Germany’s lower house has approved legislation that would allow individuals over the age of 18 to grow and possess cannabis for personal use.
The law will allow individuals to possess 50 grams at home and 25 grams in public. Individuals can also cultivate three marijuana plants for private consumption.
Lawmakers approved the legislation 407 to 226 on Friday, with four politicians abstaining from the vote.
The bill will now go before the parliament’s upper house next month where it will be read but does not require consent to advance.
The reform is expected to be enacted on April 1, 2024. Three months later from July 1, cannabis will be available at licensed, not-for-profit clubs having no more than 500 members established to grow and distribute the drug for recreational use.
However, the new law stops short of introducing a framework for the distribution and sale of recreational cannabis products.
Calgary, Alberta-based cannabis retailer High Tide Inc. (CSE:HITI) welcomed the move, which it noted would allow Germany to begin implementing the first pillar of its legalization plan.
“The passage of this bill is a historic moment as it makes Germany the second G7 country to legalize the consumption and private cultivation of cannabis for recreational purposes by adults and sets the stage for the government to move forward with the second pillar of its plan which aims to set up regional adult use pilot projects focused on cannabis specialty shops,” High Tide CEO Raj Grover said in a statement.
“Our intention is to capitalize on this opportunity, given our deep experience and success through our unique and differentiated retail model, that we will seek to replicate in Germany as soon as legislation allows.”
Shares of the AdvisorShares Pure Cannabis ETF, which tracks global cannabis companies, traded higher on the news, adding 0.9% at US$3.67 in the early afternoon on Friday.