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Motsoaledi’s Regulations Will Kill 1 800 Businesses

Dear Editor

The DA strongly opposes Minister Aaron Motsoaledi’s decision to ban cannabis-based foodstuffs, citing both the negative public policy implications and the significant economic harm this decision could inflict on South Africa’s growing hemp and cannabis industries.

The global hempseed market, valued at over USD 5 billion in 2023, is expected to double by 2032, with the food and beverage sector driving much of the growth. Many countries, including the United States, Canada, and China, have integrated hemp into their food industries, and South Africa should do the same.

South Africa’s hemp industry is vibrant, with over 1 400 licensed cultivation businesses and 400 SMMEs, all creating jobs and contributing to the local economy. The ban, however, risks stifling growth in this sector.

The DA calls on President Cyril Ramaphosa to reverse this damaging regulation, which disregards public consultation and the voices of businesses and health experts. Instead of imposing restrictions, the government should support the hemp industry, which has the potential to boost jobs, improve public health, and drive sustainable economic development.

The ban on cannabis-based foodstuffs smacks of the same reckless disregard for sound policy, stifling an industry that could significantly contribute to the economic security of the country.

The Minister’s actions also reflect a disturbing trend of ignoring alternative perspectives and solutions. Despite the voices of businesses, farmers, and health experts calling for a rational approach to cannabis regulation, the Minister stubbornly insists on pursuing policies that disregard both evidence and the public good.

His approach to cannabis, like his approach to NHI, is to close his ears to meaningful public input and instead impose his will, without regard for the consequences.

The DA is concerned by the process that led to this ban. Minister Motsoaledi has bypassed the required public consultation process, relying on a dubious claim that the regulations were needed “without delay.”

By stifling this industry with an arbitrary and ill-considered ban, Minister Motsoaledi is undermining an important economic sector. This regulation will discourage local innovation, diminish South Africa’s competitive advantage in a rapidly growing global market, and ultimately harm the thousands of businesses and workers relying on the expansion of this sector.

Rather than imposing harmful restrictions, the government should be fostering growth and providing regulatory clarity for the cannabis and hemp industries.

Regards

Michele Clarke MP
DA Spokesperson on Health

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