These Sectors Of Germany’s Cannabis Industry Will Thrive Under Phase 1 Of Legalization
Germany’s long-awaited legalization plan was announced earlier this month, with multiple federal ministers participating in a widely viewed press conference.
“In a first step, cultivation in non-profit associations and private cultivation should be made possible nationwide.” Government officials stated in a press release after the historic press conference.
According to details offered up during the press conference, Germany will institute a possession limit of up to 25 grams of cannabis and a cultivation limit of a maximum of three plants as part of the first phase of national legalization. The legal age will be set at 18.
The other key component of the legalization plan’s first phase, which will serve as the foundation for adult-use cannabis access for many consumers in Germany, will be noncommercial associations or clubs. Membership will be capped at 500 consumers per club.
“Membership fees cover the cost price, staggered according to the quantity supplied (possibly with a basic flat rate and an additional amount per gram supplied). The number of members per association is limited to a maximum of 500 with a minimum age of 18 years and domicile or habitual abode in Germany. The number of associations can be limited by population density.” Germany’s government press release stated.
The personal freedoms afforded to consumers under the first phase of Germany’s legalization plan will create various opportunities for entrepreneurs. Below are some noteworthy examples.
Consumption Devices
When it comes to cannabis consumption technology, Germany is second to none. After all, the European nation is the birthplace of the Volcano by Storz & Bickel, which remains the best cannabis flower vaporizer on the market despite so many other consumption gadgets entering the space since the Volcano’s introduction in 2000.
New cannabis freedoms for consumers and the rise of cannabis clubs in Germany will surely be met with innovations in cannabis consumption technology. As one of the many people out there that operates a cannabis consumption gadget review channel, my eyes are glued on Germany to see what inventions inevitably debut in the nation’s cannabis clubs.
Home Cultivation Equipment
Every adult household in Germany will be permitted to cultivate up to three plants according to the provisions contained in the recently unveiled legalization plan. It’s a very safe bet that there will be a huge boost in domestic personal cultivation soon in Germany. That, in turn, will create enormous opportunities for home cultivation equipment companies.
Smaller scale equipment such as cultivation tents, ventilation, energy-efficient LED lighting, nutrients, grow mediums, and odor control are just a handful of examples of cultivation products that will be in demand during phase 1 of German legalization. Larger-scale equipment will also experience a spike in demand once cultivation clubs start launching.
Educational Services
Anyone that follows internet search trends knows that leading up to cannabis legalization, and well beyond legalization, consumers look for cannabis information at an increasing rate. Long-time cannabis consumers are less likely to seek out educational resources, however, they only represent one part of Germany’s consumer base. Adults that are new to cannabis, or coming back after a long break, will want to learn the best ways to consume and cultivate cannabis, and that creates tremendous opportunities for cannabis educators.
‘Cannabis Light’
Germany, like most European countries, has a lot of demand within its borders for ‘cannabis light.’ The low-THC variety of cannabis products may not be the product of choice for every cannabis consumer in Germany, however, it’s an option that is already widely available to consumers.
Germany is in the process of shoring up regulations surrounding industrial hemp and products derived from it, which will hopefully provide some certainty to Germany’s low-THC industry. With adult-use commerce likely to come farther down the road compared to what presumably will be a much faster process for legalizing personal possession, cannabis light will be a popular option for some consumers.
Clubs Beyond Cannabis Sales
While we now know various details about what noncommercial cannabis clubs will eventually look like in Germany, there are still many components and regulations that are being worked out. With that in mind, this section is admittedly based on personal conjecture. However, I assume that noncommercial cannabis clubs will be able to sell other things beyond just cannabis itself, and owning a very popular cannabis club creates significant ancillary profit potential.
Food, beverages, merchandise, and a whole host of other things will be in high demand at cannabis clubs in Germany, no pun intended. Crafty entrepreneurs that can create an environment and experience that resonates with cannabis consumers in Germany can reap considerable financial rewards even if they never make a dime on cannabis sales.
Tourism
Cannabis-based tourism is going to increase in Germany during Phase 1, even if Phase 1 does not involve national sales to all adults. The tourism sector of the cannabis industry is made up of some of the most innovative entrepreneurs on earth, and no one should be shocked by some of the concepts that will inevitably pop up in Germany. Tours and museums are just a couple of the cannabis tourism ideas that are already popular in other legal jurisdictions.
Industry Service Providers
If you are familiar with the gold rush period in the United States many years ago, then you likely know that the people that made the most consistent money were those that sold axes, shovels, and other goods to gold miners, not the gold miners themselves per se. To some degree, the same could be true in Germany when it comes to industry service providers. Industry software, packaging, and other services will be in demand during phase 1, and entrepreneurs that can supply the demand will be financially rewarded.
Research and Consulting
Entrepreneurs and investors are already flocking to Germany to try to be strategically placed to take full advantage of the upcoming reforms, and many of them need consulting services. Additionally, there will be a huge spike in cannabis-based research in Germany with researchers exploring any and all things related to cannabis, including social science-based research. Both areas of the cannabis space possess significant potential for individuals with the right backgrounds and skill sets.
Culture-Based Brands
Cannabis culture is far from being a new thing, and while it may not look like it did decades ago, cannabis culture still creates huge opportunities for entrepreneurs. Clothing, gear cases, and media outlets are just a few examples of culture-based brand opportunities that already exist in Germany and those opportunities will only become more plentiful going forward.
Learn More in Berlin in June
Every one of the previously mentioned areas of Germany’s emerging cannabis industry will be discussed at the upcoming International Cannabis Business Conference in Berlin, which will be held on June 29-30 at the Iconic Estrel Berlin Hotel. Cannabis leaders from over 80 countries will be in attendance and with so much going on in Germany right now, the conference is a must-attend for anyone who is serious about succeeding in Germany’s industry, as well as those wishing to succeed at the continental and international levels. Purchase your tickets today before the event sells out!
