In the Netherlands, coffeeshops are establishments where the sale of cannabis for personal consumption by the public is tolerated by the local authorities.
Under the drug policy of the Netherlands, the sale of cannabis products in small quantities is allowed by licensed coffeeshops. The majority of these also serve drinks and food. Coffeeshops are not allowed to serve alcohol or other drugs, and risk closure if they are found to be selling soft drugs to minors, hard drugs or selling alcohol. The idea of licensing the sale of cannabis was introduced in the 1970s for the explicit purpose of keeping hard and soft drugs separated.
In the Netherlands, 105 of the 443 municipalities have at least one coffeeshop.
A Dutch judge has ruled that tourists can legally be banned from entering cannabis cafes, as part of restrictions that were implemented in 2012. This ban is implemented by the municipalities and does not apply to the city of Amsterdam and other large cities in the Netherlands.
Dutch coffeehouses not serving cannabis are called café, however this word can also refer to a bar.
In the Netherlands, the selling of cannabis is "illegal, but not punishable", so the law is not enforced in establishments following these nationwide rules:
For some offenses, a business may be forced to close for three to six months; for others, the business may be closed permanently. All these rules are detailed in official policies.
Coffeeshops are no longer allowed to sell alcohol. Most coffeeshops advertise, and the constraint is more moderating than outright prohibitive. In a gesture of discretion still technically required, many coffeeshops keep the cannabis menu below the counter, even when the cannabis itself is in more-or-less plain view. Dutch coffeeshops often fly green-yellow-red Ethiopian flags, other symbols of the Rastafari movement, or depiction of palm leaves to indicate that they sell cannabis, as a consequence of the official ban on direct advertising. This aesthetic attracts many public artists who may be paid to create murals in the coffeeshops and use the Rastafari and reggae related imagery.