Germany Contemplates Cannabis Legalization Amid Mixed Responses

1.8 min readPublished On: October 20th, 2023By

BERLIN — The German federal parliament is set to weigh in on a pivotal cannabis reform bill, marking a potential tectonic shift in the nation’s stance on the plant. Championed by Chancellor Olaf Scholz, this proposed legislation could metamorphose Germany’s drug policy, wherein recreational cannabis is currently proscribed.

Central to this bill is the aspiration to legitimize regulated cannabis consumption for adults, with the spotlight on fostering judicious use. The legislation encompasses clauses for individual cultivation, community farming devoid of commercial intent, and methodical distribution via cultivation alliances. The amended proposal has been sculpted with caution, reflecting lessons learned from dialogues with the European Union.

This legislative drive is fueled by concerns surrounding the consumption of unregulated cannabis, fraught with unpredictable THC concentrations and possible contaminants. The envisaged regulations permit adults to hold up to 25 grams of cannabis and cultivate a maximum of three plants for personal indulgence, all while ensuring the youth remain shielded.

Cultivation groups would grapple with stringent guidelines, capping distributions at 25 grams daily or 50 grams monthly to members. These associations would be restricted to 500 German residents as members. For young adults between 18 to 21 years, the bill sets a lower possession threshold and a ceiling on THC content.

Prioritizing the well-being of the younger demographic, cannabis advertisements would be banned. Additionally, an instructive campaign, steered by the Federal Center for Health Education (BZgA), is planned to enlighten the masses on the ramifications and hazards associated with cannabis.

This legislative pivot has garnered keen attention from cannabis aficionados and emerging enterprises alike. Analysts anticipate this could invigorate Germany’s robust medical cannabis sector, projected to soar to €7.7 billion by 2028, as noted by Sifted. Following the 2017 legalization of medical marijuana, prominent cannabis tech startups in Germany like Cantourage, Sanity Group, Demecan, Bloomwell Group, and Cansativa (endorsed by Snoop Dogg) have witnessed a significant influx of investments.

However, this progressive blueprint has its detractors. The CDU/CSU, a formidable political entity in Germany, counters the legalization narrative, raising alarms about potential adverse outcomes, predominantly for those below 25 years. Notwithstanding these apprehensions, the federal government retains its optimism, highlighting the potential fiscal relief due to a decline in cannabis-related legal proceedings.

About the Author: HCN News Team

The News Team at Highly Capitalized are some of the most experienced writers in cannabis and psychedelics business & finance. We cover capital markets, finance, branding, marketing and everything important in between. Most of all, we follow the money.

Share This Story, Choose Your Platform!