseeing it, and from that perspective, the inaugural meeting by the National Agency for the Regulation of Cannabis Activities is a big deal in Morocco. Hopefully it helps speeds things up.

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Attend Cannabis Europa In London June 28-29th

Written by Johnny Green on . Posted in Business, Policy, Science.

The emerging legal cannabis industry in Europe is at a critical juncture. After Malta became the first country to pass a national, no THC-limit adult-use legalization measure late last year several countries in the region are expected to follow in the near future.

Medical cannabis reform continues to spread across Europe, and with it, the expansion of the continent’s medical cannabis industry. The rise of adult-use legalization will obviously impact Europe’s medical cannabis industry, however, it’s still largely unknown to what extent that will be and how both sectors of the industry will operate alongside each other.

What is known is that the rest of this decade will no doubt prove to be the biggest decade in history when it comes to Europe’s emerging cannabis industry. The policies, rules, regulations, and other industry framework components that are created and implemented this decade will largely determine what the future of Europe’s cannabis industry looks like for decades to follow.

With that in mind, it’s more vital than ever for cannabis entrepreneurs, policymakers, and other leaders to network and learn from each other as much as possible. An amazing opportunity to do exactly that is coming to London on June 28-29, 2022 when Cannabis Europa’s flagship event comes to Old Billingsgate.

“We are ultimately trying to change society by bringing about acceptance and accessibility to cannabis in Europe.” stated Stephen Murphy, Co-Founder and CEO of Prohibition Partners at last year’s Cannabis Europe event. It’s a mission that remains true for this year’s event as well.

The venue for the event, Old Billingsgate, encompasses three versatile spaces and a beautiful terrace with unrivaled views of Tower Bridge, City Hall, The Shard, and London Bridge. The event’s two-day agenda covers a range of topics. Below is a sampling of the event’s speakers. For a full list click on this link:

  • Benedikt Sons – Co-founder, managing director, and CEO of Cansativa Group
  • Kristine Lütke MdB – Member of the Free Democratic Party
  • Dr Carl Hart – Professor of Psychology at Columbia University
  • CJ Wallace – Founder of Think Big
  • Hannah – Co-Founder and Non-Executive Director of Medcan Support
  • Dr Kojo Koram – Lecturer in Law at Birkbeck School of Law, University of London

The Cannabis Europa event taking place in London later this month will also include an expo floor featuring dozens of cannabis companies. The expo floor is a great way to network with exhibitors and attendees, as well as to learn about the latest products and services in the cannabis space.

Cannabis Europa will also offer a digital networking platform that will enhance the conference experience and help attendees get the most out of the two-day event. Features include viewing the attendee list, exploring partners’ virtual exhibition booths, learning and conversing via virtual ‘discussion rooms’, and much more. You can find more information about Cannabis Europa, including how to register for the event, at: www.cannabis-europa.com

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World’s First Airport Cannabis Dispensary Reportedly Opening Summer 2022

Written by Marguerite Arnold on . Posted in Business, Policy.

Prince George Airport will reportedly allow a dispensary on its premises as of this summer

Traveling, generally, with cannabis, is still risky, if not an angst-producing experience – even for those with doctor’s notes. Everyone else risks, at minimum, an unpleasant encounter in transit that can easily end badly.

When it comes to air travel – and of all kinds – this caveat is even more true and for a specific reason. Airspace is either “sovereign” or “international” territory. This means that unless there is domestic federal reform, those who transport personal stores are still breaking federal law. This is one of the reasons that flying with products in the United States remains a hazardous proposition.

Per international law, of course, cannabis remains a Schedule I drug. While this is changing, very slowly – and on an individual, case-by-case basis for patients (with plenty of administrative prep work required before one travel), so far for recreational users, this is uncharted territory.

The Canadian Exception

This situation is a bit different in Canada. National law allows travelers to have up to 30 grams of flower for domestic flights and airports have now begun to establish smoking areas – just like they did for tobacco smokers.

However, until now, it was not possible for passengers in transit to buy their supply airports.

This phase too is now ending. As of this summer. Canadians flying out of or landing in Prince George Airport will be able to either get high to fly – or take off right after they land. The only exceptions (apart from the obvious age limits) are that the dispensary will not be allowed to sell to international travelers – or employees of the airport. The store, called fetchingly if not appropriately Copilot, will check boarding passes before they sell – much like duty-free shops already do.

The new idea is not without its controversies. Two of Canada’s largest airlines, Air Canada and WestJet have raised concerns about those on international layover flights and the issue of intoxicated passengers more generally.

That said, this is a bit of a canard. International passengers of Canadian origin would still be able to bring their own and consume it before the flight. The danger from intoxicated passengers is no different than with alcohol.

There is no firm date set for the opening, but according to the website for the dispensary, it will be sometime this summer.

Flying high is about to take on a whole other semantic meaning.

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Taxes And Provincial Mark-Ups Are Hindering Ontario’s Cannabis Industry

Written by Johnny Green on . Posted in Business, Policy.

The main motivation behind legalizing cannabis for adult and/or medical use should always be based on it simply being the right thing to do. No one should ever be penalized for using/possessing a plant that is 114 times safer than alcohol.

With that being said, the reality of the situation is that creating a regulated industry for the purpose of generating public revenue is a driving force behind support for legalization around the globe for better or worse.

Taking the profit away from criminal enterprises and essentially re-routing it to a regulated system in which some profits benefit society is a winning political message, and if actually achieved, a great thing. However, it’s predicated on people actually making purchases from regulated sources rather than unregulated ones, and the transition is far from automatic.

Surveys and polls have consistently found that cost is a major factor for consumers and patients, which is not exactly shocking because that is basically true of any product. But unlike most products, there are a lot of unregulated options when it comes to cannabis, and in most cases, unregulated cannabis is significantly cheaper than regulated cannabis.

Various reports have been published regarding the average price for regulated and unregulated cannabis in Ontario and other parts of Canada, and while the price for regulated cannabis seems to be pretty consistent being that it can be easily tracked, the price for unregulated cannabis often seems to be inflated in my opinion.

I spend an ungodly amount of time online talking to consumers all over the world, and I have yet to find someone in Ontario that pays the prices for unregulated cannabis that are being reported for what that is worth.

It’s a safe assumption that for every extra dollar that gets added to the price of regulated cannabis a certain chunk of the consumer base then gets lost to the unregulated market. With that in mind, the fact that roughly half of the price of regulated cannabis products in Ontario is due to taxes and provincial mark-ups is obviously a problem and will always hinder the legal industry.

This is not to say that there should be no government profit at all. Regulatory oversight is not free, so there needs to be enough money to safely administer sensible industry regulations, and to some extent, put cannabis industry revenues to work helping society in various ways.

However, there needs to be a balance struck to help ensure that regulated cannabis is truly competitive with unregulated cannabis. Regulated cannabis will never be as cheap to produce as unregulated cannabis, but it needs to be close enough that consumers feel comfortable paying a little extra for a product that they know is tested and safe.

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Argentina Legalizes Medical Cannabis And Hemp To Revive Economy

Written by Johnny Green on . Posted in Archives, Business, Policy.

The Latin American country has high hopes that the legalization of cannabis will bring much-needed cash and jobs to the country after Covid

At the beginning of May, the Argentine Congress passed a bill to establish a legal framework for the establishment of a domestic cannabis industry (cultivation and sale) as well as the export of both medical cannabis and industrial hemp.

The move was backed by the country’s president, Alberto Fernandez, who hopes to create new jobs, increase productivity, and create new kinds of exports for the country, which is now facing a deep economic crisis, post-Covid.

The government believes that the industry could create about 10,000 new jobs in the next two years and create $500 million worth of revenue for the country. They hope that of this amount, $50 million will also be exported.

The country has 8 different varieties of cannabis seeds so it will not have to import them, or seedlings.

Cannabis – A Latin American Export Commodity?

Argentina of course is not the only country now exploring the cultivation of cannabis for economic development purposes – not only in Latin America but globally.

At this point, with the exception of Venezuela, Bolivia, French Guiana, Suriname, and Guyana, the entire continent is engaged in medical cultivation of some kind. Even in these countries, the discussion is moving forward toward other things. Uruguay of course is the only country on the continent where recreational use has been legalized. Indeed, Uruguay was the first country in the world to legalize recreational use.

Beyond this, many countries in Africa are now looking to the crop to boost domestic income via exports and for job creation, starting with South Africa.

The question is, of course, will the demand for cannabis actually be this great, globally. Beyond that, there are many questions about the current sustainability of the industry in developing countries. Yes, the prices of cannabis need to drop, dramatically, but there is also likely to be a “race to the bottom” as countries compete with each other for more valuable markets, like Europe.

In many countries on the African continent, cannabis is increasingly being seen as a replacement for tobacco.

In Latin America, in particular, however, the sustainability of the industry, particularly when considering that rain forests could be further decimated to grow the crop, is still in question.

One thing is for sure, however. “South” economies are now in the middle of a green rush. The question is, however, will this return the gold they hope for?

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The Top 20 Cannabis Firms In Germany In 2022

Written by Marguerite Arnold on . Posted in Business.

This list of firms currently operating in the regulated cannabis ecosystem and space in Germany are the top companies in the vertical

Make no mistake – the German cannabis industry is going to morph dramatically over the next 24 months. Recreational legalization changes everything!

However, there is likely to be a direct connection between early movers in the medical and recreational space – just because of certification infrastructure and the need to track and trace product.

Here is an alphabetical list of the top 20 cannabis firms aus Deutschland that you almost certainly have heard about before if you follow events and the industry in Europe. You will definitely be hearing more about them in the near future. They range from cultivation, distribution, and manufacturing companies to those that provide vital equipment for the certified industry. And all of them have weathered the dramatic transition in the market here since 2017.

Alephsana

Based in Berlin, this GDP-certified distributor was founded in 2019 by Boris Moshkovits. The company has had many successes so far, including helping to bring the first Australian cultivated cannabis into the German market. Moshkovits is a dedicated cannapreneur and aspires to help normalize the cannabis pipeline into Germany by sourcing high-quality, certified cannabis globally.

Aphria/Tilray

Aphria was one of the three firms that won authorization to grow cannabis during the German cultivation bid. They subsequently merged with Tilray, but not before also purchasing the sixth-largest mainstream medical distributor in the country (CC Pharma).

Aurora Cannabis

This Canadian public company also won one of the three cultivation slots in the German cultivation bid. The firm has a footprint across Europe at this point. It was one of the earliest public Canadian companies before establishing itself across the EU over the last five years.

Canify Clinics

This new addition to the medical cannabis clinic and telehealth space in Germany (but an established company in the Danish cannabis space) is entering the market at an interesting time – and going up against several more established competitors. With clinics opening this year in Berlin, Munich, Dusseldorf and just south of Frankfurt, the firm also just acquired a German GDP distributor.

Cannamedical

Based in Cologne, the company was one of the first independent, certified, GDP distributors in the country. Founded by David Henn, the company has consistently been at the forefront of industry trends.

Cannovum

Germany’s first publicly traded distributor, importer, and manufacturer, based in Berlin, also has the distinction of being helmed by one of the few women executives in the industry, Pia Marten. The company has also established a Portuguese subsidiary, which is a joint venture with local partners to initially distribute medical cannabis to Portuguese pharmacies.

Cansativa

Located in Frankfurt, Cansativa won the tender issued by BfArM to become the sole distributor for medical cannabis grown in Germany. The company has now successfully raised two rounds of financing, the last from American cannapreneur and rapper, Snoop Dogg.

Cantourage

The founders of the company have extensive experience in the German cannabis industry. They originally founded Pedianos (later acquired by Aurora) as Germany changed its medical law to include cannabis. Cantourage is their second cannabis company. They are also continually bringing in cannabis and cannabinoid medicines from various parts of the world.

Demecan

Demecan remains the only German-founded cannabis cultivation company. The three founders managed to acquire the license won by Canadian Wayland as the company merged with ICC: Currently they are growing cannabis for the German medical market.

Drapalin Pharmaceuticals

Founded in Munich in 2017 by four childhood friends, the wholesaler and GDP distributor is currently importing cannabis from Lesotho for distribution mainly in Bavaria. The firm also has a range of CBD extracts.

Harter GmbH

Harter does not cultivate or distribute cannabis products – but they do something almost as important. They build drying systems for certified cannabis, with an eye toward also creating a carbon-friendly footprint for the process. The firm has established a global customer base.

HERBLIZ Berlin/NGP Berlin

Berlin-based Herbliz operates in multiple sectors of the emerging cannabis industry, including CBD white and private label manufacturing. In addition to its brand Herbliz, the company also operates a THC-focused medical cannabis business.

Khiron

Khiron is an interesting hybrid. It is a Canadian public company with cultivation based in Columbia combined with a strong European presence (in Frankfurt). The company is a producer and distributor of medical-grade cannabis and commercial CBD products and are also opening specialty clinics in key markets, starting with Latin America and the UK.

LIO Pharmaceuticals GmbH

Based just outside of Düsseldorf in Solingen, Lio is currently a GDP distributor with plans to become Germany’s first GMP white label extraction factory. The company is currently building out its manufacturing facility and distributing medical-grade product.

Nimbus Health/Dr. Reddy’s

Nimbus, founded by two millennial friends in Frankfurt, established itself as a medical specialty distributor in the center of European banking and finance. The company was acquired at the beginning of 2022 by Dr. Reddy’s, a globally known Indian wellness and generic pharmaceutical company.

Sanity/Vayamed

Sanity Group, a Berlin based health and life-science company founded by Finn Age Hänsel and Fabian Friede in 2018, aims to improve people’s quality of life through the use of cannabinoids and the utilization of the endocannabinoid system. The focus is on pharmaceuticals and medical products (Sanity Medical with Vayamed, AVAAY Medical, Endosane, and others) on the one hand and cannabinoid-based consumer goods (Sanity Care with VAAY and This Place) on the other. Financially and strategically, Sanity Group is backed by investors such as Redalpine, Calyx and Casa Verde Capital (Snoop Dogg).

Storz and Bickel

This eponymous firm is well known globally for its vape products – starting with the ever-amazing “Volcano.” The firm also has the most widely used medically certified vape in the German market. Canopy Growth bought the firm in 2018.

Synbiotic

This holding company is comprised of a current portfolio of four firms it has acquired on an aggressive purchasing spree over the last several years including Hempamed, Solidmind Group GmbH, BioCBD and Cannexo GmbH. The company is establishing a broad footprint across the CBD and medical cannabis space with an eye to the opening recreational market.

WEECO

WEECO is a certified pharmaceutical distributor based in lower Saxony, with an international presence in Denmark, Switzerland, and Greece, selling cannabis-based products worldwide. The company’s mission is to “revive healing powers of Cannabis and help to establish a reliable supply structure for industry and patients.

Four20 Pharma

Four 20 Pharma is a GMP licensed German manufacturer, wholesaler and importer of medicinal cannabis. Since its establishment in 2018, the company has positioned itself as one of the biggest players in the German medicinal cannabis market, with its growth underpinned by the success of its “420 NATURAL” brand, one of the highest selling medicinal cannabis brands in Germany.

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The Cannabis Industry Moves Forward In Argentina

Written by Johnny Green on . Posted in Archives, Business, Policy.

Back in 2017, lawmakers in Argentina passed a medical cannabis legalization measure. Unfortunately, that legislation proved to be more symbolic than anything, at least in the three years following the bill’s passage.

The lack of meaningful implementation of medical cannabis reform was largely due to former President of Argentina Mauricio Macri who seemed to do everything in his power at the time to hinder the nation’s medical cannabis program.

The current President of Argentina, Alberto Fernández, later issued a decree in 2020 that increased safe access in the South American country. The decree legalized home cultivation, and also set the stage for Argentina’s legal cannabis industry to emerge.

The decree allowed pharmacies to sell cannabis-derived oils, topicals, and other products, and it directed insurance systems to cover medical cannabis treatments for patients who obtained a prescription.

Earlier this month lawmakers in Argentina passed a measure that would create the framework for a more robust medical cannabis industry in Argentina, including provisions for boosting exports around the world. That bill was signed into law this week. Per La Prensa:

The move, backed by president Alberto Fernández, aims to ensure the safety, quality, control and traceability of the production chain as well as create new jobs, increase productivity and generate new exports for the South American country that is facing a deep economic crisis.

Fernández’s government says the industry could create up to 10,000 new jobs by 2025, boost the domestic market by $500 million and increase export revenues to over $50 million.

Cannabis will be used for medicinal purposes while hemp, which is also derived from the cannabis plant, has multiple uses.

Argentina has now become the latest country to embark on a mission to try to gain as much of a footprint in the emerging global cannabis industry as possible.

The President of Argentina’s predictions may seem bold to some people, however, the job creation and revenue goals are entirely possible if the country proceeds methodically and effectively. Only time will tell if that proves to be the case or not.

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Attend The Cannabis Normal! Conference In Berlin Next Month

Written by Johnny Green on . Posted in Archives, Business, Policy, Science.

Germany will never become the first country to legalize cannabis for adult use. That designation will forever go to Uruguay. However, legalization in Germany will ultimately prove to be the biggest cannabis prohibition domino to fall when historians look back on the global cannabis reform movement years from now.

Legalization in Germany is going to usher in a new era for cannabis in Europe and the rest of the planet. Germany’s economy is larger than any other economy on earth with the exception of the United States, China, and Japan. The United States is not nearly as close as Germany when it comes to implementing legalization, and China and Japan remain two of the worst places on earth for cannabis policy.

With news recently surfacing that adult-use legalization will be sped up in Germany according to the nation’s Health Minister, and potential budgetary ramifications if that doesn’t happen, reform is closer than ever. When legalization inevitably happens in Germany, it will be truly historic and will speed up reform efforts everywhere else around the globe.

It is extremely important for cannabis advocates and members of the industry to recognize the efforts of those that have helped bring cannabis reform efforts to this point in Germany, and no organization deserves more recognition than the German Cannabis Association.

The German Cannabis Association (DHV) is a professional cannabis advocacy group led by private legalization activists. Their tireless efforts over the course of many years have made a tremendous impact in Germany and have directly contributed to Germany’s current reform momentum.

DHV was originally founded in May 2002, and per its website, DHV “does not serve personal enrichment, but to make progress in hemp politics.” As DHV also points out on its website, it serves as “a counterbalance to corporate interests and fundamentally opposing forces, such as the police unions.” The DHV team does outstanding work, is extremely knowledgeable, and they are on the frontlines of cannabis reform efforts in Germany on a daily basis.

The German Cannabis Association (DHV) is organizing the third edition of the Cannabis Normal! Conference from June 17th to 19th, 2022 in the Alte Münze in Berlin. The conference’s program will largely involve exploring and discussing the intimate details of the upcoming cannabis legalization measure that is expected to be unveiled in Germany as early as this summer.

In addition to discussing the nuanced details of cannabis policy reform in Germany, hemp will also be a major topic at the event with discussions led by well-known guests from science and politics including drug policy spokesman Carmen Wegge (SPD), Dr. Kirsten Kappert-Gonther (Greens), Kristina Lütke (FDP) and Ates Gürpinar (Left).

It is vital that consumers have a voice in the legalization process in Germany, and fortunately, DHV has developed eleven sessions to cover every important facet of what Germany’s cannabis legalization model should include. It’s a great way to get educated about German legalization efforts and what to expect in the coming months. The information presented will be extremely timely, with upcoming hearings in the Bundestag expected to begin in the near future.

Below are sessions taking place at the upcoming Cannabis Normal! Conference:

More information about the schedule and program of the Cannabis Normal! Go to: cannabisnormal.de. 

For press inquiries and accreditations please contact Simon.Kraushaar@hanfverband.de