This is an English translation. The original Dutch article is authoritative.
In a recent letter to the House of Representatives, the Dutch government shared important information regarding the closed coffeeshop supply chain experiment. The experiment, currently in the transitional phase, is running in ten participating municipalities. During this phase, regulated cannabis products are sold alongside tolerated products.
Current State of Affairs of the Experiment
Since 17 June 2024, the experiment has been in the transitional phase. This means that designated growers are permitted to sell their regulated cannabis products to coffeeshops in the participating municipalities. Of the 75 participating coffeeshops, 63 have sold regulated cannabis and hashish so far. Despite this progress, the next stage, the experimental phase, remains postponed for the time being.
Why the Experimental Phase has not yet started
The transition to the experimental phase was planned for 16 September 2024. However, this phase can only start when there is sufficient quality, quantity, and diversity of cannabis and hashish available to supply all coffeeshops. This is monitored through questionnaires for coffeeshop owners, quarterly discussions with growers, input from municipalities, and monitoring of production figures.
Current monitoring shows that these conditions are not yet met:
- Quantity: Sufficient quantity is defined as growers being able to deliver at least 570 kg of weed and 160 kg of hashish weekly, with a minimum stock of 6800 kg of weed and 2000 kg of hashish. However, current production remains far below this, and growers 4 and 5 have experienced delays in their preparations.
- Diversity: The limited supply from only three growers leads to a lack of diversity in the cannabis range. Coffeeshop owners indicate that more growers are needed to offer a broad range of products. Mayors of the participating municipalities have also expressed concerns about the lack of diversity.
- Quality: Although most coffeeshop owners are satisfied with the quality of weed, this does not apply to hashish. The majority find the current quality of hashish insufficient.
Monitoring and Research Results
To follow the progress of the experiment, various methods have been deployed:
- Questionnaires: These were distributed to coffeeshop owners, with a 65% response rate. The results show that there are still significant concerns regarding the quality and diversity of the available products.
- Quarterly discussions with growers: During these discussions, the importance of sufficient production capacity is emphasized.
- Input from municipalities: Municipalities share their observations and concerns, which are then taken into account for further planning and adjustments.
- Track & Trace Data: These data show that current production of cannabis and hashish by the first three growers is falling behind expectations.
Postponement of the Experimental Phase
Given the current situation, it is not realistic for the experimental phase to start on 16 September 2024. Failing to meet the conditions would increase the risk of illegal street trade, as only regulated products would be allowed to be sold from that point. To prevent these problems, the transitional phase will be extended until there is sufficient supply.
Production will be monitored again when the fourth and fifth growers are ready. The aim is to communicate the outcomes of this monitoring by mid-November. The experimental phase will begin no sooner than six weeks after the announcement of the start date, to give all involved parties sufficient time to prepare.
‘Operational Obligation’ for Growers
Finally, an operational obligation of nine months has been established for five of the ten designated growers who have not yet started cultivation. These growers must start cultivation within nine months of their designation; otherwise, their designation can be revoked. This measure, implemented following the Mutluer motion, is intended to ensure that all growers make progress and contribute to the experiment.
Conclusion
Current developments in the closed coffeeshop supply chain experiment highlight the complexity and challenges of implementing a regulated system for the sale of cannabis. The extension of the transitional phase is a necessary step to ensure that the experimental phase can be carried out successfully, without the risks of a shortage of high-quality and diverse products. The government continues to monitor the situation closely and strives for careful and controlled progress of the experiment.
Editors BCD, 5 August 2024