The industrial market in the Oceania region is expected to be worth some US$18.6 million by 2028.

Population (m)4.79
GDP (US$ b)205.85
Total Healthcare Expenditure (US$ b, est.)19.5
Prevalence of Cannabis Users (%)11
Source: World Bank/ WHO/ BMJ/ Prohibition Partners

An industrial hemp licence is necessary to cultivate, harvest and/or process industrial hemp under the Misuse of Drugs (Industrial Hemp) Regulations 2006. The fee for a general licence is $500. The Industrial Hemp Regulations set the allowable limits of THC (given as a % of the dry weight of the plant) of generally below 0.35% and not more than 0.50% in hemp plants. Under the current regulations, if the crop tests higher than the 0.5% THC regulatory limit it must be destroyed.

On 28 April 2017, changes were made to the Food Standards Australia New Zealand Code to permit the sale of food products derived from hemp seed that do not contain cannabinoids apart from trace levels. These amendments came into effect on 12 November 2017.

New Zealand Hemp Business Plan Sample

With the changes to the Food Standard certain hemp seed products are now permitted for human consumption. The following products may be imported without import permission from Medicines Control:

  • Products contain hulled hemp seeds, derived from hemps, and/or hemp seed oil provided that:
  • They do not contain another drug
  • They do not contain any part (or extracts) of the cannabis/hemp plant (excluding extracts made from the hemp seeds)
  • The total cannabidiol content is 75 mg/kg or less, and
  • The total tetrahydrocannabinol content is less 50 mg/kg or less.

Hemp growing has increased in New Zealand since the Amendment of the Misuse of Drugs (Industrial Hemp) Regulations 2006 came into force. 65 licencees growing 259 hectares in 2018 rose to 260 licencees growing 1,335 hectares in 2020. This has levelled off in 2021, with 192 licencees growing 862 hectares. Based on the 2019-2020 growing season, the industry is estimated to be worth $3 – $5 million to growers. The international food market for hempseed is estimated at $1 billion.

Statistics for the summer season 2021/2022 again show an increase, with increasing interest in fiber products. Currently demand for construction materials far exceeds supply. There were almost 50,000 new houses consented in New Zealand in 2021, valued at about $19 billion. If hemp builds and building materials were able to obtain a 0.1% – 0.5% share of the national residential construction market, this could create an industry valued between $19 – $95 million.

New Zealand Hemp/CBD Market Inforgraphics

New Zealand Hemp CBD Business Plan Sample

New Zealand Hemp

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Our hemp/CBD financial models and business plan templates will help you estimate how much it costs to start and operate your own hemp/CBD business, to build all revenue and cost line-items monthly over a flexible seven year period, and then summarize the monthly results into quarters and years for an easy view into the various time periods. We also offer investor pitch deck templates.

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Cannabis business plan templates are available at cannabusinessplans.com.