New trials to boost emerging hemp industry

The Malinauskas Government is investing $500,000 to support industrial hemp production in South Australia through new trials and industry support grants.

Industrial hemp is a Cannabis genus plant that is distinct from medicinal and illicit cannabis due to its low-tetrahydrocannabinol (THC) levels – less than one per cent.

Importantly, the fibre, pulp, seed and oil from this crop can be used to produce a wide range of goods, including:

• Industrial and consumer textiles
• Paper and building materials
• Cosmetics
• Food products

The Weatherill Labor Government legalised industrial hemp in South Australia as a regulated industry from 2017, establishing a licencing scheme for cultivation, processing and research. Since then, trials held in the Riverland and Limestone Coast identified the latter region as particularly suitable for growing industrial hemp.

As part of the Malinauskas Government’s new $500,000 investment in the industry, new trials will be conducted to identify hemp varieties with low water requirements, potentially enabling it to be more widely grown in South Australia, including the Riverland.

A portion of the investment will also be provided to industrial hemp producers in the form of small grants to help fund infrastructure costs.