A byline by Michael Sassano
Germany is now the undisputed heavyweight in the global EU cannabis market, and there is very little standing in its way of becoming a multi-billion-euro powerhouse. Even the usual friction of bad politics and dirty lobbying doesn’t stand a chance against the sheer momentum of the industry’s success. Adding fuel to the debate, with one swift move, the USA acknowledging cannabis as medicine by moving it to Schedule III has set a de-facto international standard that Germany had already pioneered. All politics and lobby efforts were muted with common-sense policies; Germany bucked the trend once and it will do it again because the facts are impossible to ignore.
Cannabis helps millions of people and offers a much safer alternative to the products big pharma and big alcohol have been lobbying against for decades. And if that isn’t enough, beyond the clinical benefits, there is not one country in the EU that can look at its bloated budgets and deny that the massive taxable revenue base and job creation growing from this sector is worth supporting.
The Health System Enigma
German politicians seem to have a severe math issue when it comes to prioritizing their spending. Out of the massive 800-billion-plus euros they spend on healthcare, the €200 million dedicated to cannabis is literally a rounding error—a pimple on an elephant. It seems completely surreal that 0.025% of the budget is even up for debate, and even more absurd that this happens to be a real legislative initiative to lower the cost of healthcare.
- The Opportunity: With relative ease, they could find far more significant savings elsewhere, such as within the €111 billion hospital budgets or through cutting the costs of heavily prescribed, expensive pharmaceutical drugs.
- The Population: Targeting roughly 200,000 cannabis patients out of a total of 83.6 million people (just 0.23% of the population) to „save money“ makes absolutely no sense at all.
- The Outcome: And with all that healthcare spending, which is much more per capita than compared to other EU peers like Italy, Germany’s rates of death are even worse. This clearly indicates that the €800 billion budget is simply being spent in the wrong places.
Most countries around the world look at cannabis as a powerful tool to reduce healthcare costs, so let’s hope Germany gets a working calculator and figures out this enigma of controversy.
Follow the Money
There are undeniable taxable benefits to the sales of cannabis, social benefits to legal access, as well as massive job creation benefits to legalizing the industry. France has studied this precise economic impact for many years; their estimated market size can be approximately €10 billion, which would create €2.8 billion in taxation, and would save roughly €570 million in cannabis enforcement costs.
Germany is on a similar, highly lucrative trajectory:
- Sales Growth: Germany had a little under €1 billion in sales in 2025, and will potentially exceed €2 billion in sales in 2026.
- Direct Tax: Legal sales of cannabis in Germany with a 19% VAT alone will bring in roughly €380 million in direct taxation.
- Employment: With thousands of jobs created, the total taxable economic benefit could easily climb closer to €1 billion.
It would be hard to imagine how any rational politician could miss these staggering numbers, let alone ignore the greater societal benefit of reducing the grey market and providing safer, tested access for its population.
The Solution: No Policy is the Best Policy
Germany is a resounding success of cannabis access legalization by every single metric.
- Patient Access: Prices for patients are now cheaper than the unregulated grey market.
- New Demographics: Newer demographics are consistently accessing the legal pathway, and businesses are thriving to invest in a vastly better patient experience to buy their medicine.
- Harm Reduction: The government is making a stronger taxable base while people are finding real relief in less harmful alternatives to current pharmaceutical options. Furthermore, the consumption of alcohol is visibly going down.
So, the ultimate solution? Do nothing. Leave the industry alone to grow and create boundless opportunities for patients and businesses alike. It is again hard to believe that any rational person would want to make sweeping changes to what is undoubtedly the most successful cannabis policy in Europe. The only logical place for any perceived negative news to originate is from Big Alcohol and Big Pharma trying to stop these very positive policies to protect their threatened turf. Even the newly established social clubs can have a highly successful place in the ecosystem, allowing local craft growers to share their skills. Germany is a massive win on all sides, and no policy is the best policy.
Germany is the Center of Gravity
Germany’s growth rates have been completely astounding, with 171% growth in 2025 and more than a double expected in 2026. Again this year, ICBC was the biggest ever, and Mary Jane is also expected to have an even bigger turnout as the world comes to celebrate. With people traveling to Germany around the year to celebrate the success of this country’s policy, it is undeniably clear that cannabis is not going anywhere but up.
As other countries closely watch the German success story unfold, they will all be emboldened to launch their own successful programs and finally end the prohibition that has prevented so many from accessing safe, legal cannabis. Germany is setting the definitive trend for the EU, and in this case, bold politics means a strict „hands-off“ approach to an undisputed winner.
About the author
Michael Sassano is one of the most respected executives in the pharmaceutical cannabis space today. Currently, Michael serves as Interim CEO and Chairman of the Board for SOMAÍ, a leading EU-GMP vertically integrated Multi-Country Operator (MCO) company with a global distribution footprint for the largest and most advanced EU-GMP-certified cannabinoid-containing pharmaceutical extract portfolio.
Somaí is set to launch multiple versions of Oral Gums from October through January. The lineup will include medical Somaí extract and terpene Oral Gums, Rosin Oral Gums, and fast-acting Oral Gums. In addition, Cookies, Sherbinskis, and Jack Herer-branded Oral Gums will roll out across three countries.
Disclaimer: Bylines by external contributors must not reflect the opinion of the editorial team. If you want to contribute as an external expert please reach out to redaktion at krautinvest.de.

