Germany’s burgeoning medical marijuana program will continue to rely on exported cannabis following a court decision to delay the country’s cultivation licensing process, the Financial Post reports.
The country was in the process of tendering 10 licenses to grow cannabis domestically, with a 6,600 kilogram supply agreement for the Federal Institute for Drugs and Medical Devices running from 2019 to 2022. Those licenses would have become the first to grow in Germany since the country passed one of the world’s most progressive medical marijuana programs in 2017.
That process is now in limbo after a Dusseldorf Higher Regional Court judge ordered a halt, arguing that it’s unfair and rushed.
“Initial domestic supply was slated for the start of next year; however, we now expect German production will be delayed by 6-12 months,” wrote Canaccord Genuity Corp. analyst Neil Maruoka in a note to clients.
The decision will greatly benefit businesses currently exporting cannabis products to Germany, many of which operate in Canada.
“It’s an odd situation. It’s a little unfortunate in terms of the German government’s plans,” said Cam Battley, chief corporate…