cannabis floating in air - Growing Medicinal Marijuana in New Zealand

Growing Medicinal Marijuana in New Zealand (What You Should Know)

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Ameer Asghar
Ameer is an enthusiastic writer who believes in the remarkable potential of the cannabis plant to lead people towards natural health alternatives, steering them towards a path of improved well-being and health.
Contents hide
1 Learn Legal Regulations for Growing Medicinal Marijuana in New Zealand
2 Medical Cannabis Legalization in New Zealand
3 Medical Marijuana Regulation in New Zealand
4 How To Get A Licence To Produce Medicinal Cannabis In New Zealand
5 New Zealand’s Cannabis Recordkeeping Requirements
6 Growing Conditions And Regions
7 New Zealand’s Cannabis Market Potential
8 Largest New Zealand Cannabis Cultivators

Learn Legal Regulations for Growing Medicinal Marijuana in New Zealand

If you’re considering cultivating medicinal marijuana, you’ll encounter a range of regulations. Let’s explore the key information you need to understand and navigate the requirements for growing medicinal marijuana in New Zealand.

If you’re seeking to learn about the regulations surrounding growing medical marijuana in New Zealand, GrowerIQ’s cannabis production software can be your best ally.

Medical Cannabis Legalization in New Zealand

Legalization - Growing Medicinal Marijuana in New Zealand

In New Zealand, the legality of cannabis is controlled under the Misuse of Drugs Act 1975. As of the most recent updates, recreational cannabis remains illegal in the country. Possession, cultivation, and distribution of cannabis for non-medical purposes are prohibited and can result in criminal charges. 

Regulations for Medical Cannabis Cultivation and Prescription in New Zealand

Medical cannabis is legal but strictly regulated. Patients can access medical cannabis through a prescription from a registered medical practitioner, and it must be obtained from approved sources. Cultivation for medical purposes is also allowed, but a license is required before cultivation or production occurs.

Legal Status of CBD Products and Industrial Hemp in New Zealand

Cannabidiol (CBD) products that meet the legal definition of containing less than 2% of trace THC are the only products doctors can prescribe without government approval, except in rare medical cases. The government has also approved Sativex, but it must be ordered overseas. Industrial hemp is also allowed in New Zealand as long as it contains less than 0.35% THC and is produced by a licensed producer under the Misuse of Drugs (Industrial Hemp) Regulations of 2006.

Penalties and Legal Consequences for Cannabis Possession and Cultivation

New Zealand’s cannabis drug scheduling states that possession of non-prescribed cannabis is illegal and carries a maximum jail sentence of 3 months or a $500 fine. Possessing 28 grams or more may also result in penalties for intention to supply. 

In terms of personal cultivation, growing marijuana plants without a cultivation license is illegal and can result in a 7-year jail term on indictment or an immediate 2-year jail term and/or a $2,000 fine, depending on the amount of cannabis being cultivated.

Accessing Medicinal Cannabis in New Zealand

To access medicinal cannabis in New Zealand, there aren’t any government-mandated medical cannabis licenses. People can only access medicinal cannabis products through a prescription from a doctor. 

A medicinal cannabis prescription usually states the kind of medicinal cannabis product(s) and the amount that the patient can obtain. Some companies offer ‘Medicinal Cannabis Cards’ to patients after a consultation with their in-house doctors.

Medical Marijuana Regulation in New Zealand

Regulations - Growing Medicinal Marijuana in New Zealand

Medical marijuana regulation in New Zealand is very complex. GMP (Good Manufacturing Practice) regulations apply to all activities that occur after harvest, and producers must have validated processes based on a formal GMP risk assessment. If you plan on starting a cannabis business in New Zealand, it is advantageous to work with a team that is experienced in pharmaceutical regulation.

Essential Quality Systems and Documentation for Cannabis Businesses

Cannabis businesses must create a quality system that governs all activities within the venture. A security plan, a site master file, and an equipment master file are also necessary. The New Zealand Medicinal Cannabis Agency oversees all licensing and audits. 

Features of GrowerIQ for Compliance and Quality Management

GrowerIQ provides cannabis growers with a comprehensive solution for managing their:

  • Cultivation operations
  • Ensuring compliance
  • Optimizing quality 
  • Enhancing efficiency throughout the seed-to-sale process 

Uncomplicate Your Hemp Production.

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How To Get A Licence To Produce Medicinal Cannabis In New Zealand

Getting a license - Growing Medicinal Marijuana in New Zealand

Cannabis is a powerful plant with incredible medicinal properties. As the legalization of cannabis for medical purposes gains momentum worldwide, it’s crucial to understand the licensing process to produce medicinal cannabis in New Zealand.

Applying for a Licence

Before you can embark on the journey of cultivating cannabis for medicinal use in New Zealand, you must obtain a medicinal cannabis license from the Medicinal Cannabis Agency. This license is mandatory for all activities related to the cultivation, research, and supply of cannabis for medical purposes. To apply:

  • You must have the necessary resources
  • Expertise 
  • Be familiar with the regulations 

Cultivation

If you plan to cultivate cannabis for medicinal purposes, you must obtain a cultivation activity license. This license allows you to grow cannabis for use in medicinal cannabis products and to:

  • Supply seeds 
  • Plants
  • Plant material should be sent to other cultivators or appropriate medicinal cannabis license holders

Seed Supply

A seed supply activity license is required if you intend to operate only as a seed merchant. This license restricts you from cultivating or supplying cannabis plants or plant material.

Research

To supply or administer medicinal cannabis products for research purposes, you must hold a research activity license. This license allows you to conduct clinical trials on humans and import starting material for your research.

Possession for Manufacture

If you plan to process dried cannabis, extract cannabis-based ingredients, or manufacture medicinal cannabis products, you must have a possession for manufacture activity license. This license is essential for developing manufacturing methods, performing laboratory testing, and engaging in product development of medicinal cannabis products.

Supply

A supply activity license is required if you intend to supply or export starting material, cannabis-based ingredients, or medicinal cannabis products. This license is essential for commercial operations such as retail sales or exportation of medicinal cannabis products.

Eligibility and Application Process

To be eligible for a medicinal cannabis license in New Zealand, you must meet specific requirements, including 18 years or older, residing in New Zealand, and having the expertise to comply with the regulations. You must also pass background checks and demonstrate that you have not been convicted of relevant offenses.

Location Inspections

Before a license is issued, all locations listed in the application must be inspected to ensure compliance with security regulations. Inspections are critical to assessing the suitability of facilities for cultivating medicinal cannabis.

Importance of Compliance and Regulation in Cannabis Production

Securing a medicinal cannabis license in New Zealand is a detailed process that involves multiple steps. Each step is essential to ensure that cannabis is produced and supplied for medicinal purposes in a safe and regulated manner by:

  • Understanding the licensing process 
  • You can navigate the complexities of the cannabis industry
  • Contribute to the vibrant landscape of medicinal cannabis in New Zealand 

New Zealand’s Cannabis Recordkeeping Requirements

The recordkeeping requirements in New Zealand are extensive, and you must adhere to GMP regulations. Even if you are only growing cannabis flowers, you will need to keep meticulous records and start adhering to GMP regulations in the drying stage, when risks to product safety and quality begin.

While some countries delay implementing GMP until after the buds are dried and cured, New Zealand is much more strict and requires its cannabis cultivators to behave like pharmaceutical producers. This requires having:

  • Defined manufacturing batch number system
  • Developed specifications for the raw materials, finished product, and primary packaging components
  • Established the manufacturing process and written standard operating procedures
  • Established the control points and critical parameters for the process
  • Finalized batch manufacturing and packing records
  • Amount/quantity of plants cultivates
  • Amounts/quantities of mother plants, seeds, and clones (and failed plants/seeds)
  • Plant destruction records
  • Sales and distribution records
  • Cannabis inventory
  • Seed-to-sale tracking
Hub: Smoking Club Opening License, TK: Morocco Cannabis Meta title: A Guide On Morocco Cannabis Legalization & Getting A Permit Meta Description: From the latest updates on Morocco's cannabis legalization to a step-by-step process on obtaining a permit, this guide covers it all. Get your questions answered! CTAs: Link: https://groweriq.ca/ Anchor Text: Cannabis Production Software Do you ever want to join a growing industry but need clarification on many rules and are unsure what will happen? Morocco Cannabis market is getting bigger, but getting a smoking club opening license can be difficult. Grower IQ's cannabis production software can help you understand the process and get started in this market. What Is The Composition Of The Cannabis Plant? Cannabis is a type of hemp, part of a plant family used extensively in the yarn industry. The most critical part of the cannabis plant is its flower, which produces resin containing two key molecules: THC CBD THC is the component responsible for altering one’s state of consciousness to make one feel “high” and is also used for anesthesia purposes, such as in cancer patients undergoing chemotherapy. On the other hand, CBD does not produce the same effects. Apart from its sedative properties, CBD counteracts THC to mitigate its effects, particularly by calming the nervous system. Wide Range of Potential Benefits The therapeutic virtues of CBD are substantial, as determined by the U.S. National Centre for Biotechnology Information (NCBI). CBD has: Anti-inflammatory properties Alleviates anxiety and depression Calms epilepsy symptoms Ease certain psychotic disorders like schizophrenia NCBI studies have even suggested that at high concentrations, CBD inhibits the proliferation of tumor cells in certain cancers and could reduce the risk of artery necrosis following a heart attack. This has reignited the debate about cannabis’s pros and cons, with some countries recognizing the benefits of this plant for both healthcare and the economy. Regulations On The Legalization Of Morocco Cannabis Morocco has long been recognized as one of the world's most prolific producers of cannabis. However, cannabis only became legal in the North African nation in June 2021. The Moroccan Parliament adopted Bill 13-21 to regulate the plant for medical and industrial purposes. Cannabis production and consumption for recreational purposes in Morocco remains illegal. Bill 13-21 outlines regulations for diverse aspects of medical, industrial, and cosmetic cannabis in Morocco, including the following: Cultivation of cannabis Seed importation Product exportation Al Hoceima, Chefchaouen, and Taounate The law identifies three provinces, Al Hoceima, Chefchaouen, and Taounate, allowed to cultivate and produce cannabis. It opens the door to include other regions based on domestic and international investors' demand for cannabis supply chain activities. These areas have traditionally been used to cultivate cannabis and have climates uniquely suited to growing marijuana. Farmers in the three traditional growing areas (the ones legalized now) have been growing cannabis as a primary source of income, whether it is illegal or not. Boosting Farmer Profits The reason for the change in legislation, according to the government, is to improve the economic standing of these farmers. In the illegal black market, farmers earn 4% of the final turnover of the crop. The government claims that this will rise to 12% under its control. Cooperatives, Negotiation Support, and Sustainable Practices The law also recommends that farmers set up cooperatives to support the negotiation efforts between farmers and manufacturers. These cooperatives will be responsible for signing contracts with manufacturers and ensuring the preservation of farmers' rights. In addition, the law will allow the farmers to acquire the best methods for sustainable agriculture, be open to global experiences in this field, and acquire quality seeds. Morocco Regulates Cannabis Industry with Regional Focus and Centralized Control Morocco, like South Africa, wants to focus the industry in a specific part of the country for strategic, economic, and sustainable development and crime prevention reasons. Morocco, similar to South Africa, plans to concentrate cannabis production in a specific region for strategic and economic reasons, including crime prevention and sustainable development. A central regulatory body, the National Agency for the Regulation of Cannabis-related Activities, will oversee all aspects of the industry, from licensing to cultivation, import/export, transportation, and commercialization. Only licensed individuals or groups can participate in the legal cannabis market. A THC limit is set for farmers (below 1%), with exceptions for medical/pharmaceutical products. Related Reading • Is a Cannabis Association Profitable • Smoking Club Requirements Is Recreational Cannabis Legal In Morocco? Although Morocco is a major cannabis producer, officially, cannabis use for recreational purposes is illegal. In practice, it is tolerated. Nearly a million people live in areas of northern Morocco where cannabis is the main economic activity. It has been publicly grown and smoked there for generations, mixed with tobacco in traditional long-stemmed pipes with clay bowls. Uncomplicate Your Hemp Production Cannabis growers face challenges in managing reporting, documentation, and compliance requirements due to the complexity of regulatory frameworks, evolving legal standards, and the need for accurate record-keeping in a highly regulated industry. At GrowerIQ, our software aims to provide cannabis growers with a comprehensive solution for: Managing their cultivation operations Ensuring compliance Optimizing quality Enhancing efficiency throughout the seed-to-sale process Overall uncomplicating the production process We do this with our software, which offers a range of functionalities to assist cannabis growers, including: Seed-to-Sale Tracking Quality Management Cultivation Planning GrowerIQ provides cannabis growers with a comprehensive solution for managing their cultivation operations, ensuring compliance, optimizing quality, and enhancing efficiency throughout the seed-to-sale process. Production Landscape Of Cannabis In Morocco Together with Afghanistan, Morocco is one of the top growers of illegal cannabis in the world, although the government has turned a blind eye to its growth for decades. It is estimated that 400 000 people, or some 60 000 households, live on the cultivation of cannabis in the three demarcated areas: Al Hoceima Chefchaouen Taounate The cannabis subsistence farmers in these areas claim that cannabis is the only crop that will grow there. Cultivated for centuries, cannabis production shifted to the Rif region in the 18th century, where it remains prominent today. Traditional methods involve drying stalks and beating them to collect trichomes (THC-laden crystals). The first beating yields the highest quality product. Trichomes can be packaged loose or pressed into hashish slabs marked with producer identifiers. What Is The Potential Of The Moroccan Cannabis Market? Morocco's cannabis market is thriving, with projected revenues set to reach US$241.20 million by 2024. The market volume is expected to grow at an annual rate of 2.95% from 2024 to 2029, peaking at US$278.90 million. What makes Morocco stand out in the Cannabis market is its rich cultural heritage intertwined with diverse landscapes, making it a significant player in Cannabis consumption and production. Customer Preferences in Morocco The Moroccan market reflects deep-seated cultural practices when it comes to Cannabis consumption. The local population favors traditional methods like hashish, owing to their cultural familiarity and accessibility. This preference for traditional consumption methods is a testament to the historical significance of Cannabis in Morocco, with a long history of cultivation for both medicinal and recreational uses. Market Trends in Morocco One striking trend in Morocco's Cannabis market is the increasing demand for high-quality products in international markets. As attitudes toward Cannabis evolve globally and legalization becomes more widespread, Moroccan producers are adapting to meet the standards and preferences of global consumers. This trend has led to a surge in innovation and quality improvement in the local industry. Local Special Circumstances in Morocco Morocco's geographical location and climate offer ideal conditions for Cannabis cultivation, resulting in top-quality products sought after globally. The country's extensive history of cultivating Cannabis has helped establish a strong foundation of knowledge and expertise in the industry. However, the informal nature of the market and regulatory challenges pose barriers to fully capitalizing on the sector's potential in Morocco. Internalization Of Moroccan Cannabis Moroccan cannabis is making waves in the industry with the internalization of its cultivation and production. With the legalization of cannabis exports to Europe in 2024, Morocco has: Legalized cannabis exports to Europe in 2024. Attracted investment with over 200 operators entering the market. Increased legal cultivation to 3,000 hectares in the Rif region. Revenue Growth and Market Share Ambitions The shift towards legal production is anticipated to bring annual revenues of 400 to 600 million euros within the next four years. To secure a 10% to 15% market share in Europe, Moroccan companies like Bio Cannat are processing cannabis for both export and local markets. The first legal exports included 100 kilograms of resin containing less than 1% THC, solidifying Morocco's position in the European market. The resin was sold for 1,400 to 1,800 euros per kilogram, catering to the growing demand for legal cannabis. ​Challenges and Opportunities Despite the promising prospects, challenges remain in the industry. Climate impacts can affect cultivation, while cost competitiveness versus European producers remains a key consideration. The internalization of Moroccan cannabis is not just about business; it's about transforming the industry and creating new opportunities in a vibrant and evolving landscape. Related Reading • Cannabis Social Club • Request CBD Cultivation License Spain How Do I Get A Production Permit? To obtain a permit to grow or produce cannabis in Morocco, individuals or entities must go through The National Agency for the Legalization of Activities Related to Cannabis. This agency has set specific regulations and procedures to ensure that all cannabis-related activities are conducted legally and in compliance with established guidelines. Strict Licensing and Production Controls The agency has determined that no cannabis-related activity is legal unless the involved party has received a permit from the Agency. The production quota for cannabis will be decided annually based on demand, with a stringent THC limit of less than 1% for most cannabis farming activities. Transparent Permit Application Process Approval or rejection of a cannabis license in Morocco follows a strict timeline. The National Agency has a 10-day deadline to issue an administrative application follow-up 60-day deadline from the date of the application's submission to respond to each permit application, providing either an approval or rejection. In the case of a denial, the agency must justify the decision, whether for farming, production, commercialization, or export purposes. It is also crucial to note that a delay in or lack of response from the agency should not be considered a rejection. Permit Revocation and Renewal Permits to grow or produce cannabis in Morocco can be retracted under specific circumstances. These include: A request for permit retraction by the owner A change in ownership Violation of any rules or criteria Two-year halt in activity Infringement of existing drug regulations If the permit-holder is related to a member of the national agency's executive board The agency cannot retract permits without providing written notice to the concerned party, followed by a 15-day legal or administrative rebuttal deadline. All permits are valid for 10 years and are renewable upon demand, following the same process. Uncomplicate Your Cannabis Production Today With GrowerIQ! GrowerIQ is a leading software solution designed specifically for cannabis growers to help them manage their cultivation operations efficiently. Cannabis growers face numerous challenges in the industry, and accurate record-keeping and compliance are vital. GrowerIQ aims to simplify the production process by providing functionalities such as: Seed-to-sale tracking Quality management Cultivation planning By utilizing GrowerIQ, cannabis growers can: Streamline their operations Ensure compliance with regulatory frameworks Optimize the quality of their products Enhance efficiency throughout the entire seed-to-sale process This software provides a holistic approach to managing cultivation operations, considering the industry's complexity and the need for accurate documentation and reporting. Related Reading • Growing Medical Cannabis in Spain • Industrial Hemp Spain

Challenges of Using Paper Records in Cannabis Cultivation

New Zealand does allow the use of paper records, but due to the strict regulations, paper records are likely to become a liability. Their loss of destruction could result in major productivity losses. 

Key Features to Look for in Cannabis Seed-to-Sale and Quality Management Software

The solution is software capable of tracking and logging seed-to-sale cultivation activities. Numerical data such as plant weight, as well as the handling of high-level quality management functions like CAPA and deviation reporting, record retention, and quality control inspections, also need to be retained. GrowerIQ’s seed-to-sale and quality management software can help you with all your cannabis-related operations, including compliance.

Growing Conditions And Regions

Cannabis is globally distributed, with regional-specific cultivars performing well in their regions of origin. New Zealand’s hemp is more suited to temperate climates with reasonable rainfalls. The further from the equator, the better, as cannabis is light/day length sensitive. In drier regions like:

  • Canterbury 
  • Tasman 
  • Hawkes Bay

Where marijuana is suitable for growing, irrigation is likely necessary. Cannabis is also sensitive to soil compaction and waterlogged soil conditions. With these considerations, New Zealand’s growing conditions for medicinal marijuana present a unique set of challenges and opportunities.

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New Zealand’s Cannabis Market Potential

Amidst changing regulations and evolving consumer attitudes, the Cannabis market in New Zealand is experiencing significant growth and transformation. Customers in New Zealand are increasingly seeking out a wider variety of Cannabis products, including:

  • CBD oil
  • Edibles 
  • Topicals. 

This shift in preferences is driven by the Medical Cannabis Scheme, a growing awareness of the potential health benefits of Cannabis products, and a desire for more convenient consumption methods.

Rise of Medical Cannabis Usage in New Zealand

One notable trend in the Cannabis market in New Zealand is the rise of medical Cannabis usage. With the legalization of medical Cannabis, more patients are turning to Cannabis products to manage various health conditions.

Market Projections and Growth Trends for Cannabis in New Zealand

This trend is expected to continue as more research highlights cannabis’s therapeutic properties. According to Statista, New Zealand’s cannabis market is projected to reach US$36.14m in 2024. 

The revenue is expected to show an annual growth rate (CAGR 2024-2029) of 0.77%, resulting in a market volume of US$37.56m by 2029. New Zealand’s cannabis market is experiencing a surge in investment opportunities as regulations evolve, paving the way for increased market participation.

Largest New Zealand Cannabis Cultivators

  • Hikurangi Cannabis
  • Helius Therapeutics
  • Cannasouth
  • Puro New Zealand

These are some of the most prominent names in the New Zealand cannabis cultivation industry. These companies have made significant strides in the medicinal cannabis market and established themselves as key players in the field.

Cannabis farm - Growing Medicinal Marijuana in New Zealand

Hikurangi Cannabis

Hikurangi Cannabis is a social enterprise founded by a group of Māori people on the East Coast of New Zealand in 2015. The company has grown significantly over the years and now boasts a team of over 22 employees. Hikurangi Cannabis made headlines after raising an impressive $2.4 million in a crowd-funding campaign, showcasing the strong support and interest in its operations.

Helius Therapeutics

Successful businessmen, including Paul Manning, JP Schmidt, and Gavin Pook, founded Helius Therapeutics. The trio initially funded the business themselves before securing a substantial investment of $15 million from local investors.

This financial backing allowed Helius Therapeutics to establish two cannabis cultivation and production sites in Auckland. Their commitment to the medicinal cannabis space, even amidst potential recreational market opportunities in the future, speaks volumes about their dedication to the cause.

Cannasouth

Cannasouth, founded by Mark Lucas and Nic Foreman, has an extensive background in industrial hemp cultivation and research dating back to 2002. As pioneers in the field, they were among the first to secure cultivation licenses in New Zealand. The company has grown steadily through two funding rounds and eventually went public after listing on the New Zealand Stock Exchange. With a market capitalization of $62.18 NCD as of November 2023, Cannasouth continues to make significant strides in the industry.

Puro New Zealand

Puro New Zealand entered the scene in 2018 and quickly raised funds to kickstart its operations by the end of 2019. The company commenced construction on its first growing sites at Kēkerengū (outdoor growing site) and Waihopai Valley (indoor growing site). 

Puro New Zealand prides itself on being the largest cultivator of medical cannabis in New Zealand based on the square footage of its facility. The company has established New Zealand’s largest medical cannabis drying facility, further solidifying its position in the market.

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Streamline Cannabis Cultivation

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