Cabinet okays cannabis policy to reap economic benefits

Policy envisages regulated plant cultivation, derivatives manufacturing for medicinal and industrial use

ISLAMABAD:

The federal cabinet has approved the National Cannabis Control and Regulatory Policy, 2025 to curb the misuse of cannabis and market manipulation.

The cabinet had earlier formed a high-level committee to examine the proposed policy while keeping in view the international best practices.

The Cabinet Division recalled that the cannabis regulatory policy had been placed before the cabinet for consideration in its meeting on June 17, 2025. Following a review, the cabinet constituted a committee, in terms of Rule 17(3) of the Rules of Business, 1973, with defence minister being the convener, to evaluate the policy document.

The Cabinet Division apprised the cabinet in a recent meeting, chaired by Prime Minister Shehbaz Sharif, that the committee held two meetings, headed by the defence minister, and thoroughly examined the draft policy in line with the terms of reference. First meeting was held on August 5, 2025 and the second on October 13, 2025.

After detailed deliberations, the committee endorsed the policy document with certain modifications and recommended that it be submitted to the cabinet for approval.

A comprehensive report on proceedings of the committee, the final draft of the National Cannabis Control and Regulatory Policy, 2025 and a certificate from the director-general of the Cannabis Control and Regulatory Authority attesting that the amendments suggested by the committee had been incorporated were placed before the cabinet.

The cabinet was requested to approve the policy in terms of Section 13 of the Cannabis Control and Regulatory Authority Act, 2024. It considered the summary titled "National Cannabis Control and Regulatory Policy, 2025," and approved the proposal.

Earlier, the cabinet appreciated the timely formulation of the national cannabis policy to reap economic benefits from the regulated cultivation of its plants and the manufacturing and sale of its derivatives for medicinal and industrial use.

For the first time, such a policy is being introduced in Pakistan. The committee had been formed with the objective of scrutinising the proposed policy framework to identify and remove loopholes, if any.

The committee was also to assess the adequacy of safeguards to prevent the misuse of cannabis plants, its products or derivatives along the supply chain. It estimated the optimal human resources requirement of the regulatory authority, including the financial implications.

The body recommended policy interventions to avoid any overlaps or incompatibilities between federal and provincial policies or administrative or legal domains that require resolution, and examined any matter ancillary to the policy.

The federal government will prepare and prescribe a national policy from time to time governing all aspects of the cannabis plant market from cultivation to sale and production as well as export and import of cannabis and its derivatives. It may seek input and assistance from the regulatory authority and provincial governments.

The Cannabis Control and Regulatory Authority had initially submitted a draft National Cannabis Policy, 2025 to regulate its cultivation and promote new cultivation sites for medicinal and industrial purposes as well as development of a value chain from cultivation to product manufacturing.