Albania establishes 0.8% THC threshold for hemp, while recognizing CBD as medical cannabis
Albania has recently introduced new regulations that have opened up opportunities for the industrial hemp industry. The THC limit for hemp crops has been set at 0.8% in the field, while CBD is subject to strict rules that only permit exports.
The Albanian Parliament voted 69-23 in favor of a cannabis bill that encompasses both hemp and medical marijuana. According to Albanian law, all marijuana and hemp extracts, including CBD and other minor cannabinoids derived from hemp, are considered medical cannabis products and can only be produced for markets outside of Albania.
The passing of the new law signifies the establishment of the National Cannabis Control Agency (NCCA), which will be responsible for implementing and overseeing both sectors. The NCCA, under the authority of the health minister, will set regulations, conduct inspections of cannabis fields, and monitor processing and production.
There are no limits on the amount of hemp that can be cultivated for grain and fiber, allowing for the development of a domestic market for these outputs. Joe Spencer, Chairman of the National Albanian Hemp Industry Association, believes that these regulations will provide a sustainable economic future for rural communities dependent on agriculture. He stated that the growth of the hemp grain and fiber industry will not only increase employment in agriculture but also in manufacturing industries.
The hemp production chain will be subject to a mandatory track-and-trace system, according to Spencer.
The Significance of the 0.8% THC Limit
By setting the THC limit for hemp plants at 0.8%, Albanian lawmakers have reached a compromise. While the EU-wide standard has recently been raised to 0.3% (the current level in the U.S.), several countries worldwide have set the limit at 1.0% THC as the threshold between hemp and marijuana. A higher limit helps protect farmers from issues that may arise when crops exceed the established limits. Additionally, a higher THC limit makes CBD production more efficient since CBD levels rise in proportion to THC in industrial hemp plants.
The NCCA is responsible for establishing a licensing commission that will issue permits for farming, processing, and seed and start imports. The commission will also control licensing for the production and distribution of medical cannabis products, which can only be produced for export markets and are prohibited from being sold within Albania.
Hemp was legalized in Albania in 2004, and the government announced its intention to clarify hemp laws and legalize medical cannabis in June of last year.
Restrictions on CBD and Medical Marijuana
Under the export-only plan for medical marijuana and CBD, individuals seeking licenses must have approximately $1 million in capital and own at least 51% of the company’s shares. They must also possess a minimum of three years of experience in cultivating, producing, and distributing such products, as well as a five-year business track record in one of the countries belonging to the Organization for Economic Cooperation and Development (OECD). Additionally, they are required to hold good manufacturing practices (GMP) certification from either the European Medicines Agency or the U.S. Food & Drug Administration for at least three years.
Furthermore, licensees for medical marijuana and hemp CBD are limited to growing a maximum of ten hectares of cannabis each, with a national limit of 200 hectares overall.
Albania and its Relationship with Cannabis
During the 1970s and 1980s, Albania permitted the cultivation and export of hemp for seed-based oil and textiles. However, the industry collapsed in the early 1990s when the government classified the plant as a narcotic in 1995, leading to a strict prohibition on production.
Albania has been a major hub for drug trafficking and is one of Europe’s largest outdoor producers of illegal marijuana. The country’s Law on Narcotic and Psychotropic Substances of 1994 deems recreational and medical marijuana as controlled substances, making their cultivation and trade illegal. Despite government efforts to clamp down on illicit trade, the results have been largely ineffective.
Albanian agriculture primarily relies on small family farms and accounts for approximately 20% of total exports. The country is the 11th-largest producer of olive oil globally and also exports medicinal and herbal plants, generating around $60 million in export income annually. Other crops include tobacco, wheat, corn, potatoes, fruits, and vegetables. The farming sector faces challenges such as uncertain land ownership rights, lack of access to bank credits, and high value-added tax.
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