Contributed By NOOA Avocats
In France, cannabis and cannabinoids are regulated by a complex set of rules composed notably of laws, decrees and ministerial orders setting forth a general prohibition of cannabis, which is classified as a narcotic substance.
General Prohibition of Cannabis Under French Law
According to the French public health code, the production, manufacturing, transportation, importation, exportation, possession, sale, purchase and use of plants, substances or preparations classified as poisonous, including narcotic substances and psychotropic substances, are governed by regulatory provisions defined by ministerial orders. For the sake of clarity, ministerial orders (Arrêté in French) are administrative acts published by ministers and set forth certain rules regulating (for instance) specific sectors, products or activities.
The French ministerial order of 22 February 1990 (Appendix I) classifies cannabis and cannabis resin as narcotic substances. More specifically, French law strictly prohibits the production, manufacturing, transportation, importation, exportation, storage, supply, distribution, purchase or use of:
Exceptions to the General Prohibition Rule
Nevertheless, French law provides for several exceptions.
To date, cannabis regulation remains a work in progress since there is no fully established legal framework in France. Adult-use cannabis is not legal, and legalisation thereof is unlikely to happen any time soon. Medical cannabis (other than medicinal products holding a marketing authorisation) is currently only authorised and therefore accessible through a pilot programme. Regulation on wellness hemp is the most developed framework, but remains subject to grey areas that could benefit from numerous clarifications for the sake of a safe market both for consumers and for operators.
Medical Cannabis
Medical cannabis is only allowed in France if the product is a medicinal product that holds a marketing authorisation or is accessible through early access programmes (eg, Sativex, Epidyolex, Marinol) issued by the French or the European competent health authority, or if the cannabis product is supplied, prescribed and administered to patients as part of a pilot programme that started in March 2021.
In other words, any activities related to the cultivation, production, manufacture, transportation, importation, exportation, detention, supply, transfer, acquisition or use of cannabis for exclusively therapeutic purposes outside one of the above-mentioned frameworks are considered criminal offences related to drug trafficking and are therefore prohibited in France.
The ongoing pilot programme on therapeutic cannabis, which began in March 2021, was designed to enroll up to 3,000 patients over a two-year period to assess the feasibility of the supply, prescription and delivery of medical cannabis to patients for whom no other therapeutic alternative is available. Because there is no domestic production line in France, supply is performed exclusively by foreign companies who were selected through a tender, and who were initially required to supply the products free of charge and at their own costs for the entire duration of the pilot programme.
The requirements related to the products, the supply chain, physician training, prescription and delivery as part of the pilot programme were set out in a statement of work published on 19 October 2020, as summarised below.
While legalisation of medical cannabis was expected at the end of the two-year programme, the French authorities decided to extend the pilot programme by one year (Decree No 2023-202 of 25 March 2023). As part of the extension of the programme, the products are no longer supplied for free by the selected suppliers and some clarification was provided as to the requirements and modalities related to physicians’ and pharmacists’ participation in the pilot programme, training, remuneration and product specifications by three ministerial orders dated 25 March 2023. This point is detailed further in 1.4 Key Challenges.
Industrial Hemp and Cannabinoid-Based Consumer Products
Industrial hemp and hemp extracts are governed by the French ministerial order of 30 December 2021, authorising the cultivation, importation, exportation, and industrial and commercial use of hemp plants that contain up to 0.3% of THC and that are duly registered on the Common Catalogue of Varieties of Agricultural Plant Species or the French Catalogue of Plant Varieties and Species.
Hemp extracts and hemp-derived finished products containing extracts can be legally marketed in France if they meet the following requirements:
In addition, specific rules apply depending on the category of the finished products concerned, as follows.
It should be noted that the ministerial order of 30 December 2021 initially set forth a prohibition on the retail sale to consumers and possession, use and/or consumption by consumers of raw hemp flowers and leaves, regardless of their form (eg, smoking products, potpourri, tea), whether alone or mixed with other ingredients (such as tea preparations), hence limiting the authorised use of the entire hemp flower to industrial use only.
Several legal actions were commenced in order to challenge this prohibition before the French Council of State (Conseil d’Etat), which repealed the litigious provision in a ruling of 29 December 2022, notably judging that the French government had failed to bring sufficient proof of an actual risk to public health or public order such as they were using as grounds for the prohibition (please see 1.5 Level of Regulation for more detail).
The cannabis sector is controlled by several competent authorities, each charged with specific missions.
There are several trade bodies and organisations in France in charge of medical cannabis or industrial hemp-related activities, including:
These organisations represent players in the industry and participate in the setting of legal frameworks related to medical cannabis or industrial hemp.
Medical Cannabis
As medical cannabis is only authorised as part of the pilot programme or as a licensed medicinal product, market opportunities in France are currently limited to foreign suppliers who were selected for the implementation of the pilot programme or to the marketing authorisation holders of cannabis-based medicines, as the case may be.
The lack of clarity on the exact timing of legalisation of medical cannabis in France, as further discussed in 3.1 Legal Elements Affecting Access to Medical Cannabis, creates a lot of uncertainty for other players seeking to enter the French market.
Wellness Hemp
Companies producing and distributing cannabinoid-based consumer products, including CBD products, also face a certain number of challenges.
Until the recent decision by the French Council of State, the distribution of raw hemp flowers and leaves to consumers in France was made at risk. Numerous controls were run by law enforcement, resulting in stores being shut down and store owners brought to criminal courts for drug trafficking. While the decision of the Council of State has allowed distribution and sale of these products to resume, it should be noted that the French government is expected to modify the ministerial order of 30 December 2021. However, it remains unclear what modifications will be made and if any new restrictions will be set out.
Another major challenge for operators in the French market relates to novel food. The quite limited controls run by the French competent authorities on the market in past years, combined with the absence of a clarified position being taken by such authorities, creates uncertainty and generates risk for market players, who are still likely to face controls and sanctions.
Finally, litigation has also arisen between economic players, with some companies engaging in lawsuits against competitors on the grounds of unfair competition for selling CBD foodstuffs before the CBD has been given the requested marketing authorisation from the European Food Safety Authority (EFSA).
Medical Cannabis
As medical cannabis is not legal yet, the legal framework remains quite undeveloped as the existing rules have only been set out for the purpose of the ongoing pilot programme.
Following the extension of the programme, legalisation of medical cannabis in France is now expected in 2024. The legal framework is currently being developed, but to date there is still a lack of visibility as to certain fundamental questions, such as regarding:
Consumer Products
The regulation of CBD-based consumer products has been subject to many changes over the past three years. Case law has notably played a major role in the evolution of the applicable regulation. Currently, even if recent case law repealed the provisions prohibiting retail sale to consumers of raw hemp flowers and leaves, the government is expected to modify the ministerial order of 30 December 2021.
However, there is still some lack of clarity as to what the new provisions will be, and whether regulation allows retail sale to consumers of raw hemp flowers and leaves, whatever their form, or whether some restrictions still apply regarding certain categories of products.
Conducting business in an emerging sector, for which the legal and regulatory framework is not entirely developed, necessarily involves risks.
The most common identified risk is that related to THC levels contained in products. Any product containing more than 0.3% of THC, and which is not a cannabis-based medicine holding a marketing authorisation or a cannabis product supplied as part of the pilot programme on therapeutic cannabis, or which has not been authorised for research and development purposes, is considered a narcotic, and any activity related to such product is therefore considered a drug trafficking offence.
In addition, companies distributing hemp-derived products including CBD products to consumers must be aware of the following risks.
Various authorities oversee compliance depending on the category of products concerned. Controls and administrative sanctions are applied by the ANSM for medicines, other health products and cosmetics, while the ANMV is the enforcement authority for veterinary products.
For consumer products, the DGCCRF runs frequent controls to verify compliance with the requirements on claims, presentation and labelling of products as well as to identify any misleading commercial practices in relation to food products, food supplements and even cosmetic products. The DGAL oversees enforcement in the case of any breaches of food safety requirements.
The competent authorities can apply administrative sanctions, such as:
They can also apply administrative fines to infringing companies.
In addition, several types of criminal penalties can apply. For criminal offences, enforcement is the responsibility of the public prosecutor who can decide to prosecute either following police investigation or upon transfer of a report from the competent authorities mentioned above.
Among the common criminal sanctions that can apply in relation to the cannabis industry, it is worth noting the following:
Under French law, the amount of the fine applied to an individual is multiplied by five when applied to companies.
The main cross-border issues concern THC levels. The maximum THC level allowed in France is 0.3%.
Consequently, any product containing THC above this maximum level is considered a narcotic and falls under drug trafficking regulation, except where the product is:
Issues are likely to happen in the case of importation of products manufactured in other EU member states where allowed THC levels are higher than in France (eg, Italy, the Czech Republic), or of those manufactured in non-EU countries such as Switzerland, where consumer products can contain up to 1% of THC.
Other issues may arise in relation to importation of finished products manufactured in non-EU countries where the applicable regulation is different from French and/or EU regulation. In practice, issues have been observed in the market in relation to the composition of some products (eg, cosmetic products containing unauthorised ingredients or ingredients subject to limitations on levels above the maximum authorised levels) or in relation to the labelling of products (eg, those missing mandatory information).
Finally, the use of the wrong tariff codes as part of importation/exportation activities would likely constitute tax fraud.
Operators should therefore be extremely cautious when engaging in importation/exportation activities, in particular between EU and non-EU countries.
Access to medical cannabis remains very limited in France. Indeed, very few cannabis-based medicines holding marketing authorisations are available on the market, and they are only prescribed to a limited number of patients for very specific therapeutic indications.
Medical cannabis (other than cannabis-based medicines holding a marketing authorisation) is only authorised as part of the pilot programme, which has been designed for 3,000 patients. To date, the pilot programme involves approximatively 1,500 patients (ie, half the number initially planned).
In addition, following the decision in March 2023 to extend the pilot programme by one year, some product shortage situations have been reported.
Nevertheless, with legalisation expected to happen in 2024, the legal and regulatory framework is currently being set up. In particular, the following aspects need to be defined and regulated:
Many questions remain as to what the exact scope of the legal framework related to medical cannabis will be.
France is therefore being watched closely by market players anxious to enter the market once medical cannabis is legalised. In the meantime, most players are trying to navigate the practical and legal uncertainties around expected legalisation.
Broadly speaking, food products can be placed on the market provided they meet the general safety requirements set out by applicable laws and regulations, notably Articles 14 and 15 of Regulation (EC) 178/2002.
The Novel Food Regulation
However, as in other EU member states, cannabinoids (including CBD) and food products containing cannabinoids are considered a novel food as per Regulation (EC) 2015/2283 of 25 November 2015 related to novel food (the “Novel Food Regulation”), and are registered as such in the Novel Food Catalogue.
Novel foods are products for which the history of safe consumption before 1997 has not been demonstrated. These products must therefore obtain an authorisation from the EFSA prior to being placed on the market. The prior authorisation requirement applies both to cannabinoid extracts and to finished products containing cannabinoid extracts as an ingredient, regardless of whether the extract is natural or synthetic.
Consequently, some food products that are derived from the hemp plant (eg, hemp seed oils, hemp seed flour and hemp seeds) are not considered novel food and can legally be placed on the market.
However, hemp extracts and any products to which hemp extracts have been added as an ingredient (eg, hemp seed oil, drinks, waters and chewing gum enriched with CBD) are considered novel food and as such may not be placed on the market until a risk assessment has proved that they are safe for consumption and a novel food authorisation has been granted for CBD or another cannabinoid, as the case may be.
In addition, it should be noted that French Decree No 2006-352 of 20 March 2006 on food supplements expressly prohibits the use of novel food in the manufacturing of food supplements. Consequently, according to this regulation, only hemp seeds can be used in the manufacturing of food supplements (eg, cold-pressed hemp seed oil, grounded hemp seeds).
Enforcement of the Novel Food Regulation in France
In recent years, the enforcement of the Novel Food Regulation regarding CBD has apparently been handled very differently from one member state to another.
More specifically, while some countries’ competent authorities have adopted a clear position on the implementation of the Novel Food Regulation and are taking restrictive measures accordingly, it appears that enforcement in France has remained quite limited, with frequency of controls varying depending on region.
This has resulted in a very large number of CBD food products being placed on the French market. These products can be found at CBD stores, pharmacies and supermarkets.
The quite limited actual enforcement by the competent authorities, combined with the lack of a clear and official position regarding the placing on the market of CBD food products and dietary supplements, has created an insecure environment where operators distribute their products while still being exposed to controls and potential sanctions, notably including:
Several novel food authorisations have been applied for before the EFSA. However, to date no authorisation has been given for CBD.
Another issue resulting from the lack of regulatory clarity relates to the CBD levels contained in products. While some medicinal products containing high doses of CBD have obtained marketing authorisation, other consumer products available on the French market (and in particular at pharmacies) are also marketed with a very high CBD content, often along with therapeutic claims, and are largely used by consumers for self-medication, which is not without risk for the consumers. To date, there is no legal provision or official position from the competent authorities establishing a maximum level of CBD permitted to be used in consumer products.
With medical cannabis legalisation still under discussion and the regulatory framework still being put in place, further clarifications may be expected as to what threshold should determine qualifying a CBD product as a consumer product or as a medicinal product requiring an authorisation to be placed on the market, hence providing clearer definitions for both categories of product.
While France is often described as Europe’s biggest consumer of cannabis, it also has some of the toughest laws against drugs. Although the conversation regarding whether cannabis should be legalised has arisen several times over the past few years, with lobbying actions being engaged or public consultation launched, cannabis remains a major stigma in France.
To date, there has been no discussion as to whether or not cannabis for recreational purposes should be legalised, and based on the current government’s firm position on narcotics (particularly cannabis), it is very unlikely that any change should be expected until at least the next presidential elections, which will take place in 2027.
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