Village Farms opens Phase II Netherlands cultivation facility amid tobacco backing

Expansion marks next step for US operator in Dutch legal cannabis trial as major tobacco stake announced.

FILE — retail · My 420 Tours / CC BY-SA 4.0

Village Farms has commenced Phase II of a cultivation facility in the Netherlands, according to Cannabis Business Times. The expansion follows a major ownership shift announced one day prior: a US tobacco giant took a stake in the operation, positioning itself as the Netherlands' largest regulated cannabis grower. The timing suggests accelerating confidence in the Dutch legal market.

The facility's opening occurs within the context of strong operational momentum. Village Farms reported 171% growth in Netherlands exports and sales as of May, per StratCann. This expansion also unfolds as the Dutch cannabis legalization pilot—which launched in December 2025—was deemed successful after its first year, indicating regulatory stability for licensed producers.

The Phase II cultivation start signals Village Farms' intent to scale production capacity in a regulated European market. Watch for production-volume disclosures and export-market announcements, which will clarify whether the facility targets Dutch supply-chain closure or broader EU distribution under the pilot framework.