Many things have changed in the world of cannabis in recent decades thanks to the hard work of cannabis activists around the globe and the spread of policy reform. Unfortunately, some things have remained the same, particularly unfounded claims being made by cannabis opponents in their ongoing effort to cling to failed cannabis prohibition. A recent example of this can be found in Europe, where authorities are claiming that North American legalization is turning European countries into ‘narco states.’
Belgium’s head of customs recently made comments blaming Canada’s historic 2018 national adult-use cannabis legalization measure for a surge in cannabis seizures at the Belgian port of Antwerp-Bruges. While seizures in Belgium involving cannabis originating from Canada have increased from 2024 to 2025, no evidence has been offered by Belgian authorities proving that the seized Canadian cannabis came from regulated sources.
The comments made by Belgium’s head of customs are similar to comments made by authorities in other European countries and by the European Union Drugs Agency (EUDA). Earlier this year, the EUDA warned of a “sharp increase” in cannabis being smuggled into Europe from North America.
It is no secret that wherever cannabis sales are prohibited, unregulated sources of cannabis will fill the void. History is very clear about that. However, rather than concluding that the world needs more cannabis prohibition, the available evidence suggests that cannabis prohibition has significant limitations and that policymakers should consider alternative regulatory approaches.
Legalization Is Displacing the Illicit Market
The fact of the matter is that North America does not have a cannabis legalization problem. Rather, Europe has a cannabis prohibition problem. Cannabis regulation works, and enough data has surfaced to sufficiently demonstrate that when cannabis consumers are allowed to purchase cannabis from legal sources and cultivate cannabis at home, most of them will choose to do so instead of obtaining cannabis from unregulated sources.
Uruguay became the first country on the planet to adopt a national adult-use cannabis legalization measure back in 2013, with sales of legal recreational products beginning in Uruguay’s pharmacies in 2017. Consumers also have the option of cultivating cannabis at home or joining a cultivation association in Uruguay. According to Uruguay’s National Drug Board, the nation’s legal cannabis model has dramatically eroded the market share of Uruguay’s unregulated cannabis sources.
A similar trend has occurred in Canada. According to a market analysis conducted last year by a team of investigators affiliated with academic and research institutions based in Canada, the U.S, and the U.K., Canada’s legal cannabis industry had captured a 78% market share post-legalization.
One of the most dramatic shifts caused by cannabis policy modernization efforts can be found along the border between the United States and Mexico. As legal cannabis commerce spread across the United States in recent years, demand for cannabis smuggled into the country from Mexico decreased exponentially. As of the end of 2022, U.S. Customs and Border Protection indicated that cannabis seized at ports of entry along the Mexico/U.S. border had decreased by 98%.
Europe’s Prohibition Creates an Illicit Market
To any objective observer, it isn’t surprising that unregulated North American cannabis producers are looking for other markets to sell their products in. Clearly, their domestic options are dwindling with every passing year as cannabis consumers shift their purchasing power away from unregulated sources toward regulated retailers. The same will prove to be true in every other market once regulated cannabis sales are permitted. If authorities want to eliminate the illegal cannabis market in their jurisdiction, they should adopt sensible cannabis industry regulations because, obviously, cannabis prohibition will never achieve that goal.
Regulation Delivers Broader Economic Benefits
A regulated cannabis industry provides many benefits to jurisdictions that allow it to exist. The legal cannabis industry creates jobs, including in rural areas where job creation is often more difficult. A legal industry also boosts local economies and generates significant tax and fee revenue for public coffers. In the U.S., where less than half of the states have adopted adult-use legalization, recreational sales have generated more than $28.4 billion in tax revenue since 2014.
Additionally, adopting adult-use cannabis legalization allows governments to stop wasting money on enforcing failed cannabis prohibition, which can result in tremendous savings. Prior to Germany adopting the historic adult-use cannabis legalization CanG measure in April 2024, the nation’s government was spending an estimated 1.3 billion euros per year on cannabis prohibition enforcement. France currently spends an estimated €570m annually on cannabis prohibition enforcement. Freeing up those funds allows them to then be earmarked towards more worthy causes, including fighting real crime. All members of a society benefit when that happens, not just cannabis consumers.
