Village Farms International, Inc. announced it has commenced the build-out of its first indoor cannabis production facility in Drachten, Netherlands. Through its majority-owned (85%) subsidiary, Leli Holland, Village Farms holds one of 10 licenses permitting it to legally produce and distribute recreational cannabis in the Netherlands under the Dutch Program. Leli Holland plans to sell flower and hash products across consumer-preferred formats, including pre-rolls.

Village Farms plans to fund the build-out of the Drachten facility from cash on hand. The Drachten facility, with capacity of up to 2,500 kg of dried flower annually, is the first of two facilities Village Farms has planned to supply the Netherlands legal recreation cannabis market under the Dutch Program. The second, larger facility, to be located in nearby Groningen, has planned capacity of up to 10,000 kg annually with production beginning as early as 2026.