top of page
SA Landraces with Cannabis Plants. and species-min.png

CANNABIS INDUSTRY 

BREAKING  NEWS

Medigrow to Focus on Indoor Cultivation, CBD Extraction & Hemp Cigarettes at Coega, Which E Cape Govt Says Will be SA’s Cannabis Capital

Medigrow to Focus on Indoor Cultivation, CBD Extraction & Hemp Cigarettes at Coega, Which E Cape Govt Says Will be SA’s Cannabis Capital

More details are emerging on the Eastern Cape Government’s bold private sector partnership with Medigrow which will see R1 billion invested in the Coega SEZ over the next five years. Growers, will indeed need licenses, and Medigrow will assist in compliance and quality control.

Seth Thorne, BusinessTech

5 May 2024 at 06:00:00

This report from BusinessTech published on 2 May 2024.


The Eastern Cape aims to establish itself as South Africa’s primary cannabis production hub, and a cannabis firm’s R246 million pledge for 2024 and nearly R1 billion planned investment over the next five years is set to give the province a big boost in this goal.


That is if the Premier gets his wish to adopt a “sandbox” approach, where special cannabis zones will be exempt from restrictive commercial national cannabis legislation.


READ: E Cape Premier Bemoans The Phakisa's Lack of Progress, Says Province Will Take The Lead by Developing Coega into a cannabis hub.


On 29 April 2024, cannabis consulting firm Medigrow, which has thus far established 14 medicinal cannabis farms across the country, signed an investment pledge with the Eastern Cape provincial government.


This pledge will see them included in the government’s Coega Special Economic Zone (SEZ), which is a prime industrial area near Gqeberha in the Eastern Cape designed to attract investment and boost manufacturing.


As per the agreement, a sum of R246 million will be invested by the end of 2024 to finalise an extraction and manufacturing facility for growing indoor cannabis, extracting CBD, producing hemp cigarettes, and packaging the products.


According to the investment agreement, the goal is to cultivate 10,000 hectares of cannabis over the next five years.


A total of around R1 billion will be invested in Coega, which is said to create nearly 30,000 job opportunities. The plan is to assign three workers to each hectare.


Medigrow’s managing director, Edgar Adams, said that small-scale farmers will be supplied with seeds to grow the hemp plant, and the plant will be processed at the SEZ into oil or isolate.


Adams added that the production process would begin once the building becomes compliant and the necessary equipment is installed.


He added that through their facility, they will be able to help address rural development by outsourcing the growing of hemp for oil and isolate that will be manufactured in the facility.


“The investment represents the biggest investment in this subsector in the province and we hope it will act as a catalyst to those investors (locally and internationally) who have identified the province as a strategic location for cannabis investment,” said Eastern Cape premier Oscar Mabuyane.


Eastern Cape’s goal is to be SA’s cannabis industrial hub


Mabuyane has long been an avid supporter of cannabis production as a stimulant for industrial and economic growth in the province.


As such, he has expressed his discontent with slow progress from national government in creating conducive commercial cannabis legislation given that whilst private consumption among adults is legal, a huge amount of red tape remains around its sale.


“We are concerned by the slow progress of the country’s policymakers in expediting the full implementation… of an enabling cannabis regulation framework that encompasses the commercial exploitation of whole plant, all purposes legislation,” said Mabuyane at the investment launch.


Because of this, Mabuyane wants the Eastern Cape to take the lead in the “sandbox” approach outlined by the Presidency.


According to Cannabiz Africa, the “sandbox” approach describes a scenario where provinces can create special cannabis zones which are exempt from national cannabis rules, and therefore can focus on commercialising the plant within certain guidelines.


“Whilst we await the whole plant, all-purpose legislation, we further implore the National Cannabis Steering Committee chaired by Minister Didiza and Cannabis Advisor at Presidency PMO to expedite the ‘sandbox regulatory interim reform’,” said the Premier.


At the launch, Mabuyane paid tribute to the province’s cannabis growers, who he noted, had suffered hardship in keeping their cannabis culture alive.


“The province’s indigenous cannabis growers and knowledge holders (have) withstood harassment, the destruction and spraying of their cannabis crops with dangerous chemicals, arrests, criminalisation, and even death to protect this wonder plant/crop owned by Africans from being obliterated,” said Mabuyane.


#

A year on, the Presidency's ambitious cannabis plans are yet to materialize

The Phakisa 'Non-Action' Cannabis Plan! The Presidency’s Bold Initiative Appears to Have Fizzled Out

A year on, the Presidency's ambitious cannabis plans are yet to materialize

Grain sector expresses interest in cannabis sector but is standing on the sidelines until the right laws are enacted.

Mealie Farmers: “The Cannabis Thing – We Are Watching With Interest’: Biggest Challenge is the Legal Framework”

Grain sector expresses interest in cannabis sector but is standing on the sidelines until the right laws are enacted.

Cannabis Bill one of 27 pieces of impending legislation sitting on the President's des.

Time Fast Running Out For Pres Ramaphosa to Sign. Cannabis Bill into Law Before May 29 Elections.

Cannabis Bill one of 27 pieces of impending legislation sitting on the President's des.

5.cannabiz-africa Hemp -min.png

Cannabis in South Africa: The People’s Plant

We are a civil society organisation with the interests of the existing Cannabis industry and the Human Rights of ALL citizens at heart.

WE’RE BRINGING A NEW STANDARD

We are more than just a cannabis retail company. We are about a lifestyle that promotes vitality, balance & good health.

Resources & Equipment

Explore cannabis growing equipment for growing weed at home. 

Whether you’re just starting out, or you’re looking to enhance your outdoor or indoor weed grow setup – we have the perfect range of cannabis growing equipment to match your marijuana growing ambitions. 

Find everything from LED grow lights, grow tents, fans, and hydroponic setups, to environmental equipment and controls, harvesting accessories, extraction equipment and plenty more. 

Design your ideal cannabis growing setup with high quality growing equipment available in South Africa. 

Explore cannabis growing equipment we’ve curated from reliable online suppliers in South Africa

bottom of page