The government of Australia has reportedly announced its plans to permit the export of medical cannabis to other countries. According to official authorities, though the cultivation of medical marijuana in Australia is meagre, its domestic application, legalized in 2016, and its increased sale to other countries will result in a surge in its production across the region. Industry analysts have claimed that Australia has now become the fourth country across the globe to legalize the use of medicinal cannabis succeeding Canada, Holland, and Uruguay. As per the health minister of Australia, the government’s objective behind legitimizing cannabis exports is to be the Numero Uno exporter of the drug in the world.
As per reliable sources, the Australian government needs to get the nod of approval from the opposition for its proposal on medical cannabis exports in the parliament session to be held next month. It is learnt that the nation’s main opposition, the Labor Party, is likely to support the proposal. However, according to the new proposal, the producers of medical marijuana must manufacture sufficient amounts to meet the requirement of local patients, and then export the rest of their produce to other countries. With the proven benefits of medicinal cannabis in treating chronic pain, cancer, and multiple sclerosis, many countries, including twenty-nine states of the U.S have legalized its medicinal use. Experts believe that the strategic move will result in the country generating huge revenues through medicinal cannabis exports over the coming years.
Stock analysts have confirmed that the share price of over twelve medical cannabis producers listed on the local exchange skewed up after the government had made the declaration of exporting the drug. It was found that the share price of Cann Group was up by 35% at the end of Thursday, while the price of BOD Australia and AusCann Group stocks increased by approximately 39% and 54% respectively. Even firms such as Hydroponics ended up with a 30% rise in its share prices, which were at their peak during the span of thirty-five days.