According to a new report, Zimbabwe can raise US$19 million in tax revenue and create between 60,000 and 90,000 jobs over five years through the production of medical cannabis and industrial hemp.
Also, according to a New Frontier Data study entitled Hemp Cultivation in Africa. The recently published Zimbabwe 2019 Case Study, the country should benefit economically from regulated cannabis cultivation.
Although , Zimbabwe has a limited program to combat cannabis for medical purposes. The country is closely examining ways to create a more robust and comprehensive regulated system,” the report states.
Basically after the establishment and activation of a regulated cannabis market, taxes and employment would increase.”
New Frontier Data estimates that combined tax revenues from domestic and export sales over five years could reach nearly $19 million while creating between 60,000 and 90,000 jobs.
“The successful deployment of a regulated system will depend on many factors, including how to maximize economic and medical benefits for Zimbabweans without stifling the growth and development of the emerging industry,” he added.
“By drawing on the experience and expertise of other markets, Zimbabwe can avoid many of the implementation problems faced by other countries.
In fact, Cannabis has the potential to create jobs, reduce costs and provide opportunities for Zimbabweans for years to come. He added.
Last year, Zimbabwe became the second African country to legalize the production of cannabis for medical and scientific purposes. However , a few licenses are in place
” So, by establishing its program and expanding it to include industrial hemp and allow legal exports, Zimbabwe can reduce health care costs while generating an estimated $19.5 million in tax revenue,” adds the New Frontier Data report.
Moreover, the researchers affirm that the global market in Africa recorded $37.3 billion of the $344.4 billion global cannabis market in 2018. Which was a combination of the legal and illicit sectors.
“Zimbabwe’s population of 16.5 million people includes 1.1 million cannabis users per year, whose current market value estimation at $200.1 million,” the report adds.
Furthermore, in October, the Zimbabwe Industrial Hemp Trust planted 6 varieties of industrial cannabis, which became the first authorized hemp crop in the country.