Monday, March 1, 2021
  • About Us
  • ImagiNATION
  • Adverts
  • Rate Card
  • Contact Us
The Nation Online
  • Home
  • News
  • Politics
  • Business
  • Entertainment
  • Life & Style
    • Every Woman
      • Soul
      • Family
    • Religion
    • Feature
  • Society
  • Opinion
  • Sports
  • Chichewa
  • Enation
No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • Entertainment
  • Life & Style
    • Every Woman
      • Soul
      • Family
    • Religion
    • Feature
  • Society
  • Opinion
  • Sports
  • Chichewa
  • Enation
No Result
View All Result
No Result
View All Result
Home Business Business News

Firms dominate cannabis licence applications

by Steve Chilundu
20/01/2021
in Business News
3 min read
0
Share on FacebookShare on TwitterShare on WhatsAppShare on LinkedinLinkedinShare via Email

The Cannabis Regulatory Authority (CRA) says it is receiving more applications for medicinal cannabis production from companies compared to groups of farmers who are applying for industrial hemp production.

So far, since licence fees were announced in November last year, CRA said it has formally received 35 applications, with over 20 applications coming from individual companies and the rest from farmer groups.

RelatedHeadlines

Mlusu positive on growth prospects

Arrears payment to ease job losses—Ecam

K5bn Sunbird Waterfront hotel opens May

Industrial Hemp | The Nation Online
Malawi conducted trials for industrial hemp

However, experts in the field feel this is an indication that licensing conditions are not favouring the majority of growers.

In an interview on Monday, CRA acting registrar Ketulo Salipira said having more companies on board should be good news for the country as they will be producing and adding value for export markets, earning the country foreign exchange.

He said: “The expectations are high out there, more so, the rainy season is advancing; hence, the CRA Board and the secretariat remain mindful of the need to speed up the process of issuing licences.

“We are receiving pressure from interested producers for licence approvals because they want to start production immediately.”

Cannabis production is bringing hope in the economy that it will complement tobacco, the country’s main source of foreign exchange.

Figures show that over a 10-year period, earnings from tobacco have dropped by about 45 percent.

The recently gazetted regulations show that applications for licences attract a non-refundable fee of $1 000 ( about K740 000) for medicinal cannabis while a licence for industrial hemp is pegged at $500 (about K370 000).

Licence fees to cultivate and sell as well as the licence to process is pegged at $10 000 (about K7.4 million) for medicinal cannabis while a licence fees to cultivate and sell industrial hemp is at $2 000 (about K1.4 million) while a licence to process industrial hemp is pegged at $5 000 (about K3.7 million).

In an interview, Nebert Nyirenda, director of Invegrow Limited, one of the firms that conducted research on industrial hemp, said on Monday that apart from less information dissemination to farmers, the fees are exorbitant and not favouring the majority of farmers in the country.

He said: “The requirements are not favourable to growers’ interest. The documentation to obtain the licence is too cumbersome for a common farmer to manage. There is need to customise licence requirements to suit the needs of local farmers.”

A recent analysis by Invegrow Limited found that a kilogramme of industrial hemp could fetch about K32 000 on the market and that there is potential for direct annual benefit to Malawians in excess of K3 billion on 16.5 hectares or K195 million per five hectares.

The analysis further indicated that the crop has ready markets whose global value chain is worth about $9 billion (about K6. 6 trillion), giving local investors a basis to take up cannabis production.

Previous Post

NBS Bank partners firm in online payment

Next Post

Low savings rate, a loss to consumers

Related Posts

Sees economic growth by 3.5 percent: Mlusu
Business News

Mlusu positive on growth prospects

March 1, 2021
Employees in the thick of things
Business News

Arrears payment to ease job losses—Ecam

March 1, 2021
Olela: We are excited
Business News

K5bn Sunbird Waterfront hotel opens May

February 28, 2021
Next Post
savings | The Nation Online

Low savings rate, a loss to consumers

Discussion about this post

Opinions and Columns

My Turn

Tackling global slowdowns

March 1, 2021
People’s Tribunal

Burglary at the hill

February 28, 2021
Search Within

Perseverance landed, is alive and well

February 28, 2021
Emily Mkamanga

Tasting your own salt in politics

February 28, 2021

Trending Stories

  • chisale1 | The Nation Online

    Inside Chisale’s seized property

    0 shares
    Share 0 Tweet 0
  • Grace Chinga makes posthumous return

    0 shares
    Share 0 Tweet 0
  • MIN coy on K18bn MZ youth centre

    0 shares
    Share 0 Tweet 0
  • Admarc secures K430bn to revamp operations

    0 shares
    Share 0 Tweet 0
  • TUM insists strike continues

    0 shares
    Share 0 Tweet 0
  • Values
  • Our Philosophy
  • Editorial policy
  • Advertising Policy
  • Code of Conduct
  • Plagiarism disclaimer
  • Disclaimer
  • Privacy Policy
  • Terms of use

© 2021 Nation Publications Limited. All Rights Reserved.

No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • Entertainment
  • Life & Style
    • Every Woman
      • Soul
      • Family
    • Religion
    • Feature
  • Society
  • Opinion
  • Sports
  • Chichewa
  • Enation

© 2020 Nation Publications Limited. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.