How To Get Licence To Grow Industrial Hemp In New Zealand

Learn all the information you need to obtain a license to grow industrial hemp in New Zealand.

Discover the potential of industrial hemp in New Zealand. This will be your guide through the fascinating landscape of cannabis in New Zealand, providing you with valuable insights that will help you achieve your goals.

Looking to grow industrial hemp in New Zealand or obtain a license? GrowerIQ’s cannabis production software is here to help you succeed and reach your goals.

What is Industrial Hemp?

Industrial hemp is a variety of the cannabis sativa plant species that is cultivated specifically for industrial purposes. Unlike its close relative, marijuana, industrial hemp contains very low levels of tetrahydrocannabinol (THC), the psychoactive compound responsible for the high associated with cannabis. This makes industrial hemp non-intoxicating and suitable for a wide range of applications.

The Versatility of Industrial Hemp

Hemp is renowned for its versatility and utility. The plant’s fibers are strong and durable, making them ideal for use in:

• Textiles
• Ropes
• Construction materials

Hemp seeds are a nutritious food source

• Rich in protein
• Essential fatty acids
• Various vitamins and minerals

Hemp oil, extracted from the seeds, is used in various products, including skincare items and dietary supplements.

The Legal Landscape of Industrial Hemp Cultivation

The cultivation of industrial hemp is regulated in many countries, including New Zealand, due to its association with the cannabis plant. The low THC content and extensive utility in industrial applications have positioned hemp as a valuable resource in sectors ranging from agriculture to manufacturing.

Hemp Laws In New Zealand

In New Zealand, industrial hemp has gained traction since its legalization in 2018 under the Misuse of Drugs (Industrial Hemp) Regulations 2006. This legislation allows licensed individuals and organizations to grow, process, and trade industrial hemp. Growers must obtain a license from the Ministry of Health, which involves adhering to specific regulations and guidelines. T

Industrial Hemp and Its Components

In New Zealand, industrial hemp is varieties of Cannabis sativa that have a tetrahydrocannabinol (THC) content generally below 0.35 percent. Industrial hemp is captured by the cannabis plant entry listed in Schedule 3 Part I of the Misuse of Drugs Act 1975. Industrial hemp also contains CBD (cannabidiol).

• THC is a psychoactive substance found in cannabis plants.
• CBD is a substance found in cannabis that has potential therapeutic value with little or no psychoactive properties.
  

Hemp seeds do not contain THC or CBD. Other parts of the hemp plant (eg, leaves and flowers) contain THC and CBD, which could contaminate the seed if not processed correctly.

What You Need to Know

• The Misuse of Drugs (Industrial Hemp) Regulations 2006 have been updated to allow the cultivation, manufacture, and sale of low-THC hemp seeds as food products.
• The level of THC and CBD permitted in low-THC hemp seeds and hemp seed food products is too low to have a medicinal or psychoactive effect, and as such, it is prohibited to advertise them as therapeutic medicines.
  

According to the ministry, the only part of the hemp plant that can be used for food is the seeds, and the permission to cultivate, manufacture, and sell low-THC hemp seeds as food has no impact on the restrictions on medical cannabis products.

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
• Enhancing efficiency throughout the seed-to-sale process

How To Get a License To Grow Industrial Hemp In New Zealand

Individuals, bodies corporates, or partnerships must obtain a license under the Misuse of Drugs (Industrial Hemp) Regulations 2006 to grow, trade, or process industrial hemp as an agricultural crop in New Zealand. The license is valid for one year and costs $511.11, including GST. This license allows for the:

• Cultivation
• Processing
• Possession
• Supply of low-THC cannabis varieties approved by the Director-General of Health.

Licensing for Hemp Cultivation and Processing

A research and breeding license costs an additional $153.33 and is only issued if the applicant holds a general license. This license permits the cultivation and processing of both approved and non-approved varieties. Individuals must meet the requirements outlined by the Ministry of Health and the Ministry of Primary Industries for licensing and activities involving whole hemp seeds.

Regulations for Hemp Seed Processing and Food Products

Food Safety and Ministry of Primary Industries requirements must be met when processing and manufacturing hemp seeds and food products. Different requirements apply to processing whole hemp seeds and hulled hemp seeds or hemp seed food products.

• If you are processing whole hemp seeds, you must have a general license
• If you are processing hulled hemp seeds or hemp seed food products does not require a specific license from Medsafe

Transportation and Storage of Hemp Products

Transporting and storing hemp seeds and food products are also requirements. Transporting whole and hulled hemp seeds or hemp seed food products does not require a license from Medsafe. To store whole hemp seeds, a general license issued by Medsafe with procurement listed as an activity is necessary, along with registration under the Food Act.

Compliance with Regulatory Bodies for Hemp Industry Operations

A Medsafe license is not required for those storing hulled hemp seeds and hemp seed food products. Still, registration under the Food Act is mandatory. Growing, processing, trading, and transporting industrial hemp in New Zealand requires adherence to various regulations and licensing requirements outlined by:

• Ministry of Health
• Ministry of Primary Industries
• Medsafe

Growing Conditions And Regions

Industrial Hemp is a globally distributed crop, adaptable to various soil and climatic conditions. In New Zealand, industrial hemp thrives best in temperate climates with moderate rainfall, typically around 3-4 inches per month. This plant also prefers regions with more extended daylight hours.

Key regions in New Zealand suitable for growing industrial hemp are:

• Canterbury
• Tasman
• Hawkes Bay

Due to the drier climate, irrigation is often necessary in these areas. Industrial Hemp is sensitive to compaction and waterlogged soil conditions, necessitating well-drained soil for optimal growth.

Importing Hemp Seeds Into New Zealand

If you are importing whole hemp seeds (seeds with their outer coat on), you need an import or export license under the Misuse of Drugs Regulations from Medsafe. You do not need a license from Medsafe if you are importing or exporting:

• Hulled
• Non-viable hemp seeds
• Hemp seed food products

Regardless of the type of hemp seed or hemp seed food product you are importing or exporting, you must also meet New Zealand Food Safety requirements. These include having to be registered as a Food Importer with MPI and adhering to biosecurity rules.

Related Reading

• Cannabis Cultivation Compliance in New Zealand
• Growing Medicinal Marijuana in New Zealand

Is Medical Cannabis Legal In New Zealand?

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

Strict Regulations

Medical cannabis, on the other hand, 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. However, you must first obtain a license before you can cultivate or produce legal cannabis for medical purposes.

CBD and Sativex

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.

Market Potential And Opportunities For Industrial Hemp in New Zealand

The industrial hemp market in New Zealand is experiencing significant growth, presenting a multitude of opportunities for cannabis farmers and producers. The industry’s value to growers has been estimated to be between $3 million to $5 million based on the 2019-2020 growing season, showcasing the profitability of hemp farming.

The Growing Demand for Hemp-Based Construction Materials

The growing industrial hemp market, there is a rising demand for hemp fiber products, particularly in the construction sector. With almost 50,000 new houses consented in New Zealand in 2021, valued at approximately $19 billion, the demand for construction materials far surpasses the current supply. If hemp-based building materials could capture even a small share of the national residential construction market, estimated to be worth $19-$95 million, a significant industry could be created.

The Projected Growth of the Oceania Hemp Market

Looking ahead, the industrial hemp market in the Oceania region is projected to reach around US$18.6 million by 2028, showcasing further growth potential. This opens up a vista of opportunities for hemp growers to harness the market’s potential and contribute to the industry’s expansion. 

With the legalization of medicinal cannabis in New Zealand, cannabis farmers are not just limited to hemp cultivation. The use of specialized cannabis production software like GrowerIQ can streamline the hemp production process, ensuring compliance with reporting and record-keeping requirements.

Opportunities for Cannabis Farmers in New Zealand

The market potential and opportunities for cannabis farmers and producers in New Zealand are vast and diverse, offering a fertile ground for growth and innovation in the industrial hemp sector. As the industry continues to evolve and expand, leveraging these opportunities could lead to sustainable growth and success for farmers and producers in the realm of cannabis cultivation in New Zealand.

Leveraging Technology for Efficient Cannabis Production

With the potential ever-increasing, this is a great opportunity for hemp growers to tap into the market potential. Medicinal cannabis is also legal in New Zealand, so cannabis farmers aren’t particularly limited to hemp. With cannabis production software like GrowerIQ, cannabis can uncomplicate their hemp production and ensure they remain compliant with reporting and record keeping.

Related Reading

• Medical Marijuana in New Zealand

Uncomplicate Your Cannabis Production Today With GrowerIQ!

When it comes to cannabis cultivation, growers face numerous challenges in managing reporting, documentation, and compliance requirements. This is primarily due to:

• Complexity of regulatory frameworks
• Evolving legal standards
• Need for accurate record-keeping in a highly regulated industry

GrowerIQ, a leading software solution in the cannabis industry, aims to provide cannabis growers with a comprehensive tool for:

• Managing their cultivation operations
• Ensuring compliance
• Optimizing quality
• Enhancing efficiency throughout the seed-to-sale process
• Overall uncomplicating the production process

Seed-to-Sale Tracking

One critical functionality that GrowerIQ offers cannabis growers is seed-to-sale tracking. This feature allows growers to monitor every stage of the cannabis cultivation process, from planting to harvesting and then to the final sale of the product. By tracking each step, growers can:

• Ensure compliance with regulations
• Optimize quality
• Enhance efficiency in their operations

Quality Management

Another essential feature of GrowerIQ is quality management. This functionality helps growers maintain quality control throughout the cultivation process, ensuring that the end product meets regulatory standards and consumer expectations. By implementing quality management tools, growers can optimize their processes, leading to higher-quality products and increased customer satisfaction.

Cultivation Planning

Planning is crucial in the cannabis cultivation industry, and GrowerIQ’s cultivation planning tool helps growers effectively plan and manage their cultivation operations. By utilizing this functionality, growers can:

• Optimize their processes
• Streamline their workflows
• Ultimately increase their operational efficiency