NEWS FROM AROUND THE GLOBE BROUGHT TO YOU BY THE ICBC

Author: Marguerite Arnold

argentina flag

Argentina Legalizes Medical Cannabis And Hemp To Revive Economy

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?

argentina

berlin germany flag

The Top 20 Cannabis Firms In Germany In 2022

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.

Germany

luxembourg

Cannabis Legalization Plans Emerging in Luxembourg

Luxembourg will unveil the final legislation soon, but the details are now emerging

It has been in the works for the last four years ever since the new government promised that it would progress with cannabis legalization before 2023. Now the details are emerging – both through leaks and now from the government itself. The final draft bill will be made public sometime in June.

According to Minister of Justice Sam Tanson, the bill will allow Luxembourgian residents to grow four plants at home. Beyond this, possession of fewer than three grams of cannabis will be decriminalized.

Trade in cannabis seeds will be allowed, nationwide, because it will make no sense to criminalize seed sales when people are allowed to grow their own.

The announcement noted that it is now easier for Luxembourg to stake its position on this as Germany is also moving forward on adult-use reform. That said, there seems to be no formal cooperation or communication between the two governments on coordinating plans or even advising each other. Apparently, plans for commercial cultivation and sales were dropped in Luxembourg at least because of the prevailing international regulations about cannabis.

Expect, as a result of Germany’s forward movement, for the Luxembourgian government to also expand such rights domestically.

In the meantime, Luxembourg will (at least) match Malta in allowing home grow.

The Impact of German Legalization

As widely anticipated, other countries in Europe are watching – and waiting – for Germany’s stake in the ground on the legalization question.

That legislation is also expected to be drafted and made public sometime this summer – to allow the Bundestag to debate and then pass it by the end of the year. If the Health Minister fails in this task, he will lose his PR budget – so it is unlikely that there will be a significant delay on the German side of the border.

Because the German discussion is absolutely about the commercialization of the recreational side of the industry, which will undoubtedly grow on the basic infrastructure established by the medical cannabis cultivation bid, it is also likely that other countries, starting with Luxembourg and Malta, if not Portugal beyond this, will almost certainly issue similar kinds of regulations.

Given the fact that Covid is receding, governments are running out of time and excuses in tackling this discussion. How quickly such legislation will not only be passed but allow a fully functional market is another question.

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court decision hearing gavel

Will Suing Governments For Cannabis Legalization Work In Europe?

Large, multi-state operators in the US are teaming up to sue the federal government over reform. Will the same strategy work in Europe?

Several large U.S. companies are teaming up to sue the U.S. federal government over what they claim are unconstitutional limits on their commercial operations across the US. One of the suits will focus on the federal government’s prevention of intrastate commerce. Another will challenge the 280E tax provision blocking the industry from taking tax deductions for state taxes from their federal returns.

The approach is certainly a novel one in the history of cannabis reform.

The question is, could such a tactic work in Europe, and at what level?

Lawsuits Move Policy – But Only So Far

In Europe, legal challenges have already begun to move policy – and on both a country and EU level – but it has been unpredictable so far.

For example, in Germany, a patient legal action directly led to national medical reform in 2017. A current lawsuit hopes to do the same to determine, finally, the legal status of hemp. Recreational legislation may settle this out of court, but lawsuits clearly help to focus legislative attention right now on this issue.

Beyond this, at the EU level, the decision to normalize CBD – namely to redefine it as a non-narcotic substance – went through the court system, rather than being decided initially as policy in a national legislature.

A French case on imported CBD vapes also helped set policy at the EU level about the cross-border trade in CBD.

That said, the European Court of Justice refused to accept the case of Albert Tio in Spain, who was criminally charged and convicted for being a central part of the club movement, presumably because of its implications for recreational reform.

What Happens When Germany Legalizes?

There is clearly a place for such lawsuits after Germany legalizes recreational use. This development will absolutely drive policy across the EU – as Luxembourg has already noted. But when will this translate into similar kinds of lawsuits?

For now, it is too early to tell what might land first. However, with several countries in the EU on the brink of legalizing recreational use, even of the home grow kind, and both Germany and Switzerland in a trade alliance that goes beyond the EU, there is certainly a window of opportunity for legal challenges of this ilk, starting with the free movement of goods.

A non-pharmaceutical provider in Holland, for example, might be able to sue to gain access to the German market. So might a Swiss company. Beyond this, growers in countries like Portugal, Spain and Greece might be able to try to litigate market access for their high THC product, even if of pharmaceutical quality.

Market access is a powerful incentive for change. This in turn is also likely to instigate litigation to allow trade in the first place.

Europe

cannabis leaf

Luxembourg’s Home Grow Legislation In Progress

The long-delayed legislation appears to be moving – perhaps in response to the dramatic announcement that the German government will legalize recreational use this year

During a Parliamentary “Question Time” last week, a Pirate Party representative, Sven Clement asked about the status of legalization of cannabis.

He was informed by Justice Minister Sam Tanson that work on this bill has been delayed due to the involvement of several ministries in the process. This includes the Ministry of Health whose priorities for the last two years have been the pandemic.

The good news? The first step – the long-delayed legislation permitting the cultivation of up to four plants at home, is about to be submitted to the Governing Council (consisting of the Prime Minister and a number of Ministers – similar to a British or American cabinet).

Luxembourg Cannot Ignore Its Neighbour – Much Less Its Electoral Promise

It was almost inevitable that Luxembourg would accelerate its long-promised and now delayed legalization plans after Germany announced that it would pass legislation authorizing a recreational cannabis market by the end of this year.

Apart from geographical proximity, Luxembourg has been poised at this point for the last several years – since the new government came to power in 2018. The ruling coalition however has never issued any more of a timetable than sometime before 2023.

Given, however, that the pandemic is receding, and cannabis reform has clearly continued to progress across the region (see Switzerland) there was little chance that the Luxembourgian government could fence sit indefinitely.

The Importance of Luxembourg on German Reform – And Vice Versa

Both countries seem, at this point, to be influencing each other. The new schedule in Luxembourg is undoubtedly being influenced by the recent German announcement. Luxembourg previously announced that its first foray into the entire discussion would be home grow. This in turn, however, has clearly ensured that home grow would also be on the menu on the German side of the border.

Home grow is going to be a tricky discussion just about everywhere. Namely, how will it be regulated, will patients be allowed a higher plant count than others, and will patient non-profits now be allowed to operate, serving multiple patients?

There is no way to determine these details yet. But they are clearly on the drawing board.

In the meantime, it is clear that Luxembourg is moving ahead on reform actively now. This means that by 2023, four European countries including not only Switzerland, but Malta, Germany and now Luxembourg, will have moved into the federal legalization camp.

luxembourg

australia

Legalize Cannabis Australia Party Obtains Record Results In Queensland Elections

The single-issue party is poised to gain its first senate seat in Queensland. Is recreational reform on the cards nationally?

Elections in Australia’s third most populous state, accounting for 22% of its landmass, may indicate which way the tide is running when it comes to legalization Down Under. Legalise Cannabis Australia is now running 7th in a six-seat senate race according to Australia’s ABC News.

According to The Guardian, the party has also done well nationally – picking up between 2 and 7% of the vote in most states.

This year, they have also received a record number of votes.

With 34% of the votes now counted, LCA has so far received 74,972 votes – an increase of 5% of the votes they received in 2019. Regardless of whether they win one of the seats, they will get government funding for exceeding 4% of the votes in Queensland.

Party president Michael Balderstone is a long-time advocate. He has been involved with the party since its founding in the 1990s – in New South Wales.

Pain Relief & Cost of Cannabis Are Pillar of Campaign

One of the main planks of the party is the efficacy of the drug – and the still prohibitive cost of the same for patients. They are advocating for patient home grow.

There have been 130,000 applications for medical cannabis in Queensland. More than double any other state. One of the reasons for this is that this is a popular state for retirees.

And despite the criticism that the increased vote for the party is just a protest vote, one thing is clear. Cannabis legalization is not static in Australia.

Home Grow – The Revolution

As more and more countries recognize the medical efficacy of cannabis, there is a decided trend toward home grow – even as the first step to legalization. This trend is being seen very clearly in Europe right now. Malta and shortly, Luxembourg will allow home grow. Germany is now probably going to include the same in its recreational plans to be announced by this summer.

There is an obvious logic to this. Medical cannabis is still far too expensive for most patients – no matter who pays for it. Allowing home grow will do two things. It will allow patients to offset the costs of their medicine. And it will spare governments the cost of covering it.

Regulating that infrastructure, however, may prove to be tricky. In Canada, where patient collectives created the basis for the legal recreational market, there is a perennial debate about reigning this in because of its impact on recreational sales.

Regardless, the genie is out of the bottle. And that revolution is now clearly global.

australia

italy flag

Italian Ministry Of Défense Publishes Pre-Bid Call For New Cannabis Cultivation Companies

The Ministry is trying to identify qualified cultivators to cultivate in Florence

The Ministry of Defense has just published an “expression of interest” to identify companies that are able and qualified to grow medical cannabis plants. The call was designed to increase production for domestic use with the aim of achieving self-sufficiency from a medical perspective.

A technical department has been set up to begin this definitive start to call for new tenders for medical cultivation. The direct link can be found here.

Qualifications are broken into four sections – with the first qualification being GMP certification.

  • Qualitative selection of candidates
  • Technical inspection
  • Confirmation of expression of interest
  • Invitations to apply (which is restricted)

Both existing farms and freelancers registered with the Chamber of Commerce, or the competent professional associations will be considered, providing that they have the right experience as well as an in-depth understanding of the current legislation. A valid insurance policy of at least 10 million euros will also be required.

The due date is June 27.

The Domestic Security Argument

The Italian decision to increase the domestic production of cannabis (by highly limited tender bid) certainly comes at an interesting time, particularly given pending recreational reform just across the border with Germany. While ostensibly just for domestic consumption, it is unclear if Italy wants to also position itself as a major exporter as other markets come online – particularly those like Luxembourg where for now, the only cannabis cultivation that is going to be allowed in the short term is home grow.

Beyond this, the moves seem to be the first in Europe where authorities consider cannabis so valuable that they are specifically setting up cultivation to meet so far unmet domestic supply – and further as a self-identity national security issue.

Just across the border in Germany, the three cultivators who won the first bid were deliberately instructed to grow far less than would be obviously needed. This is why the ex-im market aus Deutschland is so dynamic, not to mention important.

That said, this may mark a turning point for the discussion, not just in Italy, but across Europe. Supply chain security for both food and medicine has become a much hotter topic post Pandemic, with convoluted supply chains and a re-examination of national policies in shoring up as much domestic production as possible.

It is also, of course, a tacit admission of the huge job creation potential of the sector.

The Italians, in other words, are not just releasing a domestic agricultural tender. They might well be on the edge of a coming, new, and much overdue green flood that seems poised to take over Europe.

italy

rio de janeiro brazil

Brazilian Medical Cannabis Consumption Increases 110% In One Year

Consumption of medical cannabis products in Brazil increased by 110% in 2021 from 2020 according to study by BRCANN, the Brazilian Association of the Cannabinoid Industry

Brazil is moving rapidly into the global cannabis arena. Currently, the country imports 18 cannabinoid drugs. Beyond this, last year, 40,191 people filed permits to individually import cannabinoids for personal, medical use. The year before, only 19,150 applications were filed. And between 2015 and 2021, a total of 75,203 applications were granted.

Brazil is not so quietly now grappling with where to go with cannabis reform, even as medical use soars in the country.

The current president, Jair Bolsonaro, is vigorously and vocally against any kind of cannabis reform. However, he is being challenged on this stance, both by the populace itself and now by candidates challenging him in this year’s presidential race.

Given the changing climate, whoever wins will almost certainly be dealing with the issue of domestic cultivation and processing. Currently, there are only a few projects authorized to cultivate medical cannabis, and most of this is for research purposes.

This will probably start to change, particularly as it is much cheaper to cultivate cannabis domestically than to import it. Especially in a country like Brazil.

Questions About Sustainability

Brazil has a climate well suited to the cultivation of cannabis. However, there are a few looming problems in the entire legalization discussion.

The first is sustainability. Brazil is already facing record levels of deforestation. The outdoor cultivation of cannabis would, in all reality, increase the pace of the same unless effective regulation of the industry takes place. How likely that is in the current environment is debateable.

One of the primary causes of deforestation is the use of fragile rainforest land to cultivate illicit crops including drugs.

It is also highly unlikely that cultivation would occur only for domestic use.

A Latin American Revolution

Brazil may be one of the larger Latin American countries to consider cannabis reform, but it is far from the only one. That is what makes reform here inevitable, beyond the use of the drug for medical purposes by citizens.

That is also why the industry must be carefully planned and thought out.

An effective domestic program would have to create jobs and incentivize people not to grow crops on fragile land.

For this very reason, reform in this part of the world may have a much wider impact on the rest of the industry, which is struggling everywhere, with both costs and sustainability issues, starting with the cost of electricity.

But make no mistake about it. Reform is coming to Latin America and Brazil is just moving with the herd.

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cannabis plant

Thailand To Give Away 1 Million Cannabis Plants

The government will distribute 1 million free (low THC) cannabis plants to households across the country to mark a new rule allowing home grow

In a post that went instantly viral, Thailand’s Health Minister Anutin Charnvirakul just announced, via Facebook, that he was going to give away 1 million cannabis plants this summer. His goal? To encourage the plant to be grown in every household. About a third of the population works in agricultural jobs.

The giveaway will occur in June, after the new Thai rule allowing home grow comes into effect.

However, this is not a huge free-for-all. Citizens will be allowed to grow cannabis at home for medical purposes only, and even then, not until after notifying local authorities. However, cultivators will not be allowed to enter into commercial dealings with the plants without being specifically licensed to do so. They will also not be able to consume anything they grow at home with a THC level higher than 0.2%

How the government will be able to control such regulations domestically is also unclear.

The move comes as Thailand positions itself, globally, as a source of legal cannabis. It remains the only country in Southeast Asia to do so. Indeed, since 2018, the country has gradually loosened restrictions around CBD and hemp. As of this February, the country removed both cannabis and hemp from the national narcotics list. Cannabis is still technically illegal for recreational use although it essentially has just been decriminalized.

The plants given away by the government will also have less than 0.2% THC in them.

The Great Asian Hemp Revolution

China takes the prize for largest hemp producer in the world – although it is still illegal, with harsh penalties including jail time, to even possess hemp seeds. Thailand is clearly challenging this kind of policy in the region – although it may take some time for their Chinese neighbour to get inspired to come along for the ride.

Regardless, the steady progress towards legalization in Thailand is bound to make an impact – and not just domestically. The entire world is now watching the progress of reform in different countries, and there are few places where the debate is not progressing.

Thailand, however, because of its history with the plant, let alone the recent move to normalize its production, is likely to lead the way in this part of the world.

And in the meantime? Its citizens are going to be very familiar with how to grow the cannabis plant – no matter the percentage of THC found in it.

Here’s hoping other governments – starting in Europe – start thinking this way.

Thailand

london taxi england united kingdom britain

London Mayor Appoints Drug Commissioner To Explore Cannabis Legalization

Sadiq Khan appoints a former member of Tony Blair’s cabinet and current Labour shadow cabinet member to examine decriminalization

Sadiq Khan has been on at least a cannabis decriminalization kick for the past couple of years. He announced last year in April that he wanted to set up a commission to examine the impact of at least cannabis decriminalization. In January, he announced that he wanted to set up a decriminalization scheme in three London boroughs. This month, after visiting a cannabis plant in Los Angeles, he is moving forward with setting up his commission.

While City Hall in London does not have the power to change criminal law on a federal basis in the UK, it can certainly influence the debate.

Khan is particularly interested in two issues – producing income in the form of taxes for the state – and reducing cannabis-related arrests. Arrests for cannabis dropped by 56% after California legalized the cultivation, production, and sale of the plant.

Could The UK Follow Switzerland and Germany?

Khan’s commission will take another year to study the issue – in part by conducting a global survey on the health impacts of decriminalizing the plant.

In the meantime, however, both Germany and Switzerland will be moving towards a full-blown recreational market. In Switzerland, it is clear that the first step will be a highly limited, canton-by-canton trial that must first gain the approval of the federal government. In Germany, the indications are that the government will launch a fully functional market immediately.

By next year, when Khan’s commission reports back, there will, in fact, be (at least) four recreational markets in Europe (counting Malta) and potentially five if Luxembourg also takes the opportunity of the changing environment to release their plans. Holland’s national plan will kick in as of next year.

This is powerful evidence indeed – beyond of course the history of both Canada and the legalizing U.S. states.

The UK’s CBD Market May Also Provide a Model

The UK has actually moved ahead of many European states (including Germany) by allowing several thousand pre-approved CBD products onto the market. This government-sanctioned commercialization of the CBD industry could also lead the UK to move forward with full legalization, particularly if other countries in Europe are also moving forward on legalizing recreational use.

However, no matter what happens, there will still be a period of consideration – no matter what Khan and his commission come back with. And in the meantime, the UK will watch several markets in Europe begin to establish themselves, and potentially the US as well.

One thing is for sure. The British are not leading this one.

london

sydney australia

Australia Has Issues A Quarter Million Cannabis Prescriptions Since 2016

Medical cannabis is increasingly prescribed for a multitude of conditions. Where does this indicate that the market ‘down under’ is headed?

According to researchers from the University of Sydney at the Lambert Initiative for Cannabinoid Therapeutics, anxiety, chronic pain and sleep disorders are the top three reasons that Australians seek a cannabis prescription. This is despite the limited number of trials supporting its use for either anxiety or sleep disorders.

Prescriptions have also increased dramatically over the last two years – although researchers were unable to determine if the rise in such requests was due to the Pandemic. Another unexplained trend revealed by the data set that has been gathered since the beginning of medical reform showed that Queensland prescribers represented over half of the prescriptions written nationally.

How Does This Compare with Germany?

Australia is perhaps the closest “Western” country to Germany in terms of timing and approach to initializing the legal cannabis market. Both countries approved medical use on a federal level about the same time (within a year of each other). And while Germany’s total number of prescriptions outnumbers the Australian total so far, they are certainly comparable.

The difference between the two countries, however, is that Germany is now moving solidly towards a recreational market. Australia seems mired in indecision.

When Will It Get Dank Down Under?

In Europe, there is now a pressing regional political issue to deal with. Namely, there is no way that Germany can sit the recreational reform question out with countries all around it (and in two cases bordering it) now proceeding with federally regulated recreational cannabis markets. Australia is a bit isolated in this regard, although it is, as a country, clearly following the global trend.

Australian producers are also trying to export to Germany (as well as eastern Europe).

The latest poll numbers show that Australians are currently split, 50-50 on whether the country should proceed with a recreational market. That has moved fairly dramatically in the last several years.

For this very reason, it is also highly likely that, at a bare minimum, the initiation of a recreational market in Germany might tip the scales. Everyone right now is looking for a new industry or line of revenue post Covid.

And then of course there is the ability to export to a fully recreational market or two in Europe.

Given all the possibilities now at stake, it is very likely that Australia will be one of the next major western economies to make the switch. Even if so far unannounced.

australia

switzerland flag

Swiss City Seeks 1,000 Volunteers For Recreational Cannabis Trial

The city, set to be the second after Basel, is gearing up for its pilot trial now on track for this autumn

Calling cannabis users in Lausanne! The government wants you for its first recreational cannabis trial.

A first in French-speaking Switzerland, the southern city will sell cannabis via a non-profit association located in the city centre. Called Cann-L, the project is currently being finalized and will require approval by the cantonal ethics commission.

The signup process is also not complete, but users can pre-register via an online signup form that asks the prerequisite questions. Eligibility includes being over the age of 18, that you live in Lausanne, and whether (and how often) you consume cannabis or cannabis products containing more than 1% THC. The organizers also want to know if you are breastfeeding.

Final selection will happen this fall, as the city launches the trial.

The Swiss Move Ahead – With Germany Close Behind

The Swiss will have five city trials underway before the end of the year. Other cities also moving towards launch this year include Basel, which just announced its own plans, as well as Zurich, Bern, and Geneva.

The impact of the national trial will be interesting to watch as it will be taking place in parallel to the launch of Germany’s new market – now expected to be authorized by the end of 2022 with implementation presumably within the next 18-24 months.

Given the fact that sources are confirming that the German government will set up a for-profit industry from the beginning, and even authorize special dispensaries for the same, the comparison between the two markets will be interesting to watch.

It is unlikely, however, that the German government will just pass legislation allowing limited trials. Statements coming out of Berlin over the last several weeks suggest that the Germans will go whole hog.

How this will impact the Swiss trials is another question – particularly as the participant numbers for Basel and Lausanne are low (only 1,400 participants between them).

Beyond this, of course, with an open border, it is not inconceivable that German products may start to end up in Switzerland. Legally or illegally.

As a result, it may be that the German decision to create a recreational market will completely overwhelm what appears to be a more measured, and limited progression of the issue in Switzerland.

One thing is for sure. Reform has come to the EU and the DACH region of the world. And may, beyond anything else, also finally flip Austria into the rec column too. Not to mention other countries now on the edge of recreational reform like Portugal.

It is going to be a fascinating 24 months in Europe for sure!

Switzerland

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