It was encouraging to read in Business Day about the efforts of the Agricultural Research Council (ARC) to advance its cannabis and hemp research and, importantly, the seeds of this plant. Globally, the mood is somewhat downbeat on cannabis but that is no reason to change our focus in SA. These things tend to move in cycles.
The ARC’s previous work on this plan, along with its continuous effort, is essential. For some time I have been troubled that for all our talk about cannabis and hemp in SA, we move very slowly on the legislative aspects that would enable the proper cultivation and development of this plant. We have been slow in providing a clear regulatory path for this plant, and the licensing price has been prohibitive for some people.
When we finally progress with research, regulations and a clear policy framework for hemp and cannabis, I still believe the plant could be a catalyst for revitalising rural communities. It could also create opportunities for “cannatourism”, particularly in rural areas of the Eastern Cape, KwaZulu-Natal and Limpopo. Of course, life won’t drastically change because of this plant, but it will bring some value.
As many countries are focused on this plant, we need to think of ways of distinguishing ourselves in SA. It may well be that our competitive advantage could be built on the back of a transparent and predictable regulatory framework; an open investment regime; robust R&D support; knowledge networks that bring together university researchers, centres of excellence and other industry players; a product quality and standards authority; and a low-cost licensing regime.
Importantly, we need to consider practical ways to ensure that production and value chains don’t mainly develop in areas that have always been the leading agricultural zones and urban areas with better access to investment.
The communities of the Mpondoland region of the Eastern Cape have been growing this plant in the shadows of the law for many years and should benefit from its liberalisation. But does the government have a clear plan for mobilising investment and value chain development in these regions?
Perhaps the Eastern Cape, KwaZulu-Natal and Limpopo provincial agricultural departments should lead and lobby their national colleagues to refine and craft the regulations to encourage investment in these provinces.
Wandile Sihlobo
Chief economist, Agricultural Business Chamber of SA
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