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Allegations of price dumping cast shadow on Portugal’s medical cannabis

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Portugal has spent the last few years cultivating a reputation as Europe’s gateway to medical cannabis. Exports are booming, the government and local media portray a very vibrant sector with fertile land, progressive laws and a soft regulatory environment.

But behind the glowing export figures, there is growing concern that the country’s success story is due to what some describe as “greenwashing” of the industry.

According to a person familiar with the matter, most of the cannabis that Portugal “exports” is not grown in Portugal. Instead, large companies import low-quality flowers from abroad, process them locally, and then ship them with a Portuguese flag on the label. “Portugal has exported about 35 tons of medicinal cannabis flowers so far,” says the source. “Only about 2 tons were processed here. The rest came from elsewhere.”

The concern is not the import and processing model itself, but the lack of transparency and its impact on the local growers who actually cultivate the plants in Portugal. “They grow cheap overseas for recreational markets,” the person says. “It is then processed in Portugal and sold in pharmacies across Europe at prices that are impossible for real growers. This is clear price dumping.”

Portugal grew on the cheap
According to the source, some European pharmacies are offering Portugal-labeled medical flower for as little as 1.60 euros per gram. Insiders say even the lowest-cost foreign producers can’t get that price and still meet European pharmaceutical standards. “The cheapest production cost I have seen abroad was around 1.40 euros per gram,” explained the source. “Processing in Portugal alone can cost about sixty cents. So how do they sell it for 1.60 euros?” According to them, the reason is simple. On the one hand, these big companies have to show their shareholders that they are moving money and product. On the other hand, they use the availability of capital to drive down the price, gain more market share, and crowd out smaller companies, which are ultimately bought by the same big companies. At the same time, the issue is not only related to the economy. Local producers say quality is also at stake.

Some sources say that many pharmacies turn away from the product with the Portuguese flag, knowing that it is not the real product produced in Portugal. “They think that Portugal is the equivalent of low-quality flower. This hurts the companies that really work here with strict European pharmaceutical practices,” says the person familiar with the matter.

Small farmers struggling to survive
Portugal has a large number of licensed cannabis operators, but few are growing at scale. According to the source, of all the cultivation licenses issued, only a few are actually operational. “Some growers produce one to three kilos per harvest,” says the person. “They have no strategy, no supply chain. It’s just a facade to show that they are somewhat operational, while in fact most of the products are imported and processed locally. These people entered the space without knowing how to run a medical cultivation project.” According to the insider, companies rushing to import, rebrand and dump products on the market are not building a sustainable sector in Portugal.

© Roman Zaiets | Dreamstime

“I expect six to eight companies to fail next year,” they say. “Everybody smiles at conferences, everybody talks about innovation. Nobody talks about cooperation.”

Pressure on regulators and call for research
The person says that regulators are to blame for the situation, but insists that the responsibility lies with companies that lack due diligence and compliance. “Regulators apply the rules. They are not there to do due diligence on behalf of companies,” they say. “Some companies had problems because they had false import documents from foreign suppliers. They blame the regulators for that, and the responsibility should lie with the operators in question, not having the right people doing the right compliance work.”

The source said there are plans to file a complaint with the European Commission under Regulation 2017/1036, which covers dumping of imports from the European Union when it causes injury to a domestic industry. “We are gathering evidence,” they say. “We want regulators to suspend import licenses where dumping is taking place.”

Meanwhile, international monitoring systems are being tightened. According to the source, the EU and the United Nations are implementing new digital tracking and tracing requirements. “Everything will have to be registered. All legal documents, all import and export certificates,” says the insider. “This should be ready in six months.”

Crossroads
Portugal’s promise as the gateway to European cannabis is not dead, but the road ahead is becoming increasingly complex. The sector needs scale, collaboration and transparency if it hopes to avoid the boom and bust cycle seen in North America. “I have nothing against importing and processing,” says the source. “What I find unacceptable is selling a flower with the Portuguese flag when they don’t grow here.”

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HoneyGrove Dispensary selivers affordable small-batch flower to patients amid push for MMJ reform

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HoneyGrove Dispensary has partnered with Ewing-based medical cannabis company Noble Valley Harvest Company to offer small-batch flowers at reduced prices to medical marijuana patients.

Half ounces are available for $75 and full ounces are available for $125, with no sales tax applied to cardholder purchases. HoneyGrove waives sales tax on adult-use transactions for patients with a valid medical card to support patient access.

Within NJ’s three-ounce monthly purchase limit, cardholders can get $100 off multiple ounce purchases.

© Rey Fernandez

The initiative addresses ongoing concerns about affordability in New Jersey’s medical marijuana program, which has drawn criticism for high costs and limited supply. By offering premium, small-batch products at prices associated with lower-quality options, HoneyGrove and Noble Valley aim to improve immediate patient access while advocating for broader program reforms.

“HoneyGrove and HoneyStash are committed to patient care by partnering with local growers,” said Dave Valese, CEO of HoneyProjects, the management company for both dispensaries. “This partnership with Noble Valley ensures that medical patients receive high-quality flower at affordable prices, supporting our broader efforts to improve New Jersey’s medical cannabis program.”

“Noble Valley Harvest is producing small-batch cannabis for the New Jersey market,” said Dr. Lisa Grega, founder of Noble Valley Harvest Company. “We’re excited to give medical patients first access to help boost a market that’s shrinking in size and selection.”

For more information:
Honey Projects
honey-projects.com



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Ohio Senate Expected To Vote On Bill Recriminalizing Some Marijuana Activity That Voters Legalized

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“You can be charged with a felony for having legal weed in a package other than what you bought it from. You can be charged with a felony for buying legal weed in Michigan.”

By Jake Zuckerman, Signal Cleveland

It was this story originally posted By Signal Cleveland. Sign up for their free newsletter at SignalCleveland.org/subscribe.

A new law to be passed in the Statehouse next week would establish a series of juveniles Criminal penalties for persons illegally transporting or possessing marijuana in Ohiowhile withdrawing legal protections for users, such as child custody or professional license disputes.

That’s why NORML, the oldest marijuana advocacy organization in the US, is leading a quixotic effort to urge the Ohio Senate to reject Senate Bill 56 before a final vote next week.

With Senate approval, the bill would go to Gov. Mike DeWine (R) for his signature or veto.

The marijuana changes are part of a larger package that also establishes a new, comprehensive regulatory system for the intoxicant hemp, a product functionally similar to legal marijuana, but sold without age restrictions, taxes or quality controls. DeWine, a Republican who opposed relaxing Ohio’s marijuana laws, has been making public the issue of hemp more than a year ago.

But perhaps due to a political compromise, marijuana users have been caught up in the crackdown on hemp, according to Morgan Fox, NORML’s political director.

“A lot of this stuff is completely nonsensical,” he said in an interview. “This is recriminalizing a lot of behavior that is relatively innocent and has been legal for a long time.”

House and Senate lawmakers negotiated the final version of the legislation in a conference committee, which means the bill cannot be changed. The House passed it last month by a 52-34 vote last night, with a handful of Republicans joining Democrats in opposition.

Committee members described the final version as a compromise between mixed blocs of voters: Democrats who don’t want new criminal penalties for regular users, Republicans who support the right to grow marijuana, religious conservatives who oppose the expansion of legal use of the intoxicant, local governments who want their money to ruin a gas station. retailers, and both the hemp and marijuana industries seeking market advantages. (In all, 153 lobbyists signed up to work on the bill in August, state records show.)

In 2023, Ohio voters passed Issue 2 by 57 percent to 43 percent, allowing adults to legally use, buy, sell and possess cannabis. Those rights remain intact under the bill.

However, SB 56 imposes legal penalties for not having marijuana in its original container or buying legal marijuana in Michigan, where it is usually much cheaper.

Below is a closer look at some of these rules.

Out-of-state marijuana

SB 56 reclassifies what counts as the “legalization scope” of marijuana. And under its rules, marijuana that isn’t grown at home or purchased at a state dispensary is illegal. Prices are much lower in Michigan’s more mature cannabis market, and SB 56 would make it illegal to bring the substance back into Ohio.

Violators can be charged with a misdemeanor, which carries a maximum fine of $150, but no jail time.

Fox, the state lobbyist for NORML, said he is not aware of any adult-use states that outlaw the simple possession of cannabis produced in another state.

Driving with marijuana in the car

Under the bill, drivers could legally transport marijuana. However, it must be stored in the trunk or, in cars without a trunk, behind the last upright seat of the car. Marijuana and any paraphernalia must also be stored in its “original, unopened container.”

Likewise, edibles must be kept in their original packaging to complete the bill.

Offenses are minor fouls.

“You can be charged with a felony for having legal weed in a package other than the one you bought it from,” Bride Rose Sweeney, one of the top Democratic negotiators in the House, said at the conference. “You can be charged with a felony for buying legal Michigan weed.”

Loss of legal protections

In addition to legalizing marijuana, the voter-approved 2023 law created legal protections for adults who use marijuana in many civil and administrative contexts.

For example, state licensing boards cannot penalize licensees solely for using marijuana. A judge cannot deprive a parent of parenting time or responsibilities based solely on marijuana use and absent clear and convincing evidence of the child’s lack of safety.

Similar protections exist in relation to access to medical care, such as organ donation, in relation to denying a person as a tenant or disqualifying them from public benefits.

The bill removes almost all of these protections, although users can access public benefits (except unemployment compensation).

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The forgotten story behind autoflowering cannabis

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Many of the things that are common in modern cannabis come from a time when curiosity about the plant could lead to real problems. With the market now dominated by hybrid genetics, it is a common belief that it is almost impossible to bring anything back to an original cultivar. However, many of these initial building blocks came from the first wave of cannabis exploration, when a handful of growers traveled across continents in search of unique local varieties. Nevil Schoenmakers was one of them, and what he spotted on the side of a highway during a trip to Turkey left a mark on the history of cannabis that has never been erased.

On the way to Turkey
Dwight Diotte of D9 Canna Consulting still remembers those early years. A time when the modern industry was just an idea and the world of cannabis lived in the shadows between one country and another. Everyone in that circle followed clues more than maps, and it all felt like a treasure hunt with pocket knives and curiosity.

So how did cannabis ruderalis enter the cannabis world. The story begins with a road trip. Nevil was moving through Eastern Europe on one of his journeys to find his seed when he saw something strange on a highway in Hungary. The plants, already in flower, stand out against the July heat. He stopped so suddenly that his car screeched. Then he ran across like someone who had just seen a myth pass by.

© Dwight Diotte

He took some branches and dried them in the car heater. He soon realized that what he found was something special. He paused again, and turned around. Turkey could wait. What he had just discovered demanded attention, “and perhaps saved him from a more dangerous detour,” Dwight notes. The Cold War was still very real and the borders of that region were not yet friendly to roving plant hunters.

Sparking the seeds of something new
By the time Dwight saw Nevil the following year in the Netherlands, the seeds of the mystery were already on the table. They were tiny, dark and impossible to germinate with the usual tricks. Dwight remembers gently cracking the pebbles and soaking them as Nevil thought animals might do in the wild. “It felt less like horticulture and more like archaeology,” Dwight recalls.

Once they sprouted, the surprise came quickly. These were no ordinary plants. They went from seed to flower oblivious to the light of day and seemed determined to complete their cycle, encouraged or not. The concept of autoflowering did not yet exist. “Nevil saw the plants blooming on the fifth or seventh node and understood that something new was on the table.”

This was the birth of the modern ruderalis work, although at the time no one was thinking in neat categories. “We were trying to understand what we found.”

Claiming ownership
Dwight wandered between Canada and Europe during those years and witnessed it all. He helped raise funds for what would later become the famous Cannabis Castle, watched the early grow in action and watched Nevil push ruderalis as far as he could before returning to his passion for long-flowering cannabis. “The Finola project was created in the mid-90s and its founders claimed credit for the autoflowering breakthrough, even though the genetics went back to the same region that Nevil had explored, if not the same plants as Nevil himself,” Dwight said.

Everyone involved in that era seemed to reinvent themselves every season. The seed companies changed their names. Growers moved between projects. Some developed legendary cultivars. Others disappeared completely from public life. Through it all, Nevil remained a figure who kept one foot in research mode and the other in business reality. When the Dutch tightened regulations in the nineties, the landscape changed again, and a series of legal dramas followed across continents. “A few years later the dust settled and life moved on, but the seeds of his legacy had already been planted.”

According to Dwight, many of the fog lines that dominate the shelves today have their origins in Nevil. “It’s the same in the autoflowering category. Even after turning his attention away from ruderalis, he produced work that breeders talk about in low tones and reverence.”

Heritage
Dwight still grows ruderalis for fun. He says that plants teach him things. He says that even after forty years they still amaze him. “Nevil Schoenmakers always worked with what he found and let the plants say what they wanted to be. But the evidence is hard to ignore. When the first little black seeds were opened in Hungary, the industry of the future cracked with them. And even today, every time an autoflower appears on a legal shelf anywhere in the world, a small part of that moment is still on the side of the road in Eastern Europe.”

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