Village Farms International has reached a new construction milestone in the Netherlands, advancing the second phase of its licensed recreational cannabis expansion under the Dutch Closed Supply Chain Experiment.
The company confirmed that critical infrastructure has been delivered to its Phase Two facility in Groningen, where the building structure is now largely complete and construction has shifted toward the installation of customized climate and cultivation technology systems. The Groningen site is designed to support high levels of precision, operational efficiency, and consistent product quality tailored to Dutch consumer expectations.
© Leli Holland
The latest delivery included advanced ammonia based cooling and heating systems, brought on site using the largest crane currently operating in the Netherlands. According to the company, the technology enables highly efficient temperature control while reducing overall energy consumption and environmental impact through the use of natural refrigerants.
Village Farms stated that the systems have been selected for long term performance and durability and are aligned with its broader sustainability strategy in controlled environment agriculture.
The Groningen facility represents the second and larger phase of Village Farms' Dutch rollout. Once operational, it is expected to produce up to 10,000 kilograms of dried cannabis flower annually, significantly expanding the company's supply capacity for the regulated recreational market. Production at the site is currently targeted to begin as early as 2026.
Village Farms entered the Dutch market through its majority owned subsidiary Leli Holland, which holds one of ten licenses issued by the Dutch government to legally produce and distribute recreational cannabis to participating coffeeshops. The company's first Dutch facility, located in Drachten, is designed to produce up to 2,500 kilograms annually and serves as the initial phase of its two step market entry strategy.
The Dutch Closed Supply Chain Experiment is a four year government program intended to evaluate whether controlled, legal production and distribution can replace the country's long standing tolerance model for cannabis sales. Ten licensed producers are authorized to supply cannabis exclusively to approximately 100 coffeeshops across ten municipalities, with the results expected to inform future national cannabis policy.
For more information:
Village Farms International Inc.
Tel.: +1 (407) 936-1190
villagefarms.com
