Argentina’s medical marijuana program is taking shape. What does that mean for growers?
For those who have considered growing cannabis in Argentina, there are new opportunities on the horizon. While progress on the federal level has been slow, many provinces are already partnering with international cannabis companies like Aphria and Green Leaf Farms. However, Argentina’s cannabis regulation is difficult to grasp since provinces and the federal government are not always in alignment. This has lead to a large market for imported cannabis as the nation works to establish its own domestic market for cannabis production. Continue reading for a comprehensive guide to help you become a licensed cannabis producer in Argentina.
Cannabis Laws in Argentina
History of Medicinal Marijuana Laws in Argentina
Medical marijuana was legalized in Argentina in 2017, but the previous administration took measures to decrease its accessibility to patients. Epilepsy is one of the most popular conditions that Argentinians are seeking medical cannabis for. Before the current government expanded admissibilities, it was the only condition that could qualify a patient for medical marijuana.
Through new legislation and lawsuits, medical cannabis has been expanded to conditions such as pain and other neurological conditions. As of November 2020, the Argentinian government has introduced new legislation to advance medical cannabis production [3]. Argentina now also allows people to grow cannabis at home for medical use, as long as home growers have a license based on their medical needs.
“A decree issued by President Alberto Fernández also allows pharmacies to sell cannabis-derived oils, creams and other products, and it orders public and private insurance systems to cover these medications for patients who obtain a prescription.”
-from “Argentina to Allow Medicinal Marijuana to Be Grown at Home”
Licenses to grow cannabis at home are being evaluated on a case-by-case basis. Third parties may also obtain a license to cultivate cannabis on behalf of a medical marijuana patient, similar to some state’s caregiver cannabis policies in the US.
Laws Passed to Regulate Medicinal Cannabis and Industrial Hemp
Building on the 2017 laws, the Chambers of Deputies of the Argentine Congress passed a law on May 5, 2022, regulating the medicinal cannabis and industrial hemp industry. Their goal with the law is to establish a regulatory framework for the cultivation, production, distribution, and commercialization of Cannabis, its seeds, and its derivatives, intended for medicinal and industrial use.
The laws that were passed in 2017 were a framework for the scientific, and medicinal research of cannabis, and approving its medicinal use in the Argentine Republic. This new law effectively enables the growth, and expansion of the cannabis cultivation industry to go from a ‘cottage industry’ to an important contributor within the larger Argentine economy. The government has explicitly stated that they “aim to use cannabis production to improve regional economies, enhance exports, and improve product development and research“.
The laws passed in 2022 also formalized the licensing process within each segment of the cannabis production supply chain, and created legal formalities for granting the licenses.
Regulatory Agency Created for Medical Cannabis and Hemp
As part of the laws passed on May 5, 2022, the government also created the Regulatory Agency of the Hemp and Medicinal Cannabis Industry (ARICCAME, which is the governing and organizing agency of the entire cannabis production chain. The ARICCAME specifically:
- Regulates the import, export, cultivation, industrial production, manufacture, commercialization and acquisition of cannabis and its seeds and derivatives.
- Monitors the storage, transportation, and distribution of cannabis seeds and plants along with other public agencies.
- Establishes regulatory standards for best practices in planting and cultivation to coincide with the relevant international regulations of the cannabis industry.
- Inspects producers’ facilities to ensure that they have been duly authorized and are complying with the regulatory standards.
Cannabis Cultivation in Argentina
In the Argentinian medical cannabis system, patients sign up through the Registry for the Cannabis Program (Reprocann)[1]. They have the option to get a license to grow their own cannabis, obtain it from someone growing on their behalf (similar to a caregiver), or they may obtain cannabis products through pharmacies or other licensed entities. Private, semi-private and public health care providers have to guarantee access to cannabis and subsidize it (for qualifying patients) so it can remain affordable and accessible.
According to Prohibition Partners, the Argentine cannabis market could hit almost $40 million in sales by 2024, growing at a 34% CAGR.
-from “Argentina Regulates Medical Cannabis Self-Cultivation, Sales, Subsidized Access”
How to Get Your Cannabis License in Argentina
Since 2022, the ARICCAME has been tasked with setting the conditions for cannabis licensing in Argentina. The organization gives licensing priorities to applicants that:
- Have all, or the majority of its capital stock of national origin
- Having a registered office must match the jurisdiction in which the economic activity under the application is carried out
- Have 50% or more of the decision-making positions. must be held by women, or trans persons
- Have 50% or more of the jobs in the general staff must be held by women or trans persons
Aside from the above guidelines, not much is known about getting your cannabis cultivation license in Argentina [2]. The first step is to determine which province you plan to operate in. Provinces have some autonomy in regulating cannabis, so while there is a very general national framework, the specific regulations for cannabis growers are to be determined at a provincial level. Two of Argentina’s federal agencies were supposed to produce cannabis for their medical program, but have failed to do so. Imported cannabis products have been used to fill the gap as provinces work to create partnerships with foreign cannabis companies that can bring their products to market sooner than the government.
If you are going to apply to get a cannabis cultivation license in Argentina, you should be aware of the following governing agencies [2]:
- Ministry of Health
- ARICCAME
- ANMAT (food, drug, and cosmetic regulation)
- Argentine Seed Institute (INASE)
- National Food Safety and Quality Service (SENASA)
- National Agricultural Technology Institute (INTA)
- National Scientific and Technical Research Council (CONICET)
- National Agency of Public Laboratories (ANLAP)
- Ministry of Security
- Provincial authorities
Authorized Cannabis Cultivators in Argentina
As of October 2022, Cannava appears to be the only company authorized to cultivate cannabis. The company is owned by the provincial state of Jujuy, and were granted a license to operate a plant, with the capacity to produce 80 tons of medicinal cannabis and 4,000 KG of active pharmaceutical ingredients.
The government is making a push to grow the cannabis cultivation market in Argentina, so the hope is that they simplify the licensing process in the coming months and years.
Growing Cannabis for Personal Consumption
The Argentina Ministry of Health website explains some of the common questions about cannabis in Argentina [4]. When it comes to who can register a cannabis crop, they explain that a person with a medical indication can enroll in the REPROCANN program. REPROCANN is a database for registering medical marijuana patients who wish to grow their cannabis. Once approved, a certificate of cultivation is issued by the Ministry of Health. Patients also need an account on the Mi Argentina app to validate their medical condition. So, what about third-party cannabis growers? The patient can assign a third party to cultivate for them by linking themself to the grower in the REPROCANN system.
Cannabis Regulation in Argentina
The Argentina Ministry of Health is tasked with implementing a national research program on the medical properties of cannabis [5]. They are also responsible for establishing a system to ensure access to medicinal marijuana products. Other key agencies include CONICET (for scientific research), INTA (agriculture), and INASE (seeds and germplasm). The applicable laws and regulations pertaining to cannabis cultivation in Argentina include [2]:
- Medical and Scientific Investigation into the therapeutic use of Cannabis and its derivatives (Law 27,350)
- Decree 738/2017
- Ministry of Health and other ministry resolutions: 1537-E/2017 (Ministry of Health), 258/2018 (Ministry of Security), 59/2019 (INASE), 133/2019 (Ministry of Health), 361/2019 (Ministry of Health)
- Several provincial laws
Final Thoughts on Cannabis Licensing in Argentina
Argentina is second only to Brazil when it comes to cannabis consumption, statistics show [5]. The average annual cannabis use prevalence is 9.1% of a population over 44 million. With approximately 12 million people affected by chronic health conditions, the medical marijuana market in Argentina has huge potential. The challenge companies now face is navigating the regulatory process and establishing a relationship with the Argentinian people.
The mere fact that you found your way to this article is remarkable, we’re sure that you’re an ambitious grower. The oppourtunity in international trade does not end here. We have written guides on getting your cannabis license for more countries, such as St. Vincent, Switzerland, Denmark, and Columbia. Check out our guides over here: How to Get a Cannabis License in St. Vincent, How to Get a Cannabis License in Switzerland, Cannabis License in Denmark, and Cannabis License in Colombia.
Find Out More
GrowerIQ’s seed-to-sale software is a critical system to help you comply with medical marijuana cultivation in Argentina. Our experts can help you create a successful international cannabis venture and strive within any legal framework. To learn more, get in touch with our Cannabis professionals by completing the form below.
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References
- Hasse, J. (2020, November 13). Argentina Regulates Medical Cannabis Self-Cultivation, Sales, Subsidized Access. Forbes. Retrieved from https://www.forbes.com/sites/javierhasse/2020/11/12/argentina-regulates-medical-cannabis-self-cultivation-sales-subsidized-access/?sh=12d262691655
- Pascual, A. (2019). Cannabis in Latin America: The Regulations and Opportunities. Marijuana Business Daily. Retrieved July 24, 2021, from https://mjbizdaily.com/wp-content/uploads/2019/09/Cannabis-in-Latin-America_The-Regulations-and-Opportunities.pdf
- Politi, D. (2020, November 12). Argentina to Allow Medicinal Marijuana to Be Grown at Home. The New York Times. Retrieved from https://www.nytimes.com/2020/11/12/world/americas/argentina-cannabis-marijuana.html
- Preguntas frecuentes REPROCANN. (2021, March 31). Retrieved July 28, 2021, from Argentina.gob.ar website: https://www.argentina.gob.ar/salud/cannabis-medicinal/frecuentes
- Rossi, E.I. (2021, April 14). Argentina: Grassroots Efforts and Legislative Advances. Retrieved July 24, 2021, from New Frontier Data website: https://newfrontierdata.com/cannabis-insights/argentina-grassroots-efforts-and-legislative-advances/