Germany’s Health Minister Karl Lauterbach on Wednesday presented a plan to decriminalize cannabis by allowing cannabis purchases through membership in non-profit cannabis clubs. “More and more young people are using the drug,” Lauterbach said in a statement. “The black market goods are often contaminated and create additional health hazards. We can no longer accept this. That’s why we dare the controlled sale of cannabis to adults within clear limits and push back the black market, flanked by preventive measures for young people.” Officials said rules by the European Union on cannabis prevented a more widespread cannabis legalization plan to allow the sale of cannabis across the country at licensed retailers. The proposed new rules will legalize possession of up to 25 grams, or nearly one ounce, and allow individuals to grow three plants or less. People 18 years of age or older may become members of cannabis clubs with a maximum of 500 members each. Adults under the age of 21 would be limited to 30 grams per month, which is 20 grams a month less than people aged 21 and older. The proposal will go before Germany’s lower house of parliament. The Associated Press reported that the proposal will not need to be approved by Germany’s upper house of Parliament. The Global X Cannabis ETF POTX is down 2% on Wednesday. German medical cannabis company Cantourage Group SE XE:HIGH stock rose 12%. Companies with exposure to Germany include Flora Growth Corp. FLGC, Aurora Cannabis Inc. ACB, Canopy Growth Corp. CGC, Tilray Brands Inc. TLRY and Curaleaf Holdings Inc. CURLF.
Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.
0
0
