Market

Canada supplies half of Germany's cannabis

Canada now supplies more than half of Germany's medical cannabis imports, but new competitors are closing in fast.

By The LeafNorth Editorial Team

Germany has become the single biggest customer for Canadian cannabis, and the latest trade numbers show just how lopsided that relationship has gotten. In the first quarter of 2026, Canada supplied just over half of all the medical cannabis Germany imported.

The numbers behind the headline

Germany’s drug regulator, the Federal Institute for Drugs and Medical Devices (known as BfArM), tracks every kilogram of cannabis flower that crosses the border for medical use. In Q1 2026, that total came to roughly 50,500 kg. Canada accounted for about 26,750 kg of it, or 53 percent, making it by far the largest single supplier. Portugal was a distant second at around 10,300 kg, with Denmark third at roughly 3,300 kg.

Imports were down about 15 percent from the previous quarter, but up roughly a third compared to the same period in 2025. Quarter to quarter numbers bounce around, but the year over year trend has been consistently upward since Germany loosened its cannabis rules.

It works the other way too. Canadian export data reported separately shows Germany now accounts for over 60 percent of the value of Canada’s cannabis flower exports, up sharply as Portugal’s share of that trade has shrunk. Two different data sets, same story: this is now the defining trade relationship in medical cannabis.

Why Germany leans on Canadian supply

Germany’s medical cannabis market has grown fast since prescribing rules loosened and mail order pharmacy access expanded. That growth needs a steady, EU-GMP certified supply, and Canadian producers, many of whom built out that certification specifically to sell into Europe, have been positioned to meet it. Canada also has years of large scale, indoor cultivation experience that smaller or newer producing countries are still catching up on.

The competition isn’t standing still

Canada’s lead isn’t guaranteed to hold. Canadian exports surged in 2025, up about 143 percent year over year, with shipments to Germany alone jumping close to 300 percent. But that boom is pulling more supply into the global market, and prices are already sliding. Low-cost producers in places like Colombia and Thailand are undercutting on price, and the Global Cannabis Exchange, which runs Canada’s main wholesale trading platform, expects that competition to keep compressing prices even as export volumes climb.

There’s also the German side to watch. Germany’s medical market runs on online consultations and pharmacies that mail cannabis to patients, the very access that fuelled the demand in the first place. If Germany ever tightens those rules, some of the growth pulling in Canadian product could slow.

What it means for you

If you buy cannabis in Canada, this trade doesn’t show up on your receipt directly, but it matters for the industry you’re buying from. Export revenue has become a real lifeline for licensed producers dealing with thin margins in the domestic market. A producer selling into Germany at medical prices has more room to invest in quality and stay in business than one selling only into a saturated domestic retail market. Keep an eye on this relationship. If German demand cools or competitors undercut Canadian suppliers on price, some of that pressure could land back home.

Sources

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