Canada continues to dominate the international trade in medical cannabis, while the global market enters a more competitive and mature phase. According to Global Cannabis Exchange and StratCann, Canadian producers exported more than 275 tonnes of medical cannabis in 2025, an increase of 143 percent compared with the previous year. Germany was by far the most important destination market, with shipments from Canada increasing by 298 percent.
The development shows how quickly the international market is changing. After several years of expansion, growth remains strong, but competition is becoming tougher. More countries are building export capacity, prices are being pushed down, and import markets are placing higher demands on documentation, quality and traceability.
Export growth is driven by international demand
Canada’s export surge comes against the backdrop of a domestic market marked by oversupply, weaker price development and intense competition. For many Canadian producers, international markets have therefore become an increasingly important source of revenue.
Global Cannabis Exchange describes Canada as the largest single force in the global supply chain. In 2025, the country had estimated production of 3.1 million kilograms and exported 275,270 kilograms of medical cannabis. Germany, Australia, Portugal, Israel and the United Kingdom are identified as key destination markets.
Germany stands out most clearly. The country imported just over 201 tonnes of medical cannabis in 2025 and has quickly become Europe’s most important patient market. Australia is also a major import market, with more than 77 tonnes of medical cannabis imported in 2024.
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Price pressure is reshaping the market
The sharp increase in supply has contributed to price pressure in several key markets. Earlier premium prices in countries such as Germany and Australia are gradually being replaced by more volume-driven markets, where greater availability and more suppliers make buyers more price-sensitive.
In Germany, wholesale prices for imported dried flower in spring 2026 ranged from around €0.60 to €3.48 per gram, depending on THC content and certification. In Australia, corresponding import prices ranged from around AUD $1.12 to AUD $4.25 per gram.
Low-cost producers from countries such as Thailand, Colombia and South Africa are also contributing to downward price pressure. At the same time, low production costs alone may not be enough. In the most attractive import markets, certifications, documentation and reliable delivery capacity are becoming increasingly important.
Stricter rules may benefit established producers
As markets become more formalized, the demands for compliance are increasing. Germany, the United Kingdom and Poland are reviewing or tightening rules related to distribution, prescribing and documentation. EU-GMP-related controls and traceability requirements are also reducing the room for operators with weaker systems.
This may benefit Canada. Canadian producers often have longer experience with regulated cultivation, documented processes and international trade than many newer export countries. That advantage becomes more important as the market moves from rapid expansion toward a more professional, pharmaceutical-style structure.
Canada’s strength is therefore not only based on volume. It also rests on cultivation experience, established quality routines, international customer relationships and the ability to deliver consistent batches over time.
Germany is both an opportunity and a risk
Germany is the most important market for Canadian exports, but also one of the most uncertain. The country’s medical market grew sharply in 2025, partly through increased use of digital healthcare models. At the same time, changes to Germany’s medical cannabis law are being discussed, including possible restrictions on new remote prescriptions and mail-order sales.
If the rules are tightened, demand could be affected, at least in the short term. Poland is often highlighted as a warning example, where restrictions on certain prescribing models led to a sharp decline in prescriptions before the market began to recover.
Despite the uncertainty, Canadian companies continue to position themselves in Europe. Organigram has acquired Berlin-based Sanity Group, while High Tide has purchased a majority stake in the German distributor Remexian Pharma. These deals show how scale, certification and established distribution channels have become central competitive factors.
Europe is becoming increasingly important
Europe is not a single unified market, but several countries are becoming more important in global trade. Portugal functions as a key processing and export hub, especially for shipments to Germany. The country exported an estimated nearly 50 tonnes of medical cannabis in 2025, while its domestic patient market remains small.
The United Kingdom is also growing quickly and is described as Europe’s second-largest medical market. The country remains dependent on imports and had estimated import volumes of 18,665 kilograms in 2025. At the same time, clinic models, prescribing patterns and high-potency products are also facing closer scrutiny.
France and Brazil are highlighted as major future opportunities, but both markets are expected to develop cautiously under strict regulatory frameworks. This reinforces the picture of a global market where growth remains, but where rapid commercial expansion is increasingly slowed by political and regulatory processes.
A market entering its next phase
The global trade in medical cannabis is shifting from an early expansion market to a more mature and competitive industry. For exporters, producing large volumes is no longer enough. Buyers are looking for the right certifications, stable quality, documentation and a supply chain that can withstand regulatory scrutiny.
Canada still has a clear advantage. The country is the largest exporter, has established producers and has built up regulatory experience over many years. But that position is not guaranteed. Low-cost countries are pushing down prices, European hubs are becoming more independent, and key markets such as Germany can change quickly through new regulations.
Overall, the reporting shows that Canada’s export dominance remains, but that the global market is becoming less speculative and more demanding. The future winners are likely to be those that can combine price, quality, certification and reliable international distribution.
Sources
Canada’s cannabis export dominance remains despite global price compression, rising standards
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