South African cannabis industry holds great promise

South Africa’s medical cannabis and hemp sector is on the verge of transformation, but industry leaders say it will take robust education, policy reform and home-grown innovation to realise its full potential.

South African cannabis industry holds great promise
Medicinal cannabis cultivation is legal in South Africa, but only under a permit issued by the South African Health Products Regulatory Authority and in compliance with the Medicines and Related Substances Act.
Photo: Supplied
- Advertisement -

Speaking to Farmer’s Weekly, Mirishin Schutte-Schoeman, CEO of Abis Inc. and Spoonful of Sugar dispensaries, says a key priority is dispelling the lingering misconceptions around cannabis use for medicinal purposes.

“Public education is essential if we want people to understand that medical cannabis is a legitimate, scientifically backed treatment option,” she explains.

READ The small town with big plans for hemp production

- Advertisement -

“Campaigns should focus on debunking myths, explaining medical use, safe consumption, and regulatory frameworks. Community workshops, media outreach, and medical practitioner engagement are all necessary.”

Research and development

Despite slow policy implementation, South African universities are starting to invest in cannabis-related research and development.

“Institutions like the University of the Western Cape and North-West University are beginning to explore this field. But to scale research meaningfully, collaboration with private companies and international partners is still essential,” says Schutte-Schoeman.

According to her, such partnerships could place South Africa at the forefront of the African medicinal cannabis market. Innovation, especially in product formulation and delivery, is crucial.

“Local innovation drives cost reduction, improved efficacy and export competitiveness. Techniques like using nano-emulsions, targeted delivery methods such as suppositories, and even combining cannabis with indigenous African plants, offer untapped opportunities for product development that’s both effective and unique to our region,” she says.

She adds that South Africa also has the opportunity to learn from global leaders in the cannabis space; countries like Israel and Canada provide models worth adapting.

“Israel excels in cannabis research, while Canada has built a strong commercial model. South Africa needs to adopt both approaches in streamlining regulatory processes, prioritising patient access, incentivising local research, and encouraging private-public partnerships,” says Schutte-Schoeman.

Policy concerns remain an issue

Many local entrepreneurs and small businesses are discouraged by high entry barriers and a sluggish licensing process. Schutte-Schoeman says government intervention could catalyse growth.

READ Understanding cannabis and hemp regulations in South Africa

“We need government to reduce red tape, invest in research, create financial instruments for small businesses, and facilitate trade agreements. Export incentives and hemp industrial zones could accelerate growth,” she says.

Potential for rural economic development

Schutte-Schoeman says medical cannabis holds particular promise for rural economic development. With South Africa’s ideal climate for cannabis cultivation and an emerging interest in health and wellness products, the sector could provide jobs and new income streams in underserved areas.

“If the current momentum continues, the industry could become a significant contributor to GDP, especially in rural areas. With the right balance of regulation, inclusion, and innovation, South Africa can lead Africa’s cannabis economy and establish a globally respected medicinal brand,” she says.

According to Schutte-Schoeman, the sector faces challenges. A fragmented policy landscape, slow regulatory approvals and lack of financial support for smallholders continue to stall progress. However, experts agree that South Africa is well positioned to catch up quickly if it prioritises the right investments.

“There is growing global demand for clean, well-regulated medical cannabis products. South Africa must act now to build infrastructure, streamline regulation, and empower communities with knowledge and resources,” she says.

As awareness increases and research expands, Schutte-Schoeman says she can see a more inclusive industry, one that integrates traditional knowledge systems with cutting-edge science and technology.

“This isn’t just about building an industry. It’s about building a new approach to wellness, healing, and economic justice,” says Shutte-Schoeman.