What’s in Store for the European Cannabis Industry in 2025? (Part 2)

Written by Ben Stevens and Sarah Sinclair. 

You can read Part 1 here. 

Medical cannabis demand across Europe has seen substantial growth, particularly following the regulatory changes in Germany.

Ukraine’s Health Minister, Viktor Liashko, visited Germany this year as part of his preparations for medical cannabis legalisation in his country. The first cannabis-based medicines are expected to be available from next year.

“We hosted visits from politicians across party lines who wanted to learn about cannabis’s effects, quality controls for cannabis products, and how we’ve responded to the surging demand with additional staff and our innovative automation processes,” Fritsch explains.

According to Hanna Hlushchenko, Founder of the Ukrainian Cannabis Consulting Group, told us that this month, the first medical cannabis product was officially registered in Ukraine, coming from Curaleaf in a deal supervised by her group.

“This registration means that the product is likely to appear on the market soon, but it has not been launched yet. The first shipment is expected in either Q1 or Q2 next year, depending on timelines. Hopefully, this means patients will gain access to medical cannabis in Ukraine very soon.”

She went on to note that 2024 saw the development of a full regulatory framework for medical cannabis in Ukraine, with significant interest from various parties who want to cultivate or import cannabis into the country.

“Next year will likely see the actual opening up of the market, and we’ll see how it evolves. Ukraine is attracting a lot of attention from international stakeholders, including producers eager to bring their products into the Ukrainian market. I expect this process to accelerate in the coming year.”

While the adoption of wider regulatory frameworks has seemingly stalled in France and Spain, Denmark is set to adopt its medical cannabis pilot program into permanent legislation.

Elsewhere, as of April 2025, an additional 5,000 GPs in the Czech Republic will be permitted to prescribe medical cannabis, a move that is expected to significantly improve access and increase patient numbers.

International companies are also taking an interest in the market and scaling up production to meet demand, according to Cannaviga. With companies in Thailand increasingly looking to export products to Europe, Sebastian Sonntagbauer, Head of Customer Success at Cannavigia highlighted the importance of ensuring they are able to meet stringent European standards.

“As regulations evolve globally, ensuring that our clients can adapt quickly is key,” he says. “Our role is to provide ongoing support so they can focus on growth while staying compliant.”

The UK cannabis market has seen continued growth throughout 2024, but some suggest it might be reaching a ‘critical crossroads’ in terms of product quality and compliance.

Matt Clifton, head of communications for Dalgety, warned that contamination issues such as mould, partly driven by a demand for non-irradiated products, risks ‘eroding patients’ trust’ in the market.

“This shift toward quality assurance isn’t just about patient care; it’s about rebuilding credibility and trust in the sector,” says Clifton.

“While price pressures may attract short-term consumers, this approach is unsustainable and risks eroding the industry’s credibility. Companies investing in higher standards—like those holding GMP licenses—will capture growing market share as discerning patients opt for safety and consistency over affordability.”

After the MHRA moved to prevent the use of strain names on medical cannabis flower products this year, Clifton also expects to see the regulator tightening the controls in the industry over the next 12 months.

“I believe the MHRA will expect the importer to re-test the products entering the UK,” he adds. “They already should be doing this, but I think they will expect a greater level of verification, not solely relying on the LPs data.”

Meanwhile, Adam Windish, of British Cannabis Medical, highlighted that the implementation of e-prescribing, which was permitted by the MHRA this year, would ‘significantly reduce patient waiting times, streamline the process, and encourage more people in the UK to consider medical cannabis as a treatment option’.

“Collaboration between healthcare professionals, patients, and providers is key,” he says. “By continuing to focus on innovation, education, and accessibility within the UK market, I’m confident that we’ll see real growth in the industry.”

As the market matures, it is likely to see a gradual expansion in product categories, including more demand for edibles and extracts and a shift away from flower.

Pastille lozenges and vape cartridges are already available in the UK, although flower remains by far the most commonly prescribed product type. Windish is hoping to see more doctors utilising oils and extracts, particularly for cannabis-naive patients, to offer a “more balanced and effective hybrid treatment approach.”

In other European markets, Demecan’s previewed its edible product at ExpoPharm earlier this year, while in Luxembourg regulators are planning to restrict access to flower containing high levels of THC, with a view to phase this out entirely in favour of oils.

Fritsch believes we’ll see a shift to more personalised cannabis medicines over the coming year. The company is preparing to offer custom-mixed extract concentrations and alternative forms of consumption, such as specific cannabis concentrates.

Future research will explore the effects of medical cannabis on specific diagnoses, long-term therapeutic outcomes, healthcare cost savings, and differences between delivery methods like extracts and capsules. Its research team also highlighted the advantages of glass containers over plastic for cannabis storage.

The gradual expansion of product categories will also require more innovative manufacturing processes.

Rebecca Allen-Tapp, Product Manager at Paralab Green, which provides cultivation equipment, has seen an increase in companies adopting automation and in-house solutions which offer “greater flexibility, enabling producers to streamline processes.”.

“Investing in flexible equipment positions businesses to adapt as market demand continues to grow and diversify,” she says.

“Equipment such as automated cartridge and vial fillers, NIR spectroscopy for nutrient monitoring, and qPCR systems for early pathogen detection provide significant value, bringing many previously outsourced tasks in-house.”

With increasing concerns around irradiation, Allen-Tapp also reports demand for alternative decontamination methods, such as cryopasteurization. And as ‘small-batch, craft-style cannabis’ carves out a unique niche in the market, there is high demand for equipment tailored to “smaller production volumes that deliver precision and consistency.”