Tag: Portugal

Cannabis reform is not staying still across the EU

As Europe begins to wake up to the reality that two countries within and just outside its border (Luxembourg and Switzerland) are about to give the region its “Colorado and Washington State” moment – Portugal appears to want to up the ante even more.

In a move highly anticipated by insiders, and just before a summer of intermittent travel corridors and mutating summer holiday plans along with new variants of Covid, the Portuguese also seem determined to have their moment in the sun.

However, the Portuguese situation is also not likely to be like any of the other discussions going on in Europe at the moment. This starts with the fact that the government has been playing with the idea of drug liberalization and lassaiz faire drug reform for the last fifty years in a way unseen in any other European state.

The timing of this discussion – literally to carve out and define a national policy on adult-use – is also far from accidental.

This development means that three countries within Europe (the other two are Holland and Luxembourg) plus Switzerland are now formally debating if not implementing adult-use market guidelines and policies.

This is a tipping point. Even if the German government (for one) along with the French and Spanish, would rather ignore the entire enchilada.

Where Does This Leave Germany?

There is much speculation within the country if not beyond its borders about the impact of the national election this year on cannabis normalization. That said, while it is likely that the political winds are likely to elicit some reform (see perhaps decriminalization) it is unlikely that full boat recreational use will be on the table here for the next five years.

In the meantime, experimental and feeder markets (Greece, Malta, North Macedonia) beyond these recreational outliers, are clearly beginning to define medical cultivation markets that will feed tax coffers and create green jobs. At some point, there will be a Deutsch tipping point. The question, of course, is what might cause this. And when it might come.

Medical markets will only continue to push the topic forward – and of course bigger economic issues – like Post Pandemic recovery – will also feed into the debate.

Regardless, for advocates and the industry alike, the summer of 2021 is turning out to be a good one for pushing the theoretical idea of reform forward, if not exactly the mechanics, in countries across the region like never before.

Be sure to book your tickets to the International Cannabis Business Conference when it returns to Berlin this August!

On August 4, the Portuguese government issued a regulatory document that authorizes the cultivation and exploitation of the domestic hemp market.

According to the document, translated from Portuguese, the law “establishes the conditions, authorizations and inspection that apply to the cultivation, production, manufacture, employment, trade, distribution, import, export, introduction, dispatch, transit, possession for any purpose and use of plants, substances and preparations.”

Here are the big takeaways:

• The Departments of Agriculture and Justice have an overview and supervisory authority over the vertical for hemp bound for industrial purposes. The Institute for the Financing of Agriculture and Fisheries along with the Judiciary Police, National Republica Guard and the Public Security police will also all have a role to play in the regulation and oversight of the industry and its regulatory schemata and rules.
• Regardless, however, no matter where the hemp is grown, it will be subject to certification just because of difficulty authorities have already identified, namely understanding quickly which plant is which (higher THC cultivars vs. low THC plants with less than 0.2%).
• This classification includes all hemp grown for non-human consumption (i.e. industrial) and animal food.
• The regulations will also be applied to the medical cannabis market – namely creating a space domestically for the legal prescription of narcotic drugs.
• Sets fees for cultivation (3,000), additional certifications (1,000), and additional charges set by the government for the licensing and certification process.

Significance In the European Market

Portugal is currently one of the few countries which have allowed cannabis production from the medical perspective since Tilray established production facilities in the country in 2017. Now, however, it is clearly joining the list of European countries determined to try to regulate hemp separately.

This means, however, that the country has not taken a stand on the discussion before any European Commission decision that hemp is somehow a “narcotic” (pending in September). The Portuguese decree also does not appear to take a stand on the question of whether hemp is “novel” or not for human consumption.

This careful designation, in other words, appears to presage a future where the terms and conditions of the entire industry are set by those who believe that hemp or its extracts are somehow “new” in Europe. Or potentially classified for all human consumption as a “narcotic.”

In the meantime, beyond the headlines, German-produced, and EU-BIO certified, higher quality hemp oil is showing up in chain grocery stores across Deutschland.

It is inevitable that there are a few rounds left in the entire discussion from the regional and country perspective.

In the meantime, another country in Europe has established a formal hemp program, even if it seems to be a very small first step.

Join the International Cannabis Business Conference when it returns to Europe in 2021. Until then, stay tuned to our blog!