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Tag: France

French Government Picks Six Companies For National Medical Cannabis Trial

For all the foot-dragging, the French appear to be on track for what appears to be the largest, organized national trial in Europe.

It is hardly surprising, and for a number of reasons, that the French have finally stepped up to the plate on the medical cannabis discussion. After all, the WHO ruled that the drug was not a Schedule IV last December, right around the time that the European Commission voted that CBD is not a narcotic. This is now an unavoidable topic in every European capital.

However late they may be to this particular discussion, however, the French also seem to have learned a few lessons from neighbouring countries (including right next door in Germany) on how to proceed with this perennially sticky wicket.

As the Dutch government retreats in a fumbled recreational trial, and the German cultivation license holders have (yet) to produce at full speed, the French decided to take a different tact. Namely, they announced the launch of a national trial (much delayed) at the end of last year. There are to be 3,000 patients. And, here is the rub, participating companies must provide both product and vapes, for free.

Which Companies Will Be Participating?

There are six companies who have now been picked for selection in the French trial as announced in late January by the ANSM (the French agency of Medicines and Medical Devices). Their names will sound familiar to anyone who has paid attention to the global industry over the last few years. Like the German tender, several of the participants are from Canada (Aurora and Tilray/Aphria which are also both German bid winners). Australian firms Althea and Little Green Pharma were also chosen, along with the Israeli Panaxia and the UK based Emmac Life Sciences.

All of the product will be imported as the cultivation of cannabis is currently still illegal in France.

European Implications

With France now admitting that cannabis has medical efficacy, the second-largest economy in the EU has now signed up to moving forward on reform. Even if behind other places in Europe.

This also means that the next question is now, inevitably, in the room, and across Europe. When does recreational reform finally come here?

That topic is also on the table, inevitably, as COVID-19 restrictions begin to lift.

Be sure to book your tickets to the International Cannabis Business Conference this summer, when the conference returns to Berlin.

Israeli Company Panaxia Pharmaceuticals Signs Deal With France

The Israelis are moving quickly to take advantage of the opening in the French medical cannabis market. Panaxia Pharmaceuticals has just announced a deal with Neuraxpharm, a leading European company specializing in disorders of the central nervous system. Their collaboration is intended to be a first step in establishing a manufacturing entity to commercial production and distribution of Panaxia’s cannabinoid medicinal products in France.

The model adopted for the collaboration is similar to those increasingly seen in Germany where foreign companies are partnering with established medical products providers in Europe to enter the market.

In the case of France, the companies are also clearly angling to be a medical provider for the national French medical trial, set to begin by the first quarter of March 2021. Indeed, as part of the first stages of their collaboration, Panaxia and Neuraxpharm are already planning on responding to the tender issued by the French government and medications agency ANSM, to regulate the country’s domestic cannabis market.

Panaxia is currently the only Israeli company with EU-GMP certification for the production of medical cannabis products.

The French Trial Is Looming – Will The German Mistakes Be Repeated?

While the French government is clearly copying the model of the German tender bid, it appears that some of the same mistakes will not be present here. Starting with not excluding Israeli firms.

However, given the same issues, not to mention tensions about legalization overall, which France now imports from other countries ringing it as well as the global marketplace, will this kind of alliance be the kind that inspires confidence in the market, if not effectively reaches patients beyond a 3,000 person trial now planned for spring?

The French trial, unlike the German one, expects participating companies to participate for free – rather than allowing companies to import products from another country and charging outrageous prices for the same before price controls had been set by the government, but insurance companies are still on the hook for payment.

Given Israel’s increasing global prominence in the medical market, this is a clear rebuke to Germany, where Canadian companies still dominate a market that is expanding and further requiring higher standards than those seen in other countries so far. And where repeated companies, no matter what country they hail from, have run into multiple and serial problems with quality control as well as a fully compliant supply chain.

The International Cannabis Business Conference is returning to Europe in 2021. Stay tuned!

Open Call For French Medical Cannabis Suppliers

The French government is officially looking for suppliers for its medical cannabis trial. Applications are due by November 24. Applicants may also submit questions until November 18.

What The French Are Looking For

The government is looking for GMP certified providers who can provide up to 3,000 French patients with different qualities of both raw and extracted products for free during the duration of the trial.

This includes not only the provision of the medicine itself but all costs related to import and distribution. It also includes, for floß cannabis, the requirement that the supplier provides a vaping device (per patient).

How Does This Differ From The German Bid?

The French appear to be looking for a larger cannabis producer who can bear the cost of not only medicine provision and distribution, but also of import (required) and additional equipment (vapes).

There are few companies that are in a position to meet this challenge – not only from a quality perspective, but also from a cost perspective. Even the biggest companies right now are suffering from cash flow issues.

And even though the German bid required that cannabis companies spend a great deal of money to apply for a bid that was delayed twice by legal challenges, they could at least create revenue for themselves by selling the drug in the country in the meantime.

France is indeed challenging the industry to step up – and like the German government before it only looking for “established” companies.

The question is, outside a big French pharma right now, who is willing to step into this role?

How Does This Differ From Other Countries Steps Into Legalization?

The French foray into medical acceptance actually appears to be unique. No other country has launched a national trial like this to begin its foray into normalization.

It is also clear that the French are determined to push the onus back onto the industry itself to help prove its efficacy – and further do so in a way that may help build “infrastructure” in the form of creating a distribution network with an established French company – but no more.

This is not a bienvenue, but rather a révolution à contrecœur (reluctant change of heart).

The Upside

Clearly, the focus from the beginning in France is a GMP only market where the government is not on the hook for paying for the cost of the trial – and further that any cannabis company outside the country willing to engage in the same must have either a standing or in process partnership negotiated with a French pharmaceutical company capable of fulfilling the technical requirements of narcotic distribution within France.

For the latest on the changing market picture in Europe, be sure to attend the International Cannabis Business Conference when it returns to the continent next year.

Three French Mayors Call For National Cannabis Reform

While German patient numbers continue to steadily if slowly rise, the UK begins to set out its unique stance on CBD and other European countries make similar kinds of (more) canna friendly announcements, one country in Western Europe still stands out for its decided lack of reform.

Namely France.

Despite all sorts of promises, and from the highest political office in the land no less (namely the current if unpopular President Emmanuel Macron) reform even of the medical kind has not significantly budged in France.

With no established clubs or coffee houses, even in the grey areas of the law (see Spain and Holland), an insurer mandate to cover patients (Germany) or even exploratory market tests scheduled (Denmark, Holland, Switzerland), the country indeed is the laggard not only in Western Europe, but Europe generally.

The question, really is why?

One thing is for sure. It is not a question of better cheese or wine much less a snotty attitude about pronunciation. The French government is moving like snails (and not the delicious variety with butter and garlic) when it comes to reform.

A Political Response

But all is not lost in the land of Asterix. In late September, three French mayors, Gil Avérous (Châteauroux), Boris Ravignon (Charleville-Mézières) and Arnaud Robinet (Reims), have begun to speak out as a group – and for recreational reform.

Their main concerns? That 1.5 million regular users will continue to have to buy from the black market. And of course that the black market encourages criminality and money laundering – to the tune of at least 1.2 billion euros a year.

It may not sound like much of a response, even though they are also challenging other politicians and at all levels to join this campaign. 

But it is a good sign.

A Brief History of Cannabis In The Land of “Vive La Revolution!”

Perhaps it seems strange to foreigners that the home of democratic revolutions, as well as infamous lines from the last nobility to party on – as in “Let them eat cake,” would be slow adapt to the canna revolution. However, slow it certainly has been.

As of 2013, France changed the law (in place since 1953) to allow limited medical use. And as of September 1, 2020, the penalty for being found with cannabis as a user was reduced to a 200 euro fine with no police custody.

For the best regulatory guidance on the changing markets in Europe, be sure to return to the International Cannabis Business Conference next year!

Is Cannabis Legalization Moving In France?

A group of French politicians has specifically called for cannabis reform linked to COVID-19 relief efforts in the country. And this is a giant step forward in a country known for dragging its feet on the latter.

France is one of the slowest moving reform countries in Europe when it comes to cannabis. Even efforts at basic decriminalization have been put in the deep freeze of bureaucratic deliberation, and furthermore, even since Emmanuel Macron, France’s president, promised more reform. 

Ignoring the issue, however, is a temporary holding pattern. There is no more ignoring cannabis reform in Europe and of both kinds. With the World Health Organization on track to tackle cannabis reregulation in December, and numerous European countries publically announcing reform, France is being dragged by both global and more regional developments to take a stand.

Political reluctance is also beginning to fade. This month, a group of 60 French elected officials called for greater movement on legalization. Their arguments range from economic ones (i.e. as COVID relief and redevelopment efforts) to reducing the amount of money spent on policing for a legitimizing market. 

Further, foreign models, in particular Canada, the American states of Washington, California and Colorado, and of course, beyond Uruguay, the European country of Portugal, have all been cited by French politicians as a way to look to the future of cannabis not only as a “drug” but rather a fully recreationally legal substance.

What Is Likely To Happen?

The French have also moved slowly on the medical question. Unlike Germany and the UK, there have been no mass adoptions of cannabinoids into the health system, or at least calls for the same. Unlike Spain and Portugal, and other agrarian European economies, there has also been no advance on the cultivation of even hemp, let alone medical standard GMP crops for economic reasons.

Beyond the early movers in the medical game, even in Europe (and at this point that includes Denmark, Holland, Poland, Malta, Italy and Switzerland) there is of course now Luxembourg’s recreational experiment looming ever closer on the horizon. 

For this reason, it is not inconceivable that the French will move fairly major reform quickly after refusing to examine the smaller issues for so long. However, as everyone knows, in this industry, there are many instances of two steps forward and several back. With German states now deciding to interpret EU laws on CBD, it is conceivable that France could follow the guidance of both the WHO and the EU rather than the rebel states across Europe who are absolutely at this point, beating a different rhythm and on a rapid march into the future of reform.

The International Cannabis Business Conference will return to Europe. In the meantime, keep up with us by following the blog!

Irish-French Alternative Investment Fund Launched In Search Of Long-Term Cannabis Returns

Óskare Fund – a joint venture between Irish and French firms (Crossroads Capital Management and Óskare Capital) is an alternative fund now seeking investors and longer-term returns in the industry (no small feat). Neither is its existence. This is the first such fund to be domiciled in Ireland, approved by the Central Bank only last month.

In January, a (separately managed) exchange-traded fund (ETF) was first listed on the Irish exchange.

Private investors in the Óskare Fund must be able to invest at least €100,000 in portfolios based on the development and sale of medical-only cannabinoid-based products. The first round of the fund seeks €30 million in its first tranche, however, managers said that they sought up to €120 million more in successive rounds.

The prospectus describes the fund this way: “A long-term, potentially high-risk investment which is suitable only for sophisticated institutional and high-net-worth investors which are able to bear the risk.” A good start for sure in a niche that is already known for high volatility (see the Canadian public market if not the U.S.)

Investment strategy is to invest primarily in unlisted cannabis-related companies with broad and global exposure to the industry. This includes those firms involved in R&D in the medical space (including the development of pharmaceutical products and extracts) and all things (from production to equipment) on the hemp side of the equation.

The fund will seek stakes and boardroom representation in early-stage start-ups across the medical vertical, but not directly in cultivation. The investments will also be weighted in favour of Europe.

The fund, named after the Mohawk Indian name for cannabis, believes that this region offers the best regulatory environment for innovation, research and development of cannabinoids used for medical purposes.

Why Is This Interesting To Foreign Investors?

One of the more difficult aspects of investing in the European space is language barriers. The second is all the Brexit-related financial and compliance issues that go with the divorce. For that reason, Dublin, where the fund is located, is a hotbed for “alternative” investments if not cannabis (yet). Give it time.

The reason? There are financial incentives on both sides of the Brexit barrier, for one, that those in Ireland are well used to navigating (and far from just the cannabis front specifically). With feet in both the UK and Europe, in other words, this fund, as well as others, if properly managed, stands to play an increasingly important role in a Euro-market hungry for access to equity and a British market that is full of potential but still way behind with money sloshing around looking for “foreign” adventures.

For the latest on European cannabis developments, including financing and investing, be sure to attend the International Cannabis Business Conference when it returns to Europe.

France Authorizes A Cannabis Experiment

On October 25, the French National Assembly finally gave the green light to a national experiment with medical cannabis. This has been in the offing for some time. As of now, the French government is finally willing to give the cannabis discussion a two-year trial. The Medicines Agency has already signed off.

Cannabis will be able to be prescribed for patients with treatment-resistant conditions including epilepsy, nerve pain, side effects of chemotherapy and for diseases of the central nervous system, including uncontrolled muscle contractions.

That said, the French are skipping the idea of “prescription joints” and will make oils and other ingestible basics (including drinkables) available via French doctors and through French pharmacies.

Prescribing doctors will have to complete an online training course, the details of which have not been released.

Will France Challenge Germany As Europe’s Most Lucrative Market?

Comparisons between France and other countries when it comes to cannabis are at this point premature. However, the French are certainly approaching the issue in a way that so far, even Germany has not.

Doctor training and certification, for example, are not centrally managed, administered, or even made available (no matter how many people are trying to set this up). However, Germany will be a producer within the next two years, unlike current plans in France. Unless and until French cultivation happens, French patients will be caught in the same conundrum as everyone else in Europe.

The idea of getting a prescription is very nice, but actually obtaining one, plus the approvals of health insurance to remove the burden of payment, is much, much harder than many people think.

In the short term look for more foreign-based businesses to get established in France, and further to see products entering the country from all points of the globe, starting with Portugal, Spain, Greece, and Poland.

There is a silver lining of course. Now that the two most powerful, economically intact economies in Europe are in the cannabis basket, it will drive other kinds of reform.

The idea of getting patients into an established program and out of the unregulated market is the ultimate goal, of course, however, it is a goal that is so far unreachable in an environment where medical cannabis is still expensive and far too hard to obtain.

So yes, vive la cannabis! But this is hardly the great green wave revolution most in France, if not in other places, have hoped and fought for. This is not the vision of the “industry” that most have sacrificed and worked for.

France Approves Funding For Two Years Of Medicinal Cannabis Research

France is one of the least progressive countries in Europe when it comes to cannabis policy. France is one of the few remaining countries in Europe that completely prohibits medical cannabis. However, that could be changing.

On Friday lawmakers in France voted to approve funding for a two-year medical cannabis research project. Per The Local:

Olivier Veran, a lawmaker from President Emmanuel Macron’s centrist party who proposed the budget inclusion, said the experiments could target some 3,000 sick people in France.

They will seek to determine whether cannabis derivatives can alleviate the symptoms of certain illnesses, and in which doses, he said.

Seventeen other European Union members have already authorised cannabis-based therapies, he added.

The list of health conditions that will reportedly be a part of the study will include epilepsy, chronic pain, cancer, and multiple sclerosis. The study will not involve inhaled-forms of cannabis. Rather, participants will consume cannabis-derived medical products via capsules and other oral dosing methods.

The medical cannabis experiments in France are certainly better than nothing, however, the study is limited in size compared to others that will be conducted on the European continent in the near future.

Earlier this month a medical cannabis study was announced in the UK which will involve 145,000 patients and will be narrowly focused on whether CBD is an effective treatment for Parkinson’s disease.

Still, the approval for medical cannabis research funding in France is significant and will hopefully lead to an increase in future research and help build momentum for medical cannabis reform in France.