Argentine President Fernández Signs Law Regulating Medical Cannabis And Hemp, What Next?

Argentina’s Congress approved a law that to create a regulatory framework for public and private investments in the production of hemp and cannabis products in early May. The bill needed to be signed by President Alberto Fernández, which he did this week.

“This is another triumph of society against hypocrisy. I lived it with the divorce law, with same-sex marriage, and with abortion. I am an inveterate fighter against hypocrisy. Today we are winning another battle," said President Fernández, reported Infobae.

The new legislation legalizes the production of cannabis for medicinal and industrial purposes, creating a new industry that will help the recovery of Argentina's struggling economy. In addition, the law provides banking services for cannabis businesses and opens a huge potential market of some 45 million people.

Matias Kulfas, Argentina's Minister of Productive Development, said the cannabis industry could create up to 10,000 new jobs by 2025, increase the domestic market by $500 million, and increase export revenues to more than $50 million. 

Cannabis And Hemp: Multi-Talented

Cannabis can be used for medicinal purposes while hemp has numerous practical uses, including in the construction and textile industries. Thanks to its highly resistant fibers, Argentine hemp will be used in the clothing industry, production of biofuels, construction of low-impact housing and due to its high cellulose content, the production of paper.

Globally, industrial sales are expected to triple in the next 7 years, rising from $4.71 billion in 2019 to $15.26 billion in 2027. Meanwhile, Argentina has at least eight different varieties of cannabis seeds, good news for keeping costs down as well as the need to import the plant.

What's In The Bill

The bill creates the Regulatory Agency for the Hemp and Medicinal Cannabis Industry (ARICCAME), whose function will regulate the import, export, cultivation, industrial production, manufacture, marketing, and acquisition of seeds, of the cannabis plant and its derivatives derived products for medicinal or industrial purposes.


Image by El Planteo.

Market News and Data brought to you by Benzinga APIs
Posted In: CannabisGovernmentLatin AmericaNewsRegulationsEntrepreneurshipPoliticsMarketsGeneralargentinaARICCAMElegalize marijuanaMatías KulfasPresident Alberto Fernández
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!

The Benzinga Cannabis Capital Conference is coming to Florida

The Benzinga Cannabis Capital Conference is returning to Florida, in a new venue in Hollywood, on April 16 and 17, 2024. The two-day event at The Diplomat Beach Resort will be a chance for entrepreneurs, both large and small, to network, learn and grow. Renowned for its trendsetting abilities and influence on the future of cannabis, mark your calendars – this conference is the go-to event of the year for the cannabis world.

Get your tickets now on – Prices will increase very soon!