Canadian cannabis producer Aphria is attempting to step into the European cannabis production market. According to reports, the company’s planned investment focuses on a 5,000-hectare property in Greece.
According to a report by Greek news site ERT (English translation here), around 450 farmers, agricultural economists, private companies and councilors attended a meeting in Xanthi to discuss domestic cannabis cultivation with representatives from Aphria. The company’s analyst director Stephen Murphy put forwards plans to use Greece as a doorway into the European cannabis market. Should Greece allow this to happen, it would be the first such development with Aphria.
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Speaking to ERT, lawyer and former Greek minister Socrates Xinidis said that ‘society needs to discuss these issues without hesitation‘, also noting that Greece should exploit the funds generated by industrial cannabis production.
Meanwhile, Greek lawmakers from social and trade committees began examining a draft bill to legalize cannabis for medicinal use earlier this month. According to a report by Marijuana Business Daily, the Greek government has previously expressed interest in constructing a medical cannabis industry in order to boost its struggling economy. If properly implemented, the taxed and legal sale of cannabis can bring enormous tax and sale revenues. The US State of Colorado collected more than $135 million USD in taxes from medical and recreational cannabis back in 2015.
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Interestingly, Greece already does allow cannabis for medicinal use. It did so back in July 2017, joining 6 other EU countries including Finland, the Netherlands and Spain in doing so. What it does not have is a legal framework for production within its own borders, and as such it currently relies on imports. This is what is currently under discussion, and is surely something that Aphria plans to capitalize on.
This could be a vital moment for cannabis production in Europe, and it depends on how Greek lawmakers respond to the draft bill. It will be a big moment for Aphria too, so investors should stay alert for any news.
Aphria is one of Canada’s largest cannabis producers with a market cap of $2.3B CAD. At the time of writing, shares in the company stand at $13.23 CAD, up 5.84% in 24 hours.
Featured image: Cannabis Culture
