Demecan has become the first German company to supply medical cannabis to the German Cannabis Agency. The start-up is one of three producers cultivating cannabis on behalf of the state, reports Tagesschau.

Demecan has become the first German pharmaceutical company to deliver cannabis for medical use to the German Cannabis Agency. The start-up, with its production facility in Ebersbach, Saxony, is one of three companies growing cannabis in Germany on behalf of the state. The other two pharmaceutical companies are Canadian-owned: Aurora has its production facility in Leuna in Saxony-Anhalt. Tilray, which has already delivered cannabis, is the third company to produce in Neumünster in Schleswig-Holstein.
Currently, Demecan is said to produce 1,000 kilograms of medical cannabis per year. In total, the three companies are to produce a good ten tonnes spread over four years. Should the demand for German cannabis increase, the German Demecan founders say they could expand their production capacity to more than ten tonnes of cannabis flowers per year in the short term.
The three founders say they have invested EUR 20 million for the production in Ebersbach – 30 per cent of which came from funding pots, the rest was contributed by investors., the report said. The entrepreneurs are now also hoping for the planned legalisation of cannabis: according to the coalition agreement, the SPD, the Greens and the FDP want to introduce a "controlled distribution of cannabis to adults for consumption purposes in licensed shops".