New Cannabis Laws In The Pipeline For South Africa

Ever since the implementation of the Private Purpose Bill regarding cannabis in South Africa, there have been many grey areas in the cannabis sphere. These grey areas have caused confusion and uncertainty for cannabis retailers, users, and the justice system alike. Furthermore, investors in the industry are waiting to hear what the outcomes are for recreational cannabis use so that they can take the appropriate steps.

The Cannabis For Private Purposes Bill

The Cannabis for Private Purposes Bill has been making its way through parliament since September 2022. The Parliamentary Monitoring Group (PMG) stated that the bill was necessary due to the 2017 Western Cape High Court ruling.

This court ruling found sections of the Drugs Act and Drug Trafficking Act to be unconstitutional. This effectively allowed adults to grow and use the cannabis plant for personal and recreational use on their own private property/private spaces. 

The Portfolio Committee on Justice and Correctional Services requested permission for the extension of the bill’s subject in late 2022. This is currently awaiting confirmation. Cannabis laws have gained notoriety for being left in a state of limbo, so consumers and producers remain uncertain about its boundaries and regulations.

However, the new bill seems to focus on addressing the grey areas regarding the cultivation, sale, and use of cannabis in South Africa. One of the biggest grey areas include the definition of what can be regarded as a “private space”. 

The lack of clarity on what a “private space” refers to has caused a lot of confusion as to whether this means one’s home, car, and any other owned spaces that may be considered as private. Growers and users are still unsure about this classification and which areas are permissible for the cultivation and use of cannabis. 

The Current State Of The Cannabis Market

The hemp and cannabis market are thriving on a global level, with African countries being significant contributors in the cannabis supply chain. The African Cannabis Report shows that global sales of cannabis and cannabis-related products could reach a total of $102 billion by the start of 2026.

However, South Africa is currently in the early stages of overcoming political, legal, and social obstacles in order to stay in the cannabis industry. Though South Africa has more relaxed laws, a favourable climate, viable farming lands, and an experience in agriculture along with the sustainable production of hemp that makes it a strong contender, the legal grey areas surrounding cannabis brings uncertainty to the market. 

Views On The Medicinal Use Of Cannabis

The legal use of cannabis for medicinal reasons makes this specific market very promising. Nations around the world are starting to legalize the use of cannabis for medical reasons as it has proven to be incredibly effective in treating chronic pain, aiding sleep, and relieving the side effects of Alzheimer’s amongst many other beneficial effects. 

South Africa’s Contribution In The Cannabis Industry

Germany is one of the largest and most developed cannabis markets in the world, along with other European countries with a significant cannabis market for treating medical conditions. South Africa comes into play as these countries source cannabis from our country as there are very strict regulatory requirements imposed by most foreign governments.

The South African Health Products Regulatory Authority has issued 76 licences for the growth of medicinal cannabis, and that is only the beginning. Medical and pharmaceutical research on cannabis is very present in South Africa. Along with South Africa being an ideal place to grow cannabis, it is one of the most ideal places for further research. 

Proposed Growth In The South African Cannabis Industry

President Cyril Ramaphosa conducted a State of the Nation address in 2022 where he announced the plans for the growing hemp and cannabis industry. He stated that the country has clearly recognized the potential of the industry and its potential for investment. Ramaphosa mentioned that the legal cannabis and hemp sector has the potential to create over 130 000 new job opportunities in South Africa.

The South African cannabis industry showed an estimated worth of R87.7 million in 2021. A growth rate of 28.4% is expected by 2026 with a projected income of R406.3 million. However, the commander-in-chief does not simply give the nod to anyone who wants a part in the cannabis industry. Those involved must ensure that they are completely legally compliant.

Due to these statistics, it has been suggested that cannabis could be one of the biggest contributors to improving South Africa’s ailing economy. Parliament will have to take this into consideration when suggesting cannabis laws and regulations, as the cannabis market has the ability to greatly boost the economy.

Proposed Amendments To The Cannabis For Private Purposes Bill

Major strides have been made at the beginning of last year to amend the Cannabis For Private Purposes Bill. The amendments discussed in parliament will allow the commercialization of cannabis, instead of only allowing cannabis use for private and personal use only. 

This comes after Ramaphosa announced that Gauteng will lead the establishment of the cannabis industry. The committee will oversee the regulatory compliance, monitoring, and technological innovations within the cannabis and hemp industry. 

Proposed laws and regulations on cannabis seem to be promising for cannabis growers, suppliers, and users. Although there have been many grey areas in the cannabis sphere, it seems that new laws and regulations may be able to help clear up uncertainty and confusion. This will be beneficial for both medicinal and recreational cannabis users. 

Due to the important contribution cannabis and hemp have in the South African economy, the proposed laws and regulations are aimed at expanding the cannabis market. Cannabis and hemp have the ability to boost the economy to a new level, and may even have the potential to make up for the economic decline experienced during the COVID-19 pandemic. 

Be sure to check out Cannarite for more information on anything cannabis-related. We also have a wide range of cannabis-related products to boost your cannabis experiences to the next level. Enjoy cannabis safely and responsibly with Cannarite.