POKHARA: The Gandaki Province government has initiated a landmark move to bring cannabis cultivation, long considered illegal but recognized for its medicinal and industrial value, under a legal framework.
With the ambitious goal of boosting farmers’ incomes and creating a strong alternative economic base, the province has publicly released the detailed draft of the “Gandaki Province Cannabis Cultivation Regulation and Management Bill.”
The bill outlines a comprehensive framework to place the entire cycle of cannabis production, processing, storage, and distribution under strict government supervision and control.
Spearheaded by Chief Minister Surendra Raj Pandey and backed by unprecedented consensus among the province’s major political parties, this bill, if passed, will make Gandaki the first province in Nepal to legally regulate cannabis farming in an organized manner.
Chief Minister Pandey said the bill had undergone extensive public testing and received positive responses, which encouraged the government to officially move forward. Speaking at a discussion held in Pokhara on Tuesday, he said, “We have been trialing the bill publicly to gauge the response. Everyone applauded the effort.”
He said the bill is not the desire of the government alone, but a collective agreement of all parties, with everyone ready to expedite the legal process.
The draft proposes the establishment of a powerful and autonomous “Cannabis Regulation Board” to prevent disorder in cannabis cultivation and trade. Chaired by an executive director appointed by the Chief Minister, the board will lead all policy matters related to cannabis.
The board will include secretaries from key provincial ministries (Chief Minister’s Office, Health, Agriculture, Industry), the provincial police chief, directors of health and agriculture development, representatives from the Nepal Medical Council, and the Association of Pharmaceutical Entrepreneurs.
To make it more inclusive, the board will also have representation from cannabis-growing farmers and heads of authorized municipalities.
The board will hold crucial powers such as designating cultivation zones, issuing and revoking licenses, recommending minimum support prices for cannabis, and taking action against legal violations.
The draft aims to make the cannabis business highly regulated and disciplined. Cultivation will only be allowed in districts, local units, or special areas notified officially by the government. Farmers will not be allowed to sell cannabis directly in the market; sales must be made exclusively to the regulation board or its authorized bodies.
Obtaining licenses will be mandatory, with fees ranging from Rs 5,000 to Rs 18 million depending on the type of permit. For example, processing industries require Rs 5 million, import-export trade Rs 15 million, and integrated licenses for multiple activities up to Rs 18 million.
The bill scientifically classifies cannabis: plants containing over 1 percent psychoactive substances will be termed cannabis, while those with less will be classified as bhang.
Every farmer and trader must maintain detailed records of production and sales. Involvement of persons under 18 will lead to automatic license cancellation. Unauthorized cultivation or trade can lead to up to three years imprisonment and fines up to Rs 600,000.
The province’s courageous move is legally supported by an opinion from the Attorney General’s Office. Attorney General Chiranjeevi Sharma (Paudel) submitted an opinion to the Chief Minister citing strong national and international grounds for legalizing cannabis. It references Nepal’s reservation under the 1961 UN Single Convention on Narcotic Drugs, which allows medicinal and semi-medicinal use.
The Controlled Substances (Regulation) Act, 1976 itself allows regulated production, processing, and trade of medicinal cannabis. The constitution’s Schedule 6 grants provinces exclusive authority to legislate on agriculture and industry, while the World Health Organization has removed cannabis from the list of the most dangerous narcotics, making provincial legislation relevant.
A notable feature of the bill is its attempt to nullify the federal Controlled Substances Act provisions criminalizing cannabis cultivation and trade within Gandaki Province. Article 37 stipulates that these federal provisions will be inactive within the province, asserting provincial jurisdiction.
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