Demand for low-THC cannabis products in Austria is considerable. Such products, often referred to as ‘cannabis light,’ were widely available in the European country in recent years, although they have been subject to an increasing amount of focus by cannabis opponents, regulators, and policymakers in Austria.
Earlier this year, Austria’s Ministry of Finance determined that dried hemp flowers with a THC content of up to 0.3% are subject to the country’s tobacco tax and monopoly. That decision has had a significantly negative impact on the nation’s emerging cannabis industry.
According to the Austrian Cannabis Federation (ÖCB) (translated from German to English), “the planned monopolization of CBD flowers by classifying them under the Tobacco Monopoly Act, as indicated in the Administrative Court’s decision of January 29, 2025, not only creates legal uncertainty but also endangers numerous economic structures in Austria. What was intended as a regulatory measure is developing into a risk to jobs, businesses, and sustainable development.”
The organization estimates that at its peak, Austria was home to roughly 400 to 600 active CBD specialty stores that sold cannabis light products, and that annual industry sales reached as much as 600 million euros. The cannabis light sector also employed an estimated 1,500 people, with many of those workers being employed in a full-time capacity.
“According to the Federal Office for Agriculture, around 1,891 hectares of hemp were cultivated in Austria in 2022 – mostly by over 1,000 farms focusing on CBD-rich varieties.” ÖCB states on its website. “Initial estimates suggest annual damages of 150 to 200 million euros – significantly more than a monopoly could realistically generate.”
Austria’s government is facing ongoing legal challenges from cannabis industry members over its determination that cannabis light products fall under the Tobacco Monopoly Act, and at least one legal opinion previously found that the government’s determination violates European Union policies and Austria’s constitution.
“The Austrian cannabis industry is breathing a sigh of relief after the publication of a constitutional opinion by leading jurist Dr. Heinz Mayer. According to Mayer, the sale of CBD weed with less than 0.3% THC is not subject to the tobacco monopoly, despite earlier reports from the Ministry of Finance. This would allow CBD shops to legally resume the sale of smokable cannabis products.” reported Cannabis Industrie in its coverage back in April 2025 (translated to English).
“Mayer argues that the ruling of the highest administrative court only confirms that CBD weed falls under tobacco excise duty, not under the monopoly itself. According to him, an extension of the tobacco monopoly to cannabis would be in conflict with the Austrian constitution and European law.” the outlet also reported.
Unfortunately, the legal opinion by Dr. Mayer has reportedly not resulted in legal cannabis light product sales resuming, and the legal battle is ongoing, as recently discussed by Hanf Magazin in its reporting.
“Despite the report by Prof. Heinz Mayer, the sale of CBD flowers has not resumed to date. The legal uncertainty was too great. The Ministry of Finance pointed out that although the report is under review, it is unlikely to lift the sales ban. A new result from this review has not yet been available. In fact, it has been impossible to buy CBD flowers in Austria for months, as shops were not allowed to sell them and tobacco shops did not yet have any products in their range.” the outlet reported (translated from German to English).
Hanf Magazin also reported that cannabis light product sales are expected to resume this month, but only in licensed tobacco shops. Those shops are required to source their products from certified wholesalers and all wholesalers “are required to undergo testing by certified laboratories.” Those regulatory requirements could result in further delays.
“Austria is home to over 8.5 million people and one of the largest populations of medicinal cannabis patients in all of Europe, thus representing a potentially very large cannabis market.” states Higher Yield Consulting about the Austrian medical cannabis sector. “Medicinal cannabis has been legal since 2008, but it’s highly regulated and restricted. The law only allows the use of three cannabis-based products — Sativex, Nabilone, and Dronabinol — to be prescribed to patients with a limited number of qualifying conditions, and cannabis flowers are prohibited.”
According to the most recent data reported by the European Monitoring Centre for Drugs and Drug Addiction, 22.7% of Austrian adults report having consumed cannabis at least once in their lifetime, 6.3% report having consumed cannabis within the last year, and 3.6% report having consumed cannabis within the last month.