An agreement to legalize cannabis for adult use was recently reached by members of the incoming governing coalition in Germany. The coalition working group on health and care wants to allow licensed shops to distribute cannabis for adult use, which will ensure minors are protected and allow for the quality of cannabis to be controlled. The coalition is reportedly going to introduce the new cannabis measure at the upcoming session.

Germany would be the third country in the world to comprehensively legalize cannabis for adult use. Uruguay was the first country in the world to legalize and Canada was the second, but the first G-7 nation. Although these countries legalizing cannabis was significant, the global impact will seem minor compared to the expected effect of legalization in Germany.

Germany will have more of an impact because it has the fourth largest economy in the world, a population of approximately 83 million people, and has political influence, not just in Europe but around the world. If Germany becomes the first country in Europe to comprehensively legalize cannabis for adult use, it is expected to lead to significant revenues, job growth and other economic benefits.

A recent survey revealed that the legalization of cannabis could lead to tax revenues and cost savings of approximately $4.7 billion euros in Germany, while also creating 27,000 new jobs.[1] Additionally, the survey estimated that Germany will save around $1.3 billion euros in the judicial system and police service once cannabis is legalized.[2]

The cannabis community is eagerly waiting as legalization in Germany now seems imminent. Although it has not been made into law yet, Germany becoming the third country to comprehensively legalize cannabis for adult use could create a ripple effect in Europe and around the world.

The writer gratefully acknowledges the efforts of Laura Wynnyk in the publication of this article.

[1] “Pot of gold? Cannabis could bring Germany $5 billion a year - survey” (16 November 2021) online: Reuters <www.reuters.com>.

[2] Ibid.