South Africa Passes The Cannabis For Private Purposes Bill
South Africa has passed the Cannabis for Private Purposes Bill, officially regulating possession, use, and cultivation in private settings. The new law removes cannabis from the Drugs and Drug Trafficking Act, enabling future legislative amendments to support cannabis industrialisation
An Overview of Cannabis in South Africa
In September 2018, a groundbreaking ruling by the Constitutional Court legalised the personal and private use of cannabis for adults, paving the way for the establishment of a comprehensive legal framework.
In 2021, South Africa unveiled a National Cannabis Master Plan, highlighting the formal cannabis industry as a transformative force for the country’s economy. Valued at an estimated R28 billion, this industry, which has largely operated clandestinely and thrived on the black market, stands to make a significant impact. At the time, President Ramaphosa, underscored the sector’s potential to generate over 130,000 new employment opportunities.
The National Cannabis Master Plan culminated earlier this week with the passage of the Cannabis for Private Purposes Bill, which President Cyril Ramaphosa signed into law just days ago – and just before a significant national election.
Let’s break down what this means.
Decriminalisation and Legislative Transition
The new law regulates the possession, use, and cultivation of cannabis by adults in private settings while maintaining prohibitions on commercial trade. This regulatory milestone also removes cannabis from the Drugs and Drug Trafficking Act, paving the way for further legislative changes to support the industrialisation of cannabis in the country.
Market Growth
The medical cannabis market in South Africa has undergone significant transformation in recent years, driven by legal reforms and growing awareness of its use in a medical application. This legislation could mark the expansion of even further growth. According to Prohibition Partners, the medical cannabis market is projected to reach US$55.96 million in 2024, driven by evolving regulations and increasing acceptance of cannabis-based treatments.
Patient Demand & Macroeconomic Factors
The growing middle class and increasing healthcare expenditures in South Africa support the expansion of the medical cannabis market. As disposable incomes rise and healthcare access improves, more patients are increasingly seeking natural and alternative treatments to manage ailments such as chronic pain, epilepsy, cancer-related symptoms, and other conditions. (Prohibition Partners) (Vaperite).
A Focus on Quality
The stringent regulations and licensing requirements set by the South African Health Products Regulatory Authority (SAHPRA) have a focus on high product quality. Compliance with Good Manufacturing Practices (GMP) is mandatory for licensed producers, ensuring that rigorous quality standards are adhered to (Prohibition Partners) (Vaperite).
Medically Prescribed Use for Minors
The new law now guides the medically prescribed administration of cannabis for minors. The bill establishes a framework for addressing the prohibited use, possession, or distribution of cannabis by minors, emphasising their well-being and offering alternative strategies to tackle these concerns. Alongside this, the bill ensures the protection of children from undue exposure to cannabis by imposing restrictions on smoking and consumption in public and in the presence of minors, or non-consenting adults.
A Clear Legal Framework for Personal Use
The Cannabis for Private Purposes Bill allows adults to cultivate up to 4 flowering plants (8 if more than one adult resides together) and possess specified amounts of cannabis in private.
Patient-Centred Approach
The emphasis on quality control and regulatory compliance ensures that patients receive safe and effective products. However, the high costs and regulatory barriers can limit the availability and affordability of these treatments for many patients (Prohibition Partners) (Vaperite).
Cultivation and Commercial Production
Cultivation of cannabis for medicinal purposes on a commercial basis still requires a licence from SAHPRA and a permit from the Director-General. The Bill restricts commercial activities such as buying, selling, and trading cannabis, focusing on personal cultivation and use. (Cliffe Dekker Hofmeyr) (Vaperite).
The Bill’s introduction is a positive move towards aligning South Africa’s cannabis industry with Constitutional rulings. As the country moves forward, the focus will be on further streamlining regulations, boosting industrial progress, and safeguarding public health standards.
The Bill’s introduction is a positive move towards aligning South Africa’s cannabis industry with Constitutional rulings. As the country moves forward, the focus will be on further streamlining regulations, boosting industrial progress, and safeguarding public health standards.
Along with Ember Pharms, our wholly-owned subsidiary of CINV, we’re delighted to have joint venture agreements with several South African farms. These farms apply our cultivation standard operating procedures (SOPs) to our cultivars, crafting strains for the global medicinal market. These partnerships elevate product quality and innovation, ensuring patients have access to safe, regulated and effective medical cannabis products.
Sources
Presidency Republic of South Africa, Cliffe Dekker Hofmeyr, Vaperite, MPP, Prohibition Partners, Vaperite
