Germany’s medical cannabis extract market is maturing, attracting overseas interest

Bethan Rose Jenkins, Cannabis News Writer/Editorial

The medical cannabis extract market in Germany has grown immensely throughout the course of 2020. An ever-expanding scope of brands and products are being offered to patients in the European country, where a medical cannabis law was adopted in 2017.

Growth of Germany’s medical cannabis market was confirmed when MJBiz Daily recently published reimbursement data. Based on the data, cannabis extracts prescriptions – including products that contain full-spectrum and isolated cannabinoids – soared 15 percent from the first to second quarter of 2020. 

During the same period of time, statutory health insurance-funded prescriptions for cannabis flower sunk by five percent. 

Cannamedical Pharma introduces new product to Germany’s medical cannabis market 

An independent medical cannabis wholesaler called Cannamedical Pharma is actively serving the inflating consumer demographic in Germany with high-quality extracts. Cologne-based Cannamedical kick-started its foray into Germany’s medical cannabis market when it started distributing a highly concentrated oil containing THC (tetrahydrocannabinol) and CBD (cannabidiol) among retail buyers.

The oil sold throughout Germany’s medical cannabis market by Cannamedical comprises 25 milligrams of the psychoactive compound THC and 25 milligrams of the non-psychotropic substance CBD for every milliliter making it one of the most potent products available in the nascent European market. Each product is stored and sold in 25 milliliter bottles.

“We have successfully extended our product family, adding full-spectrum extracts to our portfolio that already included CBD isolate and flower,” the managing director of Cannamedical, David Henn, told MJBiz Daily reporters about his company’s new extract.

GmbH-certified, Cannamedical is the latest in a string of companies to establish a supply agreement from within the European Union’s borders; as opposed to importing cannabis products from elsewhere outside of the EU. 

More producers are supplying Germany’s cannabis market 

Just a few months ago, the National Association of Statutory Health Insurance Funds (GKV) published data that shows continuous year-over-year (YoY) growth for Germany’s medical cannabis market. Although producers of cannabis extracts are likely to be pleased with the surge in demand for full-spectrum solutions and Dronabinol-containing preparations, cannabis flower suppliers must face the fact that this segment accounts for less than half of the market. 

This year, an estimated 650 kg of dried cannabis flowers cultivated in the EU country will be used for medical purposes. While flower doesn’t seem to be winning in the popularity stakes, there is no doubt that Germany’s cannabis flower market is more diverse; in terms of brands and product options.

Currently, most of Germany’s imports come from the Netherlands, which has stumbled upon cannabis supply problems since COVID-19 erupted. Nonetheless, three well-known licensed producers, Aurora, Aphria, and Demecan, began cultivating medical cannabis for Germany’s quickly evolving market in 2019 an indication that major overseas producers are keen to get a slice of the pie.