Posted August 15, 2019 06:03:23 The first batch of the world’s first licensed growers is due to be shipped from the United States to Europe this week, as growers seek to fill a growing demand for cannabis products in Europe.
Key points:A new company, Bloom, is set to roll out cannabis products across Europe in 2019A $50 million fund is being established to support the industryThis news comes as Australia has set up a $50m fund to support cannabis-based products, and more than 400 growers are looking to open their doors to European customers.
Key events in cannabis policyAustralia is set for a landmark cannabis policy on the eve of a landmark election when voters will choose whether to end a long period of prohibition on cannabis.
In November’s election, the Government announced it would make cannabis a criminal offence, and the federal Government has committed to legalise the drug.
Key issues around cannabis are being tackled, with the Government introducing a $250,000 fund to assist growers in opening up their business.
The Government has also promised to roll back the prohibition on cultivating cannabis in order to give Australian farmers the tools they need to compete with overseas rivals.
What is the cannabis industry?
There are more than 80,000 licensed cannabis growers in Australia, with some exporting to more than 200 countries.
The industry is based on growing the cannabis crop, which is dried, ground and smoked.
It is estimated there are between 100 and 200,000 people in the country who grow cannabis.
The main factors driving demand for the product are:Low pricesHigh yieldsGreat supply of productsHigh demandThe industry’s main competitors are other forms of medical marijuana and a growing number of cannabis-related businesses, such as grow houses, have been established to supply their products.
But despite a booming economy, cannabis is still illegal under the Federal Government’s current cannabis law.
Why is the Australian Government introducing legislation to legalize cannabis?
It is believed cannabis could be legalised under a combination of measures, including:Legalisation of recreational use in some states, where it is currently illegal, as well as a new cannabis tax systemThe Government wants to allow a small number of licensed growers to sell products through a wholesale market, but this is subject to approval by the High Court.
What are the key issues for growers?
There have been some major issues facing the industry in recent years, with growers increasingly feeling the need to relocate overseas to grow cannabis as demand grew.
For instance, there have been a number of major issues related to pesticides, such a a shortage of cannabis oils that was caused by the introduction of synthetic pesticides.
As well as this, there has been a lack of research into the cannabis plant, resulting in the growth of a number different strains, all with different properties.
Some of the strains are known to have high levels of THC and CBD, which has led to fears that some growers will simply stop growing their plants.
The first batch is due this weekThe price of the crop will be capped at $1 per gramThe Government is also looking to make cannabis more accessible, with its $50million fund being established.
How does it work?
The $50mn fund will be set up to support growers in setting up their businesses, and to assist them with any problems they have encountered while growing their products, such like pesticides, mould or pests.
This means growers will be able to sell their cannabis through a retail marketplace, rather than through the wholesale market where it would be illegal.
However, it will be up to growers to ensure they are using only approved, accredited and certified growers.
In addition to the $50ml fund, growers will also be able set up their own grow rooms.
In some cases, growers may be required to apply for a license to grow their own cannabis, with cannabis-specific licenses available for specific conditions, such that they can grow for a specific amount of time or for specific uses.
The Federal Government has promised to introduce a new legal cannabis scheme that will give growers the tools needed to compete in the market.
What does it mean for Australian farmers?
This is not the first time Australia has tried to bring cannabis into the legal market.
The previous Australian government was also unable to get the first licensed Australian growers to sign up.
The move has been criticised by the Australian Farmers Union, who argue that it will make the cannabis supply chain more expensive.
How will the new law affect the cannabis market?
The Government will set up the Cannabis Act 2017 in the Federal Parliament, with legislation to be introduced in the Legislative Council in 2018.
There will also have to be a number to be approved for the new cannabis law, and it is not expected that the first batch will be sold before 2018.
What do Australian growers have to look forward to?
While many Australians are looking forward to the new legal regime, there are a number that have been waiting