As 2023 approaches Finally, it’s natural to reflect on what’s happening in the markets we cover. But when it comes to cannabis, the answer is “not much,” which doesn’t help cannabis startups already facing a challenging funding environment.
That said, 2023 is not the year Germany legalizes adult recreational cannabis use. That’s important because this isn’t what the legal marijuana market was once expected to be, and whenever reality disagrees with investor expectations, especially when public companies raise their expectations, it’s rarely good news. Or at least, not for everyone.
“One trend to watch in 2024 is consolidation,” said Matt Hawkins, a cannabis-focused investor and managing principal at specialist venture capital firm Entourage Effect Capital. “The company spends a lot of money to prepare for Germany’s huge business market. [As] If the likelihood of this happening diminishes, companies may not be able to support their operations without banding together. “
Let’s take a look at what to remember in 2023 and what to expect in 2024 with the help of a new global cannabis report from market intelligence firm Prohibition Partners.
nothing happened
Expectations that the European Union’s most populous country might legalize recreational marijuana didn’t come out of nowhere. This possibility has been present since the German Traffic Light Union came to power in December 2021. But the coalition of social democrats, liberals and greens has since watered down its plans so much that one has to wonder how well prepared it is. Overcoming legal challenges is no surprise.
