NEWS BRIEF

Netherlands apparently limiting number of German cannabis clients

The Dutch government agency responsible for exporting medical cannabis exports is reportedly limiting, for now, the number of German wholesalers it ships to.

Berlin-based AMP German Cannabis Group said in a news release the Dutch Office of Medicinal Cannabis (OMC) “has postponed selling EU-(Good Manufacturing Practice) medical cannabis to additional importers, including AMP, until further notice.”

AMP said it “placed its first order to import two Bedrocan International-branded products from OMC, which subsequently confirmed receipt of AMP’s order.” But the German company did not directly state whether the order was shipped.

Marijuana Business Daily confirmed with a handful of German wholesalers that the quantity of Dutch cannabis each was getting for delivery in June was up to 5 kilograms, the same quantity each was able to order in May.

That suggests the OMC is not accepting new German importers.

Every month, the OMC ships about 200 kilograms (441 pounds) to Germany as part of a 2,500-kilograms-per-year supply agreement between the Dutch and German governments.

The constant amount of Dutch-produced cannabis combined with a growing number of German importers has resulted in each importer receiving less every month.

In April, the OMC’s approximately 30 German wholesaler clients received up to 6.5 kilograms each.

In May, the number of clients increased to 40 and the amount per client decreased to up to 5 kilograms.

If each importer is again being able to get up to 5 kilograms in June, it means the OMC limited the number of German clients at around 40 companies.

AMP said it is negotiating with “several” federally licensed producers in Canada to start commercial shipments later this year.

The “first large imports of AMP’s medical cannabis brand are expected to be coming from Canada during the fall of 2020 from licensed producers that were EU-GMP certified prior to COVID-19 pandemic,” according to another news release from the Berlin company.

In 2019, almost 40% of the medical cannabis flower imported to be sold to patients in Germany came from the Netherlands, with the rest mostly coming from Canada and a small portion from Portugal.

AMP trades on the Canadian Securities Exchange as XCX.

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