Cannabis for medical and industrial purposes is voted in favour in the first reading. What is changing in the market?

Today the Verkhovna Rada adopted draft law 7457 on regulating the circulation of cannabis plants, in particular for medical and industrial purposes.

BRDO welcomes this decision, as we have supported initiatives related to the legalisation of these crops since 2020. Since 2020, our team of analysts and lawyers has been working on a study of the technical hemp market in Ukraine, which resulted in the Green Paper “Technical Hemp Market” and work on deregulation legislative initiatives.

Settlement of the issue of medical cannabis is definitely an important step for Ukraine.

Equally significant is the regulation of industrial hemp, which is not and should not be defined as a drug. It is a common agricultural crop whose cultivation and processing cannot be subject to strict regulatory instruments. Paper for currency notes, the strongest ropes and gunpowder are made from technical hemp. The world market of technical hemp is currently estimated by experts at more than $4 billion and has a high potential for development.

It is promising not only for farmers, but also for Ukrainian industry in general, especially in wartime conditions. The market for technical hemp is highly profitable, and the products of hemp cultivation usually have a high value.

The text of project 7457 will still be finalised before the second reading in the Verkhovna Rada.

The experts of the Office will also prepare their proposals for maximum relief from the regulatory burden of the industrial hemp market in Ukraine.

We call on elected representatives to vote for this draft law in the second reading as well, in order to finally successfully end the long history of legalising medical and technical cannabis in Ukraine.