Simplification of industrial hemp regulation: public consultation on the draft law begins

Industrial hemp is not a narcotic drug.

This idea is enshrined in the draft law on the trade of hemp for medical, industrial, scientific, and scientific-technical applications, recently published by the Ministry of Health of Ukraine.

The process of public consultation on the document is currently initiated

Why is this important?

The world market for industrial hemp is estimated by experts at more than $ 4 billion and is an investable agriculture sector.

At the same time, in Ukraine, the current regulation is complex and conflicting. Industrial hemp is subject to regulation equivalent to the regulation of narcotic drugs. That is why entrepreneurs are obliged to obtain a license to cultivate narcotic drugs. Moreover, this activity is still subject to annual quotas.

What does the draft law offer?

  • industrial hemp, as well as goods made from hemp and hemp-derived products, shall not be included in the list of narcotic drugs, psychotropic substances, and precursors if their THC content does not exceed 0.2%;
  • the permitted THC is equal to the indicators set in the EU;
  • it is allowed to use all industrial hemp components of the (leaves, inflorescences, stems, seeds, roots), etc.

Last year, experts from the Better Regulation Delivery Office (BRDO) conducted an analysis of the industrial hemp market ( that also contained mechanisms for its development in Ukraine.

From now on, there is a chance that Ukraine will finally have a clear and understandable regulation with structured tools to control the industrial hemp market that will comply with EU legislation and world best practices.