The three-day indaba, held from 20 to 22 May at the East London International Convention Centre in Quigney, included a cannabis session focused on regulatory frameworks and policy instruments for emerging agricultural industries.
Speaking during the session, Dr Sunshine Blouw, cannabis specialist at the Eastern Cape Rural Development Agency, said cannabis has been formally included in South Africa’s national investment strategy.
Blouw said the designation positions the sector within national efforts to attract investment, expand industrial capacity and support rural economic development through agriculture-linked industries.
Discussions were aimed at identifying gaps in implementation and improving coordination across the cannabis value chain, from primary production to processing and manufacturing.
Industrial hemp positioned for manufacturing integration
A key focus of the session was the potential role of industrial hemp in supporting existing manufacturing industries in the Eastern Cape, particularly automotive production and textile manufacturing.
“We have a South African automotive master plan where the global automotive industry is moving towards manufacturing lighter, greener vehicles,” he said.
According to Blouw, this shift has created demand for natural fibre materials that can be used in vehicle components and industrial applications.
He said hemp fibre could potentially be used in automotive interior components, composite materials and textile-based industrial applications, aligning with broader changes in global manufacturing.
Infrastructure and processing capacity highlighted
Blouw said the development of the cannabis and hemp sector is dependent on the establishment of local processing infrastructure, particularly in relation to textile manufacturing and fibre processing.
“Having a textile mill in the Eastern Cape should be a priority of the Government, attracting those investors that will set up a textile mill,” he said.
Such infrastructure would be necessary to ensure that raw agricultural production is linked to value-added manufacturing within the province, rather than being exported without local beneficiation, he said.
Blouw added that logistics systems, industrial zones and agricultural infrastructure would be important in supporting the sector’s development.
He said planning should consider how production areas connect to processing hubs to ensure economic viability, particularly in relation to transport costs and supply chain efficiency.
Investment and value chain considerations
Blouw said the cannabis sector fits into broader agricultural and industrial investment strategies in the province. The sector spans multiple potential markets, including medicinal, industrial fibre and broader commercial applications, all of which require structured value chain development.
Effective coordination between government, private sector investors and research institutions would be required to support sector growth, he said.
“This includes aligning agricultural production with industrial demand, ensuring that fibre crops such as hemp can be integrated into existing manufacturing ecosystems,” he said.
The session also pointed to the need for clear regulatory frameworks and investment pathways to support both emerging and established players in the sector.
