Salam plans modern economic boost with medical cannabis industry

BEIRUT — Prime Minister Nawaf Salam stated that his government considers the cultivation of cannabis for medical use a "promising" sector that could become the nucleus of a new economic industry, provided it is strictly regulated and organized.

Speaking Wednesday at a conference at the Grand Serail dedicated to the subject and attended by several relevant ministers, including Interior Minister Ahmad Hajjar, Justice Minister Adel Nassar, Industry Minister Joe Issa-Khoury, and Agriculture Minister Nizar Hani.

A 'national responsibility'

"The government considers cannabis cultivation, in its medical and industrial forms, as a promising sector, now recognized in a growing number of countries as a driver for economic development, job creation and the revitalization of marginalized rural areas, all within a strict legal and regulatory framework," said Salam.

He emphasized that "agriculture occupies a central place in the executive's vision" for reviving the country's economy, "after having been marginalized for years."

Hani echoed the head of government during his speech. "The launch of the process to legalize cannabis cultivation for medical and industrial purposes is not merely a technical choice, but a great national responsibility. We are aware of its sensitivity, but also of its promising potential, provided it is managed rigorously, based on governance, science, regulation, and transparency," he said.

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Lebanon is informally known abroad for growing high-quality recreational cannabis. The cultivation of medical cannabis differs from that for recreational use through several standards — selected varieties based on their CBD (cannabidiol) content and low THC (psychoactive substance) levels, traceability, and limited use of pesticides.

During the first year of the crisis that began in late 2019, the Lebanese Parliament passed Law No. 178/2020, legalizing the cultivation of cannabis for medical and industrial use. The law passed despite opposition from Hezbollah MPs, whose support base is strong in the Bekaa region, where most of Lebanon's cannabis is grown.

The idea to pass this law to profit from the commerce of this crop had been suggested by international consulting firm McKinsey & Co, which Lebanon hired in 2018 to propose strategies for diversifying the Lebanese economy.

In its report published in 2019, the firm estimated that the sector could bring in up to a billion dollars a year in state revenue.

Since the law was passed, progress has been slow due to delays in appointing members to the regulatory authority it created. This authority is responsible for a wide range of tasks, including managing licenses, setting CBD and THC levels, and creating a seed-tracking system.

However, last week, the agriculture minister announced that the list of candidates had been finalized. At the same conference, Salam confirmed that "two of the seven members had been chosen according to current procedures." He added that the government still needs to "adopt the necessary implementing decrees" and establish a strict control system.

As for the government's ambitions, Salam said they are counting on revenue from "a complete value chain integrating agriculture, the pharmaceutical and food industries, and biotechnologies." This would provide legal, productive opportunities for "thousands of families in the Bekaa" and position Lebanon as "a regional hub for the manufacture of cannabis-based medicines."

The agriculture minister added: "What we are launching today is not just another agricultural crop, but an integrated production sector — ranging from fields to factories, including pharmaceutical industries, cosmetic applications, and uses in construction, food, and agriculture. This is an emerging global investment sector where Lebanon can truly stand out."