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Author: Hazel Norman

finland flag

Legalization Efforts Receive A Boost In Finland

Back in October, an initiative was launched in Finland which seeks to legalize cannabis for adult use in the European country. Recently, the initiative crossed the 50,000 signatures mark and will now be considered by lawmakers. Below is an excerpt from the initiative’s text:

We propose to start drafting a law to reverse the illegality of cannabis and replace it with the following:

– The use, possession, subsistence farming, manufacture and sale of cannabis are allowed with age limits.

– Creating a regulatory system for the manufacture and sale of cannabis comparable to other substances, learning from the experience of states and states that have already legalized cannabis. The aim of the regulation is to minimise harm to individuals and society, in the same way as alcohol and tobacco legislation.

– Imposing a tax on cannabis to compensate for the harm it causes to society.

– Clearly define the distinction between intoxicating cannabis and non-intoxicating cannabis, i.e. hemp, so that hemp-growing farmers can operate in their field.

– the removal of entries on cannabis use, as well as criminal records and other similar entries resulting from minor cultivation and sales.

In line with legalization strategies ramping up in Germany and other European nations, the initiative in Finland relies on the logical argument that prohibition is more harmful to public health outcomes than regulation.

“This initiative provides a comprehensive justification for why Finland, too, should replace the Cannabis Prohibition Act with regulation. The regulation of intoxicants must be based on researched information. The Prohibition Act did not bring us a cannabis-free world. Regulation does not bring us a harm-free world of cannabis either, but it can minimise the harm and compensate for the costs.” the initiative states.

Currently, only Finland’s Green Party has publicly expressed support for cannabis legalization, with Green Party member Coel Thomas helping craft the legalization initiative that recently crossed the required signature threshold. Thomas appears to be tempering expectations regarding the initiative’s adoption in the near future while remaining hopeful for the longer term.

“It seems likely that we will have a right-wing conservative government coming in, but even under a centre-right or centre-left government, it’s not likely that we could advance legalisation. I don’t see how it could get a majority of votes,” Thomas explained according to Cannabis Health News. “However, we are starting a conversation in Finland right now, that in my opinion, will most likely lead to the legalisation and regulation of cannabis this decade.”

Recently, for the first time in Finland’s history, a majority of survey respondents (57%) indicated that they felt regular cannabis use was less harmful than binge drinking, as well as a majority of respondents (53%) indicated that they feel that personal cannabis activity should not be a crime.

finland

Guernsey

Legalization Efforts In Guernsey ‘Not Likely To Get UK Royal Assent’

Guernsey may not be the first place that comes to mind when someone thinks about cannabis policy, however, the self-governing British Crown dependency is home to some ardent cannabis supporters. Guernsey is one of the Channel Islands in the English Channel near the French Coast.

Lawmakers in Guernsey agreed in 2022 to explore the idea of adult-use cannabis reform. Unfortunately, all laws passed by Guernsey’s government must also be approved by the United Kingdom’s Privy Council – a concept known as ‘royal assent.’ It appears that such approval is unlikely, at least at this time. Per excerpts from BBC:

Policy & Resources Committee member Deputy Bob Murray said several departments were examining the issue.

But he added any law was not likely to get UK royal assent “at the moment”.

He said: “One of the hurdles we’ve encountered as we have looked more deeply in cannabis legalisation is getting royal assent in the UK [passed by the King’s Privy Council, which, at the moment, appears very unlikely.”

There is recent precedent regarding cannabis policy, royal assent, and its use to prevent adult-use cannabis legalization pursuits. Bermuda, which is also a British Crown dependency and subject to the royal assent provision, was on a path to making significant cannabis policy reforms last year.

However, all of the progress hit a dead end when the Governor of Bermuda, who is appointed by the United Kingdom, effectively vetoed a cannabis reform measure previously passed by Bermuda lawmakers by refraining from granting royal assent. As with Bermuda, Guernsey should be able to set its own cannabis policies.

Guernsey, United Kingdom

planet earth

New Report Highlights Global Cannabis Industry Investing Trends In 2022

A new data analysis report was recently published involving cannabis industry investing, merger, and acquisition trends from last year. The data analysis study was performed by New Frontier Data and sponsored by Viridian Capital Partners.

Last year was a banner year for the emerging international cannabis industry as a whole, although financial trends varied from market to market. Below are some of the key findings from the recently published data analysis report:

  • In 2021 virtually every sector of the industry received blockbuster investments, leading to over $12 billion in capital raises; a combination of economic headwinds and dampened expectations for federal action shrank North American capital raises to $4 billion in 2022.
  • The United States continued to attract the majority of investor capital in 2022, growing as a percentage of total capital raised, from 71.7% in 2021 to 80.6% in 2022.
  • The United States drove the majority of M&A activity in 2022, growing from 59% of M&A activity in 2021 to 68% in 2022.
  • Cultivation and retail remained the leading sectors for M&A activity at 57% in 2022; however, the cultivation/retail sector represented 70% of the activity in 2021.
  • The average size of equity raises decreased 44% from $22.17 million in 2021 to $12.40 million in 2022, whereas the average size of debt raises decreased from $45.72 million in 2021 to $21.48 million in 2022.

“Investors are in the process of recalibrating their strategies for the cannabis market. By bringing together two of the most-trusted cannabis industry data companies, we provided an unbiased view of the current opportunities and challenges,” said Gary Allen, New Frontier Data CEO, in a press release. “Simultaneously, the report offers a sobering view of the capital markets for cannabis business owners who must adjust their own expectations for outside investment to construct healthier businesses.”

“Capital investment and M&A activity in the cannabis industry has become more narrowly focused on those states, countries and operators that have proven management teams, business models, and corporate strategy. This report, buoyed by data from the Viridian Cannabis Deal Tracker, provides the insight and actionable data for investors, lenders and acquirers to make smart capital allocation decisions.” added Scott Greiper, President and Founder of Viridian Capital.

The emerging legal cannabis industry will continue to expand across the globe, with new reforms being pursued and/or implemented in 2023, and in some cases, new markets launching.

Additionally, many existing markets will continue to expand in size throughout the year, and it will be interesting to see how statistics from 2023 compare to 2022 once this calendar year is over and the relevant data is compiled and analyzed.

new frontier data

south africa flag

South Africa Is Seeking Public Input Regarding Cannabis Reform

In late 2018, South Africa’s Constitutional Court issued a historic ruling. In a case involving three cannabis consumers facing cannabis charges, South Africa’s top Court determined that cannabis prohibition “intrudes unjustifiably into their private spheres”.

“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.” stated Deputy Chief Justice Raymond Zondo in the Court’s unanimous decision back in 2018.

Since that time, various lawmakers in South Africa have worked towards the goal of launching a legal, regulated adult-use industry. And while that has yet to happen, progress is being made, albeit slowly, with the latest example of that coming in the form of the South African government seeking public input about a new proposal. Per Business Tech:

The Portfolio Committee on Justice and Correctional Services has opened the proposed amendments to the Cannabis for Private Purposes Bill for public comments.

The National Assembly is now calling on interested stakeholders to write submissions on the proposed amendments by no later than Friday, 28 April 2023.

Ultimately, the proposed amendments seek to broaden the scope of the bill to include provisions relating to the commercialisation of hemp, the use of cannabis and its production.

The 2018 decision in South Africa has created a large ‘grey’ market that is popular with consumers, but completely unregulated. Similar court decisions were rendered in Mexico in late 2018 and in Italy in late 2019. Similar to South Africa, the grey markets are flourishing in both Mexico and Italy due to languishing regulatory efforts.

Lawmakers would be wise in all of those countries to pass and implement robust cannabis reform measures resulting in the legal cannabis industry being embraced rather than prohibited. All of those countries would benefit from job creation, boosts to local economies, and the public revenue generation that an embraced adult-use industry would yield.

south africa

Prague the Czech Republic Czechia

Cannabis Legalization In The Czech Republic Is Taking Shape

A country that should be on your global cannabis legalization radar, if it is not already, is the Czech Republic. As we previously reported, Czechia’s top drug policy expert indicated that his country would follow Germany’s lead on adult-use reform, and this last week demonstrated that to some degree.

On Wednesday ministers from Germany’s government held a press conference in which they presented a two-faceted legalization plan, with the first involving the legalization of possession, home cultivation, and noncommercial cannabis clubs. The second facet will involve the rollout of adult-use cannabis commerce pilot programs.

The following day news broke in the Czech Republic about the nation’s own plans to pass an adult-use legalization measure, which will differ from Germany in some regards. Per Expats CZ:

With the symbolic “420” celebration just a week away, cannabis smokers in Czechia may have a new reason to smile. Czechia plans to introduce a new, regulated cannabis market allowing people to consume up to 5 grams of cannabis recreationally per day, and legalize the growth and distribution of the drug.

Seznam Zprávy reports that under the government’s new plans, consumers would need to register in a database, and growers and sellers would need to pay annual fees. According to the state’s anti-drug policy coordinator Jindřich Vobořil and the Pirate Party, which is part of the current coalition, the proposal could earn the government around CZK 2 billion per year.

Consumers being required to register in a government database under the Czech Republic’s reported plan is somewhat unique for a national legalization model, however, it’s not an unheard of concept in general. For contextual purposes, consider that the adult-use cannabis pilot program operating in Basel, Switzerland right now also requires registration.

According to Expats‘ reporting, “Growing hemp on larger plots of land would cost hundreds of thousands of crowns, and an independent shop that wants to sell cannabis would need to pay a once-yearly free, starting at about CZK 50,000.”

As part of its reporting, Expats conducted an online poll regarding adult-use cannabis reform in the Czech Republic, and as of this article’s posting 92% of survey respondents answered ‘yes’ to the question, “Do you agree with the government’s plans to regulate the recreational cannabis market?”

czech republic

court decision hearing gavel

Canada’s Supreme Court Upholds Quebec Home Cannabis Cultivation Ban

Canada’s Supreme Court dealt a blow to cannabis advocates and would-be home cultivators in Quebec this week when it issued a ruling upholding Quebec’s home cultivation ban. According to federal law in Canada, adult households can cultivate up to 4 plants as part of a nationwide legalization measure that was passed in late 2018.

However, Quebec’s government instituted a home cultivation ban within its borders, and that ban was challenged via a case that initially started back in 2019 involving an adult consumer who directly challenged the home cultivation prohibition policy.

Under Quebec law, adult households can still be fined between $250 and $750 for home cultivation violations. According to Canada’s top Court, Quebec’s continued prohibition on home cultivation is constitutional, and the vote was unanimous. Per CBC:

Murray-Hall’s lawyer argued that Quebec’s ban on owning and cultivating plants for personal use is unconstitutional and contradicts the federal cannabis law enacted in 2018.

On Friday, the Supreme Court emphatically disagreed.

According to the ruling, the provincial law meshes well with the overall goals of the federal one, which include protecting the health and security of the public and steering users away from the black market.

Much of what is troubling, beyond the effect of the ruling itself, is the reasoning behind the Court’s decision.

“The Quebec legislature saw the possession and personal cultivation of cannabis not as a social evil to be suppressed, but rather as a practice that should be prohibited in order to steer consumers to a controlled source of supply,” the ruling stated.

“It is true that, in everyday language and even in the speeches of some parliamentarians, the creation of exceptions or exemptions under a scheme of criminal offences is often described as a ‘legalization effort,'” the ruling also stated. “However, this way of speaking is incorrect and falsely suggests that positive rights authorizing particular conduct have been granted to the public.”

Manitoba has also banned home cultivation, and being that this ruling comes from Canada’s top Court, the ruling applies nationwide. Hopefully other jurisdictions do not pile on via their own home cultivation prohibition policies. Furthermore, lawmakers in Canada need to step up and pass a measure that expressly provides for adult-use home cultivation nationwide so that local jurisdictions do not have that option.

quebec

hemp plant field

Argentina’s Government Participated In First Legal Hemp Harvests In Half A Century

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.

Recently members of Argentina’s government participated in the nation’s first legal hemp harvests in half a century, marking another milestone for the nation. Per Hoy:

The Ministry of Agriculture, the National Agrifood Health and Quality Service (Senasa) and the National Seed Institute (Inase) participated in the first experimental harvests of industrial hemp on Argentine soil after 50 years, it was officially reported.

The cultivation practices are developed by the national company Industrial Hemp Solutions (IHS), within the possibilities offered by the new regulatory framework for medical cannabis and industrial hemp.

Late last year regulators in Argentina approved new cultivars for the nation’s industry, although it’s unclear what exact genetics were involved in the recent harvests. Hopefully harvests of hemp and non-hemp-categorized cannabis become more common in Argentina as time goes by.

argentina

cannabis plant flower garden indoor

New Greens Proposal Would Legalize Home Cultivation In Australia

In the fall of 2019, the Australian Capital Territory (ACT) became the first jurisdiction in Australia to legalize cannabis for adult use. The ACT measure permitted adults 18 years old or older within its jurisdiction to possess up to 50 grams of cannabis and cultivate up to two plants. The measure did not legalize cannabis sales.

The new public policy obviously did not extend to the entire nation, however, it was still a revolutionary measure in many ways. For adults that live in the ACT, the newly established freedoms were surely welcomed and many people are undoubtedly benefitting from them.

At least one political party in Australia is seeking to make cannabis legal for adult use nationwide, and with a home cultivation provision that is significantly greater than what is already in place in the ACT. Per Crikey:

Cannabis would be available to be bought and smoked at Amsterdam-style cafés or grown at home under a legalisation bill written by the Greens.

Adults would be allowed to grow up to six plants at home for private consumption, and there would be no upper weight limit for possession, according to the bill drafted by Senator David Shoebridge.

According to a poll conducted in May 2022, 55% of Australians support regulating cannabis like alcohol. Australia‘s Parliamentary Budget Office released a report earlier this year which estimated that legalizing cannabis for adult use and launching national adult-use sales would generate A$28 billion in tax revenue in the first decade.

Medical cannabis was legalized nationwide in Australia in 2016, however, suffering patients can only legally obtain medical cannabis products via a prescription from a licensed doctor. Home cultivation is prohibited, even for licensed patients, and the type of medical cannabis products available in Australia is limited.

australia

germany flag

Germany Expected To Introduce Long-Awaited Legalization Measure In Two Weeks

During a live stream episode of ‘4:20-Cannatalk!’ featuring German governing coalition members and drug policy spokespersons of the Social Democratic Party Dirk Heidenblut (SPD) and Carmen Wegge (SPD) on Instagram (April 3, 2023, at 8 p.m. CET), the lawmakers announced that a long-awaited adult-use legalization measure would be formally introduced ‘in two weeks.’

“It would be nice if the draft law would be presented on 20.4.2023.” said Carmen Wegge during the live stream (translated from German to English).

The measure will reportedly involve a two-faceted approach to adult-use legalization in Germany, with the first phase involving home cultivation, ‘noncommercial’ cannabis clubs, and the suspension of cannabis prohibition enforcement as it pertains to personal use, possession, and cultivation.

“The first part of the reform measure could come into force before the summer break of the Bundestag, as Wegge and Heidenblut are speculating. This would be an urgently needed relief for millions of consumers. What this 2-phase approach means for the commercial route and the numerous companies preparing for a free market model, remains to be seen,” said Kai Friedrich Niermann of law firm KFN+.

Nationwide adult-use sales, which is what many German lawmakers were pushing for, will have to wait until the second phase of the legalization effort can be pursued.

“For reasons of European law, comprehensive legalization is obviously not feasible in the short term. We are therefore supporting Federal Health Minister Karl Lauterbach and the Federal Government with practicable ones Steps towards legalization. From our point of view, these can be model projects, decriminalization and self-cultivation.” SPD leadership previously stated according to initial reporting by Legal Tribune Online.

The announcement of the pending formal introduction of the legalization measure comes after several months of Germany’s Health Minister Karl Lauterbach lobbying the European Union for permission to proceed.

The premise of Minister Lauterbach’s argument to the European Union is that Germany’s public health outcomes would be better if people were consuming regulated products versus unregulated products.

Many cannabis advocates inside and outside of Germany were hopeful that the European Union would sign off on the launch of a regulated national industry in Germany, however, it appears that will have to wait.

Despite having to wait longer for national sales, the significance of the first facet of Germany’s reported legalization measure cannot be overstated. Cannabis prohibition is a failed public policy in Germany, and its time that the nation took a more sensible approach.

According to a 2021 report from Heinrich Heine University Dusseldorf, “legalization leads to significant savings in criminal prosecution.” The report’s authors stated that Germany would save 1.05 billion euros annually by no longer enforcing cannabis prohibition, in addition to judiciary savings of 313 million euros per year.

“Banning cannabis is harmful and expensive, billions are wasted on pointless police operations. The money would be used much more effectively for education, prevention and help. It’s time for legalization!” said DHV Managing Director Georg Wurth at the time of the report’s publishing.

Cannabis commerce involving adult-use sales will not be entirely prohibited under the reported first phase of German legalization. Local pilot programs are expected to launch, like what is underway in Switzerland, albeit presumably on a much larger scale.

“This is the biggest cannabis news of the decade. Within 3 years, Germany will have the biggest federally regulated cannabis market in the world,” said Alex Rogers, founder, and CEO of the International Cannabis Business Conference.

When national sales eventually launch, Heinrich Heine University Dusseldorf estimates that 27,000 jobs will be created and that the total revenue generation to Germany’s public coffers will be roughly 4.7 billion euros per year.

The first facet of the reported pending legalization measure will involve a possession limit that may be as much as 50 grams per adult. The plant limit for home cultivation will likely end up being between 3-5 plants per adult household.

Gifting cannabis between adults will likely also be permitted according to the reported measure, with the legal age being set at 18 years old.

Germany

colombia flag

Cannabis Legalization Clears Another Political Hurdle In Colombia

Colombia has served as ground zero for the Drug War in many ways over the course of multiple decades, largely due to the nation’s cocaine production. It is obviously no secret that Colombia has served as the world’s top source of cocaine for many years, with the United States being a particularly popular destination for the illegal substance.

The Drug War in Colombia has made things harder for the nation’s emerging legal cannabis industry for various reasons, not the least of which is the stigma that comes with trying to legalize a historically banned substance in a nation like Colombia, even though cannabis is obviously not cocaine.

Fortunately, a group of lawmakers in Colombia seems to be set on passing an adult-use legalization measure, and the legalization effort in Colombia is overcoming political hurdles as a result. The latest one occurred a handful of days ago, as initially reported by Marijuana Moment:

A bill to legalize marijuana in Colombia cleared another key hurdle on its path to enactment on Tuesday, advancing through a Chamber of Representatives committee that brings it more than halfway through the legislative process.

The legislation, which the Chamber and Senate reconciled to be identical in December after previously clearing each full body in differing forms, needs to go through eight total stops in the Colombian Congress over two consecutive years. Tuesday’s 26-6 vote by the First Committee of the Chamber marks the fifth stop, sending it to the floor for consideration before returning to the Senate for final votes.

The results of a poll released in September, conducted by Jaime Arteaga y Asociados in Colombia, found that:

  • 91% of survey participants that have used cannabis-based products would recommend it to other people
  • 37% of survey participants have frequented a store where medical and/or cosmetic cannabis products are sold
  • 63% of Colombians believe that ‘sales taxes on cannabis products would improve social investment’

The survey results provided a lot of insight into not only the level of support for Colombia’s emerging cannabis industry but also insight into consumer trends. For instance, the survey found that nearly half of the survey participants (46%) that reported consuming cannabis reported using it in topical form.

If/when Colombia legalizes cannabis for adult use, it’s likely that the types of cannabis products that people use will expand significantly as entrepreneurs work to supply the evolving demand.

colombia

australia flag

West Australian Parliamentary Report Recommends Cannabis Reform

Australia is one of the many countries where medical cannabis is technically legal, although, it’s also one of the many countries home to a restrictive medical cannabis program, which is unfortunate for suffering patients that live in Australia.

Medical cannabis was legalized nationwide in Australia in 2016, however, suffering patients can only legally obtain medical cannabis products via a prescription from a licensed doctor. Home cultivation is prohibited, even for licensed patients, and the type of medical cannabis products available in Australia is limited.

To make matters worse, intoxicated driving laws in Australia are such that most medical cannabis patients cannot legally operate a motor vehicle when completely sober due to having THC in their system. A new parliamentary report is recommending an overhaul of such cannabis policies. Per ABC News:

A West Australian parliamentary report has recommended the elimination of barriers to accessing medicinal cannabis, including letting people with a prescription drive a car while the drug is in their system.

The Select Committee on Cannabis and Hemp has made 16 recommendations to the state government, ranging from changing drug driving laws to doubling the amount doctors are allowed to prescribe to patients.

Legalise Cannabis Party member and committee chair Brain Walker said change was overdue and that WA Premier Mark McGowan should take action.

What Australia really needs to do is to legalize cannabis for adult use and launch regulated national sales, which is the only way to truly ensure safe access to cannabis for all adults that need it. According to a poll conducted in May 2022, 55% of Australians support regulating cannabis like alcohol.

Australia‘s Parliamentary Budget Office released a report earlier this year which estimated that legalizing cannabis for adult use and launching national adult-use sales would generate A$28 billion in tax revenue in the first decade.

australia

festival concert event venue

Ireland Labour Leader Calls For Legal Cannabis Sales At Festivals

Social cannabis use reform is in many ways the next frontier for activism efforts around the globe. In many jurisdictions cannabis possession, cultivation, and distribution laws still need to be fixed to be sure.

However, in a growing number of jurisdictions social use reform is either being explored as part of larger reform efforts, or in places where cannabis is already legal for at least possession and use, social use reform is being sought to improve current public policies.

One country that is in need of a massive cannabis policy overhaul is Ireland. Cannabis is currently illegal for adult use in Ireland, and the nation’s medical cannabis program is very limited in size and scope compared to medical programs found in many other countries.

At least one lawmaker in Ireland is calling for reform beyond simple legalization. If Labour leader Ivana Bacik has their way, cannabis will be legally bought and sold at festivals in addition to other reform components. Per the Irish Examiner:

The licenced sale of cannabis at Electric Picnic and other music festivals should be permitted as part of a “rational” approach to drugs, Labour party leader Ivana Bacik has said.

Calling for a “harm reduction based policy” on drugs, Ms Bacik has said politicians need to accept the reality that cannabis is now widely consumed as a recreational drug.

“There’s a clear momentum internationally to adopt a more rational harm reduction based policy on drugs.

At this juncture in time, it’s very unlikely that Ivana Bacik’s calls for social use reform will be adopted. After all, the nation is having a hard enough time just reforming cannabis laws in such a way that it keeps cannabis consumers and patients out of Ireland’s criminal justice system.

Yet, Ivana Bacik’s recent comments have sparked a conversation in Ireland about what a comprehensive cannabis public policy would involve. The main rallying cry of cannabis advocates in Europe right now is to improve public health outcomes via regulated sales, and sales at festivals and other events definitely seem to fit within that strategy.

ireland

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