Following the adoption of the CanG and the associated MedCanG Act, the German medical cannabis market is witnessing significant growth, with German medical cannabis sales expected to reach €420 million in 2024, rising to over €1 billion by 2028.
Prohibition Partners published The German Cannabis Report today. It is fuelled by several factors. One of them includes the removal cannabis from Germany’s list of narcotics. By doing so, it eases bottlenecks in its distribution, prescription, dispensing. It is this that has led to the increase in patients, prescriptions and medical cannabis operators.
The BfArM has also removed the process of tendering for the domestic cultivation of medical cannabis, which allows new growers to apply for licences to cultivate the plant in the country. This opens the market up to more competition.
An Increasing Patient Population
Germany allows doctors to prescribe medicinal cannabis in any situation they feel may help patients. Recent policy changes such as the removal of cannabis from narcotics lists are also expected to improve access for patients.
Volume of medical marijuana sold in pharmacies increased 30% between Q3 2023 and Q3 2020. After the April 2024 implementation of new cannabis laws, the number of patients increased further.
Payment Reimbursement
Germany’s statutory health insurers have established a reimbursement framework for medical marijuana treatments. As of 2023, this public support represented approximately half the market.
Germany’s Federal Joint Committee G-BA (Bundesamtliche Bundesausschuss) has approved proposals for streamlining the reimbursement process in July 2024. This will allow more patients to access medical cannabis as it becomes cheaper.
Domestic Cultivation & Imports
The removal of tenders has allowed the market for cultivation to be more competitive. It is likely that this will increase domestic production which, in turn, could reduce Germany’s dependency on imports. Following the CanG Act’s adoption, however, medical marijuana imports increased by 44%, with the Q2 2020 medical cannabis imports hitting an all-time high at 11,706 kilograms, up from 8,143 kilograms in Q1 2019.
Alex Khourdaji (senior analyst, Prohibition Partnerships and coauthor of the study) commented that “Germany’s marijuana market is at a crucial point at this time.” CanG Act created a number of transformational changes that have both opportunities for consumers and businesses. “The success of these reforms depends on continued adaptation and commitment to find a balance between economic growth, public health and social responsibility.”
Vladimir Kofcegarski is the Chief Sales Officer of PHCANN, one of its sponsors, and sponsoring the upcoming MEDCAN24 Executive Summit, which will be held in Berlin. He said that the recent German legislation marked a new era for the cannabis industry. The cannabis industry has a unique opportunity to drive innovation, growth in economics and responsible regulations. Germany is the leading de-stigmatisation force in Europe for the cannabis industry. We now have tools and a responsibility to create foundations and standards that foster sustainable practices.
Download the German Cannabis Report for free here. The report comes with a comprehensive German data set as well as a market analysis.