Could Germany’s impending cannabis legalization prop up Canada’s flagging producers?
Legislation could ban Germany from importing Canadian-grown cannabis, fundraising remains a challenge for Canadian producers and legalization could still be years away
Sunday, September 18, 2022
First-mover advantage: It’s a phrase long used by Canadian cannabis companies that have spent billions of dollars to accelerate their international sprawl since legalization in 2018. But as Germany moves to open its adult-use market, it remains unclear to what degree Canada’s early start will help its companies succeed abroad. While medical cannabis has been legal since 2017, Germany would be the first country in the European Union to legalize the drug for recreational use. As Europe’s largest economy with nearly double Canada’s population, Germany’s recreational market is expected to quickly outpace domestic demand. With the prospect of a new cash source in grasp, Canadian companies are jostling to position themselves to capitalize on the new opportunity.
