December 3, 2024
Industry

Himachal Pradesh Considers Regulated Cannabis Cultivation

Himachal Pradesh is exploring the possibility of legalizing regulated cannabis cultivation for medicinal and industrial use, with a focus on its potential for fibre production. State Minister Vikramaditya Singh has announced the formation of a committee to evaluate the benefits of controlled cannabis cultivation, emphasizing its potential to enhance the state’s economy.

Singh highlighted that the initiative, aimed at strengthening Himachal Pradesh’s economic base, builds on a similar proposal made by former Chief Minister Jai Ram Thakur in 2018. The state’s interest in cannabis is driven by its favourable geographical and climatic conditions, which are ideal for the plant’s growth.

The five-member panel, led by State Revenue Minister Jagat Singh Negi, recommended in April 2023 that amendments be made to regulations to permit cannabis cultivation for its fibre and low-intoxicant seeds. Chief Minister Sukhvinder Singh Sukhu has since presented the panel’s findings to the state assembly.

Currently, cannabis cultivation is illegal in Himachal Pradesh. However, neighbouring Uttarakhand became the first state in India to legalize it in 2017. Controlled cultivation is also underway in certain districts of Gujarat, Madhya Pradesh and Uttar Pradesh. Negi pointed out that the current destruction of cannabis by enforcement agencies represents a missed opportunity. By harnessing this potential, the state could benefit both its economy and local farmers.

The proposed regulations would allow for the cultivation of cannabis with tetrahydrocannabinol (THC) levels below 0.3% for industrial purposes. For medicinal use, cultivation would occur in controlled environments under strict supervision.

Under the NDPS Act of 1985, the cultivation of cannabis for non-intoxicant uses is regulated but permissible. The Act empowers states to set rules for the cultivation of hemp for fibre, seeds and horticultural purposes. This legal framework provides a basis for Himachal Pradesh to develop a regulated cannabis industry.

The advantages of cannabis cultivation extend beyond economic growth. The plant’s versatile fibres can be used in textiles, contributing to the state’s clothing industry. Cannabis fibres are known for their strength and durability, making them suitable for a range of applications from clothing to construction materials. This could potentially lead to the creation of new textile products and stimulate the local textile sector.

The state government, grappling with high debt levels and financial challenges, views cannabis cultivation as a promising economic strategy. CM Sukhu has indicated that regulated cultivation could generate annual revenues between Rs 1,500 to 2,000 crore. According to the panel’s report, legal cannabis could contribute an additional Rs 400 to 500 crore in the initial years, bolstering state finances and supporting economic stability.

By tapping into the potential of cannabis fibres, Himachal Pradesh aims to not only improve its economic outlook but also position itself as a leader in sustainable and innovative textile solutions.

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