Medicinal cannabis in Germany - Business Report

152 Confidential __________________________________________________________________________________ Medicinal Cannabis, on the other hand, should only be purchased through official distribution chan- nels, i.e. either from the importers mentioned in point 9.2 or from the wholesalers mentioned in point 9.3. The future distribution channel for the medicinal Cannabis produced in Germany by the companies Aurora, Aphria and Demecan is likely to be interesting. The medicinal Cannabis produced by these companies is purchased by the German Cannabis Agency on contractually agreed terms. The Cannabis agency will then probably resell the medicinal Cannabis to wholesalers via an official tender, as it is neither intended that the Cannabis agency should store the goods nor that it should trade the medi- cinal Cannabis directly. This opens an interesting opportunity for the "classic" wholesale trade to enter this new market against the importers. The distribution channels for Cannabis, and in particular for prescription drugs, are still new and only just developing. "Classic wholesale" Importers Internet Finished phar- maceutical products Formulation substances Almost all Canna- bis products Sativex® Canemes® Cannabis flowers Cannabis extracts Cannabis oils Post, DHL etc. di- rectly to the end customer __________________________________________________________________________________ Figure 53: Distribution channels for Cannabis in Germany German Cannabis Agency Buy Cannabis from: ▪ Aphria ▪ Aurora ▪ Demecan Stores the Cannabis with a service provider Tenders the sale and distribution to public pharmacies Classic wholesalers and/or importers win the tender and supply the pharmacies