Germany votes to legalize recreational cannabis possession, distribution framework needed

The country's lawmakers voted 407 to 226 in favour of the new legislation

Rowan Dunne· Feb 23, 2024
Germany legalizes recreational cannabis, aims to crack down on black market
The Reichstag. Photo credit: S. Neumann, German Bundestag

In a historic move, Germany’s chief legislative body has decided to legalize personal use of recreational cannabis. The country has an estimated 4.5 million users.

The law passed by Chancellor Olaf Scholz’s coalition will enable citizens over 18 years of age to possess up to 25 grams in public spaces and cultivate up to three plants. Lawmakers in the Bundestag voted 407 to 226 in favour of the new legislation, which is set to come into effect in April.

Despite the immense significance of the vote, the law will still need to pass through discussions in the nation’s Bundesrat or upper house of government.

The law’s authorization is not dependent on approval from the Bundesrat. But, if more than two-thirds of the members object, its implementation could be delayed for further negotiation. The nation’s Social Democratic Party explained this in a statement sent to EuroNews.

Germany has now become the third country in Europe to permit adult-use pot after Malta and Luxembourg. However, the new legal measure doesn’t implement any sort of distribution or retail sales framework.

“We have two goals: to crack down on the black market and improve protection of children and young people,” German Health Minister Karl Lauterbach said. He emphasized the importance of not letting tainted cannabis get into the hands of youth.

Read more: Canada creates Cannabis Industry Forum to address challenges in the sector

Read more: High Tide expands its influence into the Manitoba cannabis market

Groundwork laid for cannabis ‘social clubs’

If all goes according to plan, German citizens will be able to purchase cannabis from designated community social clubs as of Jul. 1. The next step for the country’s government will be to focus on distribution infrastructure.

The move received praise from Canada’s High Tide Inc. (Nasdaq: HITI) (TSX-V: HITI). The company has been closely monitoring the legal developments related to cannabis in the country. It aims to become a significant player in Germany’s domestic market.

“The passage of this bill is a historic moment as it makes Germany the second G7 country to legalize the consumption and private cultivation of cannabis for recreational purposes by adults,” High Tide CEO Raj Grover said.

“It sets the stage for the government to move forward with the second pillar of its plan, which aims to set up regional adult use pilot projects focused on cannabis specialty shops.”

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