Skip to main content
EN

Cannabis light: why more and more Italian companies are choosing the Czech Republic

Possible restrictions on cannabis light in Italy

In Italy, the Meloni government has recently included in the “Security DDL” an amendment that modifies law n. 242 of 2016, relating to the supply chain and cultivation of hemp. This amendment, approved in recent days, provides for the prohibition of production and marketing of so-called cannabis light, or that with a THC content of less than 0.2%. However, it is important to note that the DDL has not yet come into force, as it has yet to complete the legislative process.

Currently, the law allows the use of cannabis for industrial purposes if the THC content is less than 0.2%, and provides that if the THC content is higher but not more than 0.6%, there is no liability for the grower.

Industrial cannabis in Italy can be used for various purposes, including the production of food and cosmetics; the creation of semi-finished products such as fibers, powders and oils, and as a green manure to improve soil fertility. It is also used in bioengineering, green construction, for the phytoremediation of polluted sites, and educational and research activities, and flower cultivation.

Since September 2021, the Ministry of Health has clarified that, subject to authorization, industrial cannabis can be grown to supply pharmaceutical companies. If, however, a farmer grows without authorization a cannabis that does not fall within the definition of “industrial cannabis”, he can be punished with imprisonment from six to twenty years and a fine of 26,000 to 260,000 euros.

As regards CBD, on October 24, 2023, the TAR Lazio established that it is not a psychoactive substance and must not be included in the list of narcotic substances. This has allowed the resumption of the sale of CBD-based products for ingestion. However, the government has announced a new decree to regulate CBD, but so far there have been no concrete developments. The European Commission has clarified that CBD is no longer considered a novel food, eliminating the need for specific authorizations. CBD can also be used in cosmetics, as long as they comply with Regulation (CE) N. 1223/2009 and do not contain narcotic substances.

On May 25, 2024, an amendment to the security bill proposed a ban on the cultivation and sale of cannabis inflorescences with THC less than 2%, not intended for industrial or medical uses. This would include “light” cannabis with THC less than 0.2%. In addition, a sub-amendment of May 29, 2024 prohibits the use of images or stylised drawings of the hemp plant in any form of advertising, with penalties of up to two years in prison and fines of up to 20,000 euros. The texts are currently being examined by the Constitutional Affairs and Justice Committees of Parliament and will be discussed in the coming months.

This legislative proposal aims to equate light cannabis, currently sold in authorized outlets, to “classic” cannabis, classifying it among the controlled substances pursuant to the Consolidated Law on Narcotic Substances. Industry associations, such as ICI (Italian Hemp Entrepreneurs), have expressed their dissent, highlighting the possible economic and social consequences of such restrictions. Among these, the risk of losing thousands of jobs created in recent years, especially among young people, and a significant reduction in the turnover of the companies involved, with negative repercussions on the entire Italian economy. This proposal would represent a significant step backwards compared to the recent opening of Germany, which authorized the first Cannabis Club in the country, and would conflict with the European trend towards greater liberalization of cannabis. However, the fate of these changes remains uncertain, as they are still being discussed and it is unclear if and when they will actually be implemented.

Cannabis light market in the Czech Republic

In the face of legislative uncertainties and potential restrictions in the cannabis market in Italy, the Czech Republic emerges as an interesting option for companies in the sector. With a more favorable regulatory framework, the country allows the cultivation and marketing of cannabis light with a THC content of up to 1%, higher than the 0.2% limit imposed in Italy. This allows for a larger operating margin for interested companies, who also find in the Czech Republic excellent logistics services for intra-Community shipments, given the central position of the country within the EU.

In the Czech Republic, cannabis with a maximum THC content of 1% is permitted for industrial, technical and gardening purposes, including sales. However, cultivation on a surface area exceeding 100 m² must be notified to the competent customs authority, with significant administrative sanctions in case of violation. Regarding CBD, the rules are still evolving and not uniform, but there is zero tolerance for THC in food supplements. Additionally, CBD-based cosmetics are legal to market as long as they do not contain THC.

In February 2024, the Czech government added substances such as hexahydrocannabinol (HHC) and tetrahydrocannabinol (THCP) to the list of controlled substances, reflecting an increased focus on public safety. Despite these regulations, the context remains more permissive than the Italian one, offering a potentially more profitable environment for Italian companies looking to expand their business. This regulatory flexibility could represent a valid alternative for companies looking to avoid the restrictions of the Italian market and exploit growth opportunities in a more open market.

Source: https://cms.law/en/int/expert-guides/cms-expert-guide-to-a-legal-roadmap-to-cannabis/italy  https://cms.law/en/int/expert-guides/cms-expert-guide-to-a-legal-roadmap-to-cannabis/czech-republic  https://cannareporter.eu/en/2024/07/15/Italy-amendment-that-wanted-to-ban-light-cannabis-was-shelved/

AI-generated image

Graphic source: https://storyset.com/

Leave a Reply

Call Now Button