Albania’s Ministry of Health has proposed legalizing the production of industrial hemp. However, this would limit business activity in the extracts sector to experienced companies from other European countries and limit trade in those products to exports.
A National Agency for the Control and Monitoring of the Cultivation and Processing of the Cannabis Plant would be set up to oversee the production of cannabis for industrial and medical purposes, according to the draft bill.
All marijuana and hemp extracts – including CBD and other minor cannabinoids derived from hemp – would be considered medical cannabis products, requiring a license to produce.
Non-extract products
While those products would be restricted to exports, the draft law would allow local production and sales of hemp seed and fiber products, according to Joe Spencer, Chairman of the National Albanian Hemp Industry Association.
Despite the restrictions, “The draft law is providing us confidence that Albania will finally become part of the international hemp market,” Spencer said.
15-year licenses
The country’s Council of Ministers will begin issuing renewable 15-year production licenses in 2023. Individual entities will be limited to farming a maximum of 150 hectares (370 acres). Licensees must be members of the Organization for Economic Co-operation and Development (OECD) and hold at least a 51% interest in a company that grows or produces cannabis.
To qualify, foreign businesses must prove they have at least $840,000 in capital, plan to employ at least 15 people, and pay a fee equal to 1.5% of annual turnover.
Talks since 2016
The cultivation and export of hemp from Albania for seed-based oil and textiles were allowed in the 1970s and 1980s. However, the industry collapsed in the early 1990s and dried up altogether after the government officially classified the plant as a narcotic in 2000, strictly prohibiting production.
The government has discussed re-legalizing hemp since 2016 but took no action until the proposed measure was introduced last month.
The draft bill was announced shortly after the 2022 World Drug Report from the United Nations Office on Drugs and Crime ranked Albania seventh out of 154 countries for the illicit cultivation and distribution of marijuana.
Drug hub
Albania is one of the largest outdoor producers of illegal marijuana in Europe and has long been a central hub for drug trafficking. Recreational and medical marijuana are controlled substances under Albania’s Law on Narcotic and Psychotropic Substances of 1994 and may not be grown or traded. Efforts by the government to crack down on illegal trade have been largely ineffective.
The proposed law will be forwarded to Parliament after an open public comment period.
Small farmers
Albanian agriculture is based mainly on small family farms, accounting for roughly 20% of total exports. Albania is the world’s 11th-largest producer of olive oil. Other crops include medicinal and herbal plants, which bring some $60 million in export income annually, and tobacco, wheat, corn, potatoes, and fruits and vegetables.
Uncertainty in land ownership rights, a lack of bank credits, and a high value-added tax are among the challenges faced by the farming sector.
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Posted by: Times Of Hemp, TOH, #TOH, #TimesOfHemp, https://www.timesofhemp.com