Europe Spends Close to 10 Billion Euros Annually on Cannabis

We already have new data on marijuana consumption in the 28 nations currently comprising the EU, thanks to the annual report put out by the European Monitoring Centre for Drugs and Drug Addiction (EMCDDA). Its conclusions were published in order to provide a comprehensive and joint account of these products within the European Union, their markets, the cash flows they generate, and consumption.

With respect to cannabis, the EMCDDA explained that overall consumption levels have not declined compared to data from the previous report. In addition, this year's estimates indicate that its market share is the largest in terms of value. Its production has, therefore, become a major source of revenue for those involved in the market.

The cannabis market's economic performance is precisely one of the report's most striking aspects. As it states: "these are complex production and distribution systems that generate large sums of money at different levels. One estimate gauges ​​the retail market for illegal substances in the European Union at 24.3 billion euros in 2013. Most of this corresponds to the market for cannabis products, with an estimated retail value of 9.3 billion euros and a share of 38% of the total."

This data bolsters one of the most wielded arguments in support of legalising marijuana: regulation would mean significant economic benefits for states in the form of taxes, in addition to averting sentences entailing incarceration.

Also underscored in the report was the fact that cannabis, both the plant and its resin, was found to be more potent than previously. Explanations for this situation include innovative home growing techniques and the emergence of strains of marijuana with higher THC levels.

With regards to its sale, the inclusion of new technologies and the Internet in the world of cannabis over the last decade appear to have facilitated the development of online marketplaces that are bringing together more and more cannabis users from European countries.

Finally, seizures of cannabis continue to increase year after year; in 2014 there were 682,000 throughout the Union. Most of those involving the plant and its resin took place in Spain. However, these economic conclusions demonstrate that the penal and restrictive policies enacted by Governments are not yielding the desired results, and that deregulatory measures need to be considered in the European framework.