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paragraphs (b) and (c) for industrial uses
e) the supply, within New Zealand, of specified cultivars and varieties of hemp that are not
approved cultivars, but only to holders of research and breeding licences
f) the possession of specified cultivars and varieties of hemp that are not approved cultivars
for the purposes of the activities specified in the licence.
• A person is not eligible to hold a research and breeding licence if the person does not hold a
general licence.
• Medsafe considers that the intended purpose for a research and breeding licence is to provide a
pathway for cultivar approval.
• Regulation 67(1) of the Regulations states that every person is permitted to possess, use, and
trade in—
a) hemp products; and
b) hulled hemp seeds; and
c) stalks of industrial hemp, as long as those stalks are without leaves or fruit.
In other words, an industrial hemp licence is not required to possess, use or trade in hemp
products, hulled hemp seeds or bare stalks of industrial hemp without leaves or fruit.
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• Regulation 67(2) of the Regulations states that this regulation does not affect any other
restrictions imposed by law. This means that industrial hemp activities must comply with all
legislation such as the Medicines Act 1981, Misuse of Drugs Act 1975 and the Agricultural
Compounds and Veterinary Medicines (ACVM) Act 1997.
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• As of 25 January 2023, there were:
• 62 active Industrial Hemp (General) Licences
• 19 active Industrial Hemp (Research & Breeding) Licences
• 20 approved cultivars
• 2 approved laboratories.
Key documents
• The Misuse of Drugs (Industrial Hemp) Regulations 2006
• Guidelines for Industrial Hemp Licence Applicants
• Guidelines for Sampling of Industrial Hemp for Testing
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• Approved Laboratories for Industrial Hemp
• Approved Cultivars of Industrial Hemp
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• Industrial Hemp Responsible Person
• Industrial Hemp Roots
• Industrial Hemp Testing
• Application Forms:
• A1 – Application for a New Industrial Hemp Licence (General Licence)
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• A2 – Application for a New Industrial Hemp Licence (Research & Breeding Licence)
• A3 – Application for Approval of a Cultivar of Industrial Hemp
• A4 – Application for Approved Laboratory
• B1 – Application to Amend an Industrial Hemp Licence (Location, Activities, Cultivars &
Cultivation Area)
• B2 – Application to Amend an Industrial Hemp Licence (Replacement of Responsible
Person)
• B3 – Application to Amend an Industrial Hemp Licence (Composition of Board of
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demonstrate that the location is safe.
• Regulation 13(2) states that a location is considered safe if:
a) in the case of a location intended for storage of industrial hemp, it has a stable structure
in which industrial hemp can be securely stored; and
b) it is protected against access by unauthorised individuals and wandering animals; and
c) it is located at least 5km from an area zoned residential.
• Regulation 13(3) of the Regulations states that the Director-General may waive regulation
13(2)(c) if satisfied that, having regard to the features of the location and the surrounding
geographical area, the proximity of the residential area does not detract from the object of the
Regulations. When assessing requests to waive this requirement, matters such as the fol owing
are taken into consideration:
• the residential area is a small town (the property is surrounded by farmland and the area
is general y rural)
• a body of water separates the location from the residential area
• cultivation is not proposed at the location (e.g. a seed processing facility in an urban
area).
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• Medsafe general y expects the proposed cultivation area to be not visible from any public areas
including roads (protects against unauthorised access) and fenced (protects against access by
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wandering animals). Cultivation areas adjacent to public roads have been accepted if the
application states, or the applicant agrees to, cultivate a border crop (e.g. rows of maize to act as
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a visual barrier between the road and hemp crop). The type of road is taken into consideration
(e.g. volume of traffic, speed of traffic).
• Storage areas are general y lockable sheds or seed silos.
• When assessing the safety of a location, Medsafe pays special attention to the proximity of
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schools.
Local Police
• During the processing of an application for a new industrial hemp licence, it is Medsafe policy to
engage with local Police to assist in the assessment of the safety of the location.
• A site visit is conducted at the discretion of the Police. Site visits were regularly conducted when
the industrial hemp licensing framework was first introduced, however they have become rare.
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• For clarity, Medsafe does not contact the local Police when processing applications for premises
which have already held an industrial hemp licence (e.g. licence renewals).
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• Contact details:
District
Email address
Northland
s9(2)(k)
@police.govt.nz
Counties Manakau
s9(2) @police.govt.nz
(k)
Waitemata
s9(2)(k)
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@police.govt.nz
Auckland
s9(2)(k)
@police.govt.nz
Waikato
s9(2)(k)
@police.govt.nz
Bay of Plenty
s9(2)(k)
@police.govt.nz
Eastern
s9(2)(k)
@police.govt.nz
Central
s9(2)(k)
@police.govt.nz
Wellington
s9(2)(k)
@police.govt.nz
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Tasman
s9(2)(k)
@police.govt.nz
Canterbury
s9(2)(k)
@police.govt.nz
Southern
s9(2)(k)
@police.govt.nz
• Email template:
Good afternoon,
Medsafe has received the following industrial hemp licence application(s). The proposed premises are
located within your region.
You are invited to advise Medsafe should the Police hold any concern and/or objections to the
proposed location of activities to assist Medsafe in the assessment of the application(s).
Legal entity name
Premises name Premises address Contact phone number Contact email address Contact first name Contact surname
Please notify Medsafe of any concerns and/or objections to the proposed location within 10 working
days.
Please note:
•
Medsafe does not require a response if no concerns/objections are held.
•
Medsafe conducts Police vetting on all applicants to help determine if the applicant meets
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the eligibility criteria.
Police vetting
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• Regulation 18 of the Regulations states that in order to ascertain whether an applicant or any
directors of an applicant and any person nominated as a responsible person have convictions of
the kind specified in regulation 9, 10, or 11, the Director-General must ask the New Zealand
Police to check if any of those persons has a conviction of that kind. Consequently, Police vetting
is required of the applicant and each director/partner of a body corporate or partnership
applying to be licensed.
• Police vetting takes approximately four weeks, therefore it is important to ensure the Police
vetting request is processed promptly when an application is received.
• The applicant needs to complete sections 2 and 3 of the New Zealand Police Vetting Service
Request and Consent Form (not section 1).
• The applicant must have signed the vetting request form within three months when submitting
the request on the NZ Police Vetting Service website.
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• On occasion, Medsafe completes an application before the Police vetting results are received
(e.g. if a licence is urgently required). This decision is made on a case-by-case basis, and it is
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considered that Medsafe has complied with regulation 18 if the Police vetting request has been
submitted. It is worth noting that the Licensing Authority holds the delegated power to revoke
an industrial hemp licence pursuant to regulation 58 if the licence holder has been convicted of
an offence against the Misuse of Drugs Act 1975, the Misuse of Drugs Regulations 1977 or the
Misuse of Drugs (Industrial Hemp) Regulations 2006.
• Police vetting forms are required for each new licence (including renewals), but not for
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extensions.
Premises
• Regulation 13(4) of the Regulations states that an application may specify more than one
location only if al locations are included in the same property.
• Medsafe considers a property to be a contiguous area of land under the same ownership (s9(2
). Separate properties require )(h)
separate licences.
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• It is important that Medsafe understands the perimeter of the licensed premises. For example,
this becomes important when a licence holder applies to amend the authorised cultivation area
(the new cultivation area needs to be on the licensed premises).
• The legal description for the premises is specified on the licence.
• Land Information New Zealand (LINZ) is a valuable reference for checking legal site descriptions
(see: https://data.linz.govt.nz/). Regional/district council websites are also useful.
Licence period
• Regulation 22(2) of the Regulations states that the licence period may not exceed:
• in the case of a licence that authorises the cultivation of industrial hemp, 1 year:
• in any other case, 3 years.
• Regulation 22(3) of the Regulations states that a licence holder whose licence has been issued for
a period of less than 3 years may, before the expiry of the licence, apply to the Director-General
for an extension of the period.
• Regulation 22(4) of the Regulations states that if satisfied that the licence holder has complied
with the conditions of the licence holder’s licence imposed by or under these regulations and
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with every other provision of these regulations, the Director-General may, by notice to the
licence holder, extend the period by a further period stated in the notice.
• Regulation 22(5) of the Regulations states that no extension may be granted that would result in
a licence being in force for more than 3 years after the date of its issue.
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• It is Medsafe policy to issue al industrial hemp licences for a period of one year. In the past,
some licence holders (who were not authorised to cultivate) were issued licences for three years.
It was noted that these licence holders often failed to submit annual reports and to renew their
licences on time.
• There is sometimes confusion between "renewals" and "extensions", and some licence holders
use the terminology interchangeably. Some licence holders refer to extensions as "rol overs".
• An extension is an amendment to an active licence, which extends the expiry date. The extended
licence wil have the same licence number (with a different suffix). No extension can be granted
that would result in a licence being in force for more than 3 years after the date of its issue (the
maximum licence period is 3 years). Medsafe advises that extension applications should be
submitted 12 weeks before the expiry date of the licence, however all extension applications
received before the expiry date of the licence are accepted. To grant an extension, the Licensing
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Authority needs to be satisfied that the licence holder has complied with the conditions on the
licence (e.g. submitted samples for testing in accordance with the guidelines, submitted an
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annual report on time, etc). If a licence holder has not complied with a condition, they are not
eligible for an extension (however, they are able to apply to renew the licence).
• A renewal is a new licence with a new licence number for the same legal entity and premises. A
renewal has the usual $511.11 application fee. It is possible to renew a licence each year, however
it would be more expensive.
• Most licence holders fol ow the pattern:
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• 1st year – New application (using the A1 form)
• 2nd year – Extension (using the B4 form)
• 3rd year – Extension
• 4th year – Renewal application (using C1 form)
• 5th year – Extension
• 6th year – Extension
• 7th year – Renewal etc.
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Guidance: Other regulatory activities and policies
Adverse test results
• Regulation 44 of the Regulations states that an adverse test result means the result of a test
carried out by an approved laboratory that indicates that hemp plant material, delivered or sent
to the laboratory as a sample, has a THC content above 0.35%.
• Affected plants means the hemp plants that are being, or have been, cultivated in the same
location as the sample to which the adverse test result relates; and are of the same cultivar or
variety as that sample.
• Regulation 44(2) of the Regulations states that not later than 5 days after a licence holder
receives an adverse test result, the licence holder must provide the Director-General with the
following information:
a) particulars of the adverse test result
b) the location of the affected plants and the name of the cultivar or variety of the affected
plants
c) the source of the seeds from which the affected plants were cultivated
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d) al relevant records in the cultivation register on the affected plants
e) the name and address of any person to whom affected plants or seeds from affected
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plants have been supplied.
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• Medsafe assesses each adverse test result on a case by case basis.
• For adverse test results greater than 0.5%, Medsafe general y gives the licence holder a notice
requiring the destruction of the affected plants and evidence of the destruction to be submitted
to Medsafe. The most common method of destruction is burning.
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Annual reports and registers
• Regulation 54(1) of the Regulations states that for every period of 12 months in which a licence
holder holds a licence, the licence holder must provide a report to the Director-General on the
authorised activities undertaken by the licence holder in that period.
• Al industrial hemp licences are issued with a standard licence condition which states that the
licensee wil send an annual report by 31 July each year in accordance with regulation 54 of the
Regulations.
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• Medsafe briefly reviews annual reports to determine the area and cultivar cultivated. If concerns
are identified, the annual reports are reviewed in more detail. The annual reports are also
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reviewed when assessing applications to extend or renew industrial hemp licences.
• The New Zealand Hemp Industry Association submits an annual OIA for data collected from the
annual reports, including the total area cultivated.
• The Guidelines for Industrial Hemp Licence Applicants states that the annual report should
include copies of the registers, details of any processing of hemp, and the progress of any
research and breeding programmes undertaken.
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• Licence holders must maintain a seed register, cultivation register and harvest register (see
regulations 49-52 of the Regulations).
• Regulation 53(1) of the Regulations states that every licence holder must provide to the Director-
General a copy of a register as soon as practicable after the Director-General requests a copy. In
the past, Medsafe has requested registers to assist with investigations.
• Medsafe has noted that the format of registers is highly variable, and that a standardised
template would be beneficial.
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Certified seed
• Discussion relating to certified industrial hemp seed was raised by industry representatives
during the Hemp Industry Liaison Group meeting (convened by the Ministry for Primary
Industries) on 11 July 2019, and a working group was established to explore how the suggested
approach could work.
• The industrial hemp licensing framework administered by Medsafe is specified in the Regulations
and does not contain reference to certified seeds.
• Although the proposal from industry representatives for certified seed could not be mandated
within the current licensing framework, a certified seed programme could be implemented by
the industry in paral el.
Cultivar approval
• Refer to:
• A3 - Application for Approval of a Cultivar of Industrial Hemp
• Approved Cultivars of Industrial Hemp: A list of links to the New Zealand Gazette.
• Regulation 5 of the Regulations states that:
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• For the purposes of the cultivation of industrial hemp under these regulations, the
Director-General may, by written determination, approve any cultivar of industrial hemp
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described in the determination.
• The Director-General may approve a cultivar on the Director-General’s initiative or on an
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application under regulation 6.
• If at any time the Director-General ceases to be satisfied that an approved cultivar is a
cultivar of industrial hemp, the Director-General must promptly, by written determination,
revoke the approval of that cultivar.
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• A determination under this section must be published in the Gazette.
• Regulation 6 of the Regulations states that:
• Any person may apply to the Director-General for approval of a cultivar of industrial
hemp.
• The application must be in a form provided by the Director-General and must contain the
following information:
a) the name of the cultivar for which approval is sought
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b) the pedigree of the cultivar, including the source of parent cultivars, the THC
content of those parent cultivars, and information about the history of their
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cultivation in New Zealand or overseas or both
c) the intended use of the cultivar, whether as oil, seed, or fibre
d) details of the history of at least 2 years of cultivation of the cultivar in New
Zealand
e) the crop characteristics of the cultivar
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f) the test results of the THC content of the cultivar for each of the years of
cultivation detailed under paragraph (d).
• It is acknowledged that Medsafe has limited expertise in botany, and the assessment of
applications for cultivar approval aligns closely with the Regulations.
• Medsafe must be satisfied that the application contains the required information, and that the
cultivar meets the definition of industrial hemp.
• Test results of the THC content of the cultivar for each of at least two years of cultivation detailed
within the application (i.e. two separate cultivation years) are required.
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• Medsafe expects the details of at least two years of cultivation in New Zealand to relate to
outdoor cultivation (to provide assurance that the cultivar will meet the definition of industrial
hemp when grown in New Zealand conditions).
• Approval of an industrial hemp cultivar pursuant to regulation 6 does not grant plant variety
rights under the Plant Variety Rights Act 1987. There is more information about Plant Variety
Rights on the New Zealand Intellectual Property Office website (see:
https://www.iponz.govt.nz/about-ip/pvr).
Hemp seed food products
• In November 2018, the Regulations were amended to al ow hemp seed as food. The only part of
the hemp plant that can be used for food is the seeds.
• Hemp seeds do not contain THC or CBD. Other parts of the hemp plant (e.g. leaves and flowers)
contain THC and CBD which could contaminate the seed if not processed correctly.
• Hulled hemp seeds are seeds with the outer coat or hull removed that are not able to germinate.
Activities which start with hulled non-viable hemp seeds do not require an industrial hemp
licence. Whole hemp seeds have their outer coat on. Any activity that involves whole hemp seeds
requires an industrial hemp licence.
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• There is information on hemp seed food products available on the MPI website (see:
https://www.mpi.govt.nz/agriculture/plant-products-requirements-and-pesticide-levels/hemp-
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seeds-as-food/).
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Industrial hemp as animal feed
• The Agricultural Compounds and Veterinary Medicine (ACVM) Team at MPI have advised
Medsafe that any animal feed containing hemp or hemp components requires registration under
the ACVM Act before it can be used as an animal feed. Based on this advice, Medsafe considers
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that feeding industrial hemp to animals would not comply with the ACVM Act 1997.
• For food producing animals, there are concerns regarding residues in meat and milk, and the
risks those residues may pose to domestic and export trade.
• There is more information about industrial hemp as animal feed on the Ministry for Primary
Industries website (see: https://www.mpi.govt.nz/dmsdocument/42472-ACVM-Alert-Notification-
20-001-Industrial-Hemp-as-Agricultural-Compounds).
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Industrial hemp root
• Refer to:
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• Industrial Hemp Roots
• s9(2)(h)
• In September 2018, Medsafe purchased hemp roots which were being sold online by an
industrial hemp licence holder. The roots were tested at ESR and found to contain THC and CBD.
Seed multiplication
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• In the past, Medsafe has received a smal number of applications for Industrial Hemp (Research
& Breeding) Licences proposing to undertake seed multiplication of non-approved cultivars. The
proposals related to commercial contracts where the applicant would receive seed from the
northern hemisphere to cultivate during the southern hemisphere’s growing season, and export
the harvested seed back to the northern hemisphere. These applications were declined because
the Regulations enable the cultivation of non-approved cultivars for research or breeding
purposes only. Seed multiplication for export is not considered a research or breeding activity.
Whilst it is appreciated that seed multiplication offers a commercial opportunity, it is Medsafe’s
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responsibility to administer the current legislative framework.
• Seed multiplication for export is permissible under a general licence (the cultivar would require
approval).
THC content
• The cannabis plant synthesizes and accumulates cannabinoids as acids (e.g. delta 9-
tetrahydrocannabinolic acid (THCA)). When the plant material is dried or heated, the acid
decarboxylates into the neutral form (e.g. delta 9-tetrahydrocannabinol (THC)). THCA is a
precursor of THC, and THC is the primary psychoactive component of cannabis. Therefore, the
combined THCA and THC levels are relevant in the context of industrial hemp testing.
• When the Regulations were first introduced, THC content was defined as ‘in relation to a hemp
plant, means the content of THC of the plant expressed as a percentage of the dry weight of the
plant’ and THC was defined as ‘tetrahydrocannabinol’. For the purposes of administering the
Regulations this has always meant the total THC content in the hemp plant, including THC and
THCA.
• In November 2018, when the Regulations were amended to al ow hemp seed as food, the
definition of THC was removed, and the definition of THC content was amended to ‘in relation to
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a hemp plant, means the content of delta 9-tetrahydrocannabinol and delta 9-
tetrahydrocannabinolic acid of the plant expressed as a percentage of the dry weight of the
plant’. The purpose for this change was to make the Regulations as consistent as possible with
the Food Standards Code to avoid confusion for the industry (Reference: Hemp Seed as Food –
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Analysis of Submissions & Government Response, New Zealand Food Safety, August 2018). The
amendment made the definition clearer.
• Fol owing several adverse test results, some parts of the industrial hemp industry questioned the
change in the definition. Some licence holders suspected that the testing process had changed,
leading to these adverse results.
• Medsafe has consistently applied the same approach both before and after the 2018
amendment. The clarification that THC includes THCA for the purposes of the Regulations only
reflected the way the Regulations had previously been interpreted.
• Medsafe understands that since 2006 the testing method used by ESR has included conversion of
THCA to THC. Therefore, ESR industrial hemp testing results have always effectively reported the
combined THCA and THC.
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• ESR was the only approved laboratory under the Regulations until March 2020 (when another lab
was granted approved status). On 2 June 2020, ESR stated:
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• The analysis of hemp at ESR utilises a gas chromatograph-flame ionisation detector (GC-
FID). This has a high temperature injection point which converts al the cannabinoids in
acid form to the cannabinoid form. Therefore delta 9-tetrahydrocannabinolic acid (THC-
A) is converted to delta 9-tetrahydrocannabinol (THC) upon analysis and the analysis
result effectively reports the combined THC-A and THC levels as the THC level.
• There have been no significant changes to the testing procedures that would material y
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affect the reliability of results.
THC testing
• Regulation 41(1) of the Regulations states that the Director-General may, by written direction to
a licence holder, direct the licence holder to take a specified number of samples of each cultivar
or variety of hemp growing in a location specified in the licence holder’s licence.
• Medsafe directs al licence holders, who are authorised to undertake the cultivation of industrial
hemp, to take appropriate samples of the hemp crop at a suitable time before harvest and send
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