Cannabis legalisation: what does it mean for Germany, and Europe?
It’s been described as “a historic moment”, and “a tremendous boost” for domestic producers – but will this month’s legalisation of cannabis in Germany live up to the hype? Making possession legal for over 18s is primarily intended to fix the ‘failed’ prohibition policy of previous years and “dry out the black market”.However, it may also have both positive and negative consequences for the German business world - potentially helping to supercharge the German medicinal and recreational cannabis industries, while giving employers the problem of ensuring that their staff who use cannabis are fit and safe to work. So, while Germany may have taken its first step towards making cannabis mainstream, it still faces an uncertain road ahead as the full effects of legalisation play out.
German cannabis legalisation: the story so far
On April 1, the German Cannabis Act brought in a number of significant reforms, including:
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legalising cannabis by removing it from Germany’s Narcotics Act
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permitting people over 18 to possess up to 25g of cannabis in public, and up to 50g at home
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allowing cannabis use in many public spaces – but not near schools or sports clubs
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authorising the cultivation of up to three cannabis plants per person at home
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enabling previous convictions for cannabis possession to be deleted.
The changes are the start of a so-called ‘two-pillar’ plan to introduce legalisation and – eventually - a state-controlled market in cannabis goods. After some political horse-trading, the remaining half of the first pillar was slightly delayed, but is expected to take effect on July 1, when:
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not-for-profit ‘cannabis clubs’ of up to 500 members each will become legal
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individual members may obtain up to 50g of cannabis each from their clubs per month
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authorising the cultivation of up to three cannabis plants per person at home
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members aged 18-21 will be limited 30g per month, with a maximum THC content of 10%
The ‘second pillar’ of Germany’s cannabis revolution
The ‘second pillar’ of legalisation is expected to consist of five-year regional pilot projects - where the “controlled sale” of recreational cannabis sourced from commercial suppliers is permitted, and its impact on public health is assessed. The current German government – a ‘traffic light’ coalition named after the colours of the social democratic, liberal and green parties that make it up – had intended to allow licensed shops and pharmacies to sell cannabis, but opted instead for pilot projects because of European Union (EU) concerns about a potential surge in drugs coming from Germany. At present, there is considerable uncertainty about how and when the ‘second pillar’ pilots will operate, with no details or dates yet forthcoming from Berlin. For example, although the German Medical Association has previously recommended an upper THC limit of 10-15% on health grounds, there is no clear indication of what ceiling – if any – the government will seek to impose on products intended for over-21s. As the European politics website Politico notes, “there is still work to be done to bring the (second pillar of the) law into effect.”
Cannabis legalisation means both opportunities and problems for German industry
Although Germany becoming just the second G7 country to legalise cannabis is hugely symbolic, its greatest impact could yet be felt more practically, on the national economy. According to the industry group International Cannabis Business Conference, legalisation in Germany is “the most significant national policy change of its type since the start of global cannabis prohibition many decades ago.” With a population of around 84 million, the market for recreational and medicinal cannabis products in Germany is potentially more than 80 times that of Luxembourg and Malta, the only other EU countries to legalise cannabis to date. A study from the University of Düsseldorf estimates that cannabis legalisation could raise an extra €3.4 billion for the German government in sales and other taxes, as well as another €1.4 billion in savings on police and court costs.
Germany is already one of Europe’s largest markets for medical cannabis, but legalisation could “provide a tremendous boost to the domestic medical industry” – not least because patients and doctors will find it much easier to obtain and/or provide cannabis on prescription. The legalisation process may also trigger technical licensing changes that help German-based medical cannabis producers to compete better on price with imported products, and also aid academic research by lowering bureaucratic barriers to conducting studies in Germany. This in turn might mean more local scientific institutions securing national and EU funding for research projects.
Germany’s actions have also captured the imagination of cannabis producers across the Atlantic, who are ready to enter any future commercial market that develops in the country. “It opens up a really exciting possibility for us,” said a spokesperson for Canadian cannabis company High Tide, which has already partnered with the Berlin cannabinoids firm Sanity Group in preparation for legalisation.
However, while certain sectors look set to benefit from legalisation, it could also place an additional burden on industry in general, as any increase in the use of cannabis makes it more likely that workers may turn up to work intoxicated by the drug. In the US, the semi-legalised cannabis market exists alongside a culture where workplace drug testing is mandatory for many government employees, and major employers such as Amazon conduct on-the-job impairment checks. In the public sphere, meanwhile, the global increase in fatal road traffic collisions related to non-alcohol drugs like cannabis has also led to governments from weed-friendly Ottawa to prohibitionist Hong Kong investing in rapid saliva testing kits that can be used at the roadside – known in some quarters as ‘drugalysers’.
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LGC Standards – giving you the cannabis testing tools you need
As the results of saliva tests may be used as evidence in disciplinary matters or legal proceedings, it’s vital that laboratories have confidence in their results for this drug testing method. Analytical laboratories therefore need to invest in good quality reference materials in order to minimise the possibility of an incorrect result. In this case, a synthetic saliva matrix is preferable to a biological one – which is why LGC Standards has developed three new ISO-17034 narcotics reference materials mixtures in a synthetic oral fluid matrix, with 10 target analytes including delta 9-THC, as well as 6-acetylmorphine, amphetamine, cocaine and MDMA.
Our Lipomed and Logical ranges also provide a large number of single solution Certified Reference Materials and neat products suitable for toxicological analysis. Meanwhile, our TRC portfolio features more than 300 compounds to support cannabis research, and LGC AXIO Proficiency testing offers laboratories 20 dedicated cannabinoid PT samples.
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Will cannabis legalisation spread beyond Germany?
The EU’s largest economy committing to cannabis legalisation “is also a significant moment for Europe”, and could potentially lead to the drug becoming acceptable beyond Germany’s borders. Pilot projects similar to those envisaged under Germany’s second pillar are already running in Switzerland and the Netherlands, but the German trials would be “on a significantly larger scale”. Although the government’s original plan for a US-style system of regulated cannabis stores was dropped because of EU rules prohibiting cannabis supply, Germany could in future use legalisation “to start a debate within the EU aimed at reconsidering certain laws to permit the sale of recreational cannabis products.” On the other hand, there remains considerable argument within Germany itself about whether legalisation is here for the long term. As the BBC notes: “(Germany’s) opposition conservatives say that if they get into government next year, they will scrap the law entirely”, meaning that “Germany is unlikely to become Europe's new Amsterdam anytime soon.”
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