First, it is important to note the legal difference between cannabis, and hemp. The Cannabis Act provides an amended definition of cannabis, as:

“[T]he flowering or fruiting tops of a cannabis plant and includes products made therefrom, but excludes any seed, seedling, the stalk, leaves and branches without any fruit or flower, and the roots of a cannabis plant, including products made therefrom.”

Hemp, therefore, generally constitutes the seed, seedling, stalk, leaves and branches without any fruit or flower, and the roots of a cannabis plant. While cannabis and hemp are from the same plant, the difference lies in the chemical composition. Hemp contains less than 0,2% THC, while cannabis contains more than 0,2% THC. THC is the cannabinoid which causes the euphoria associated with cannabis.

Until recently, the legal position in South Africa was as follows:

• The use, possession, cultivation and consumption of cannabis and hemp for private purposes is legal.
• The private use, possession, cultivation and consumption of cannabis is also exempted by the Minister of Health in terms of Schedule 6 of the Medicines and Substances Act 101 of 1965 (MSA).
• Cultivation and commercial trade of medicinal cannabis is legal to those in possession of the relevant license issued by the South African Health Products Regulatory Authority (SAHPRA), under the provisions of section 22C(1)(b) of the MSA.
• The use of cannabis in a public space, as well as the distribution of cannabis for commercial and recreational purposes, is illegal and constitutes a criminal offence.
• The Plant Improvement Act 11 of 2018 further legalised the commercial cultivation, import and export of hemp with the relevant permits.

Our prior alert, linked above, highlighted that South Africa’s decision to expand its hemp cultivation laws within the agricultural industry is a significant step closer to harnessing the economic and environmental benefits of this versatile plant.

The cannabis master plan

The development also raised the hope that similar progressive measures would be taken regarding cannabis cultivation. In fact, in the 2025 State of the Nation Address on 6 February 2025 President Cyril Ramaphosa stated that “we want South Africa to be leading in the commercial production of hemp.” The next day, Government issued the following statement on its official website:

“The cannabis master plan aims to increase the quality and variety of cannabis being produced for local and international markets. We are moving to create the enabling conditions for the sector to grow.

The Department of Agriculture Land Reform and Rural Development and the Department of Health will address existing conditions for the cultivation of hemp and cannabis to allow outdoor cultivation and collection of harvests from traditional farmers.”

“Government will also be implementing changes to the policy and regulatory framework to drive investment and jobs in this sector”, concluded the statement.

The Department of Health’s ban on food products

Despite this, in a landmark regulatory shift, the Department of Health has imposed a sweeping ban on the production, sale and import of cannabis- and hemp-infused food products in South Africa. Published in the Government Gazette under the Foodstuffs, Cosmetics and Disinfectants Act 54 of 1972 (FCD Act), this regulation came into effect on 7 March 2025, and provides as follows (in Regulations 2 and 3):

“2 Prohibition of sale, importation and manufacture of foodstuffs containing any part of the plant or component derived from the genus cannabis sativa L, hemp, hemp seed oil or hemp seed flour

No one may sell, manufacture or import, processed or unprocessed, foodstuff containing:

            (a) any part of the plant or component from the genus Cannabis which include C. sativa,
                 C.indica and C.ruderalis; or

            (b) hemp seed oil or powder from any component derived from the genus Cannabis sativa L,
                 and various species or sub­species in the genus Cannabis sativa.

3 Offences and penalties

Any person who sells, imports or manufactures foodstuff containing the prohibited substances as contemplated in regulation 2 is guilty of an offence, and is liable on conviction to a fine or to imprisonment as prescribed in section 18 of the act.”

In other words, the regulation has criminalised the sale, importation and manufacture of any food or beverage containing ingredients derived from the cannabis sativa L plant, including hemp seeds, hemp seed oil, hemp seed flour and cannabis-infused drinks.

This regulatory shift has far-reaching consequences for South Africa’s agricultural sector, particularly for businesses involved in hemp cultivation, processing and food production. Companies specialising in hemp-based nutritional supplements, plant-based foods and seed oil production now face significant disruption, as their core product lines are no longer permissible in the local retail market.

The Department of Health said its primary objective was to protect consumers by ensuring that cannabis-infused foods meet safety and quality standards. This is apparently meant to be a temporary solution, as the department works on a “grand plan” to involve SAHPRA, ensuring stringent quality and safety measures. In highlighting the risk in the consumption of food or products containing cannabis, the Health Deputy Director-General, Dr Anban Pillay, referenced the case of the 90 learners who were hospitalised because they consumed cannabis (in muffins), stating that one has to appreciate the risk of consuming foods that contain high THC or CBD (which is also a cannabinoid found in the cannabis plant, but which generally causes calmness as opposed to euphoria) are significant for children.

Conclusion

Given the focus on the risk and public safety, it is interesting that the ban encompasses both cannabis and hemp, taking into consideration that hemp contains minimal levels of THC. Hemp-derived food and other products are generally considered safe for human consumption globally, as they have no psychoactive effects. While the risk with products such as cannabis edibles is understandable, the commercial production and sale of these products were in any event criminalised by the Cannabis Act. It is therefore the hemp industry which will be hardest hit by this new regulation. Farmers and businesses focused on hemp as a nutritional product will have to rethink their strategies.

On the other hand, the pharmaceutical industry seems to emerge as the primary beneficiary from the Minister of Health’s decision. Cannabis and hemp-derived substances will now be channelled into medicinal applications, particularly in treatments for cancer, Parkinson’s, Alzheimer’s, arthritis and other neurological conditions. South Africa accordingly remains a key player in the global medicinal cannabis market. SAHPRA oversees a regulated framework that permits the cultivation, manufacturing and export of medicinal cannabis to Europe, ensuring the country remains competitive in the rapidly expanding global cannabis economy.

With the ongoing changes in cannabis and hemp laws and regulations in South Africa, it will be fascinating to observe what developments unfold next. As the landscape continues to evolve, stakeholders will need to stay adaptable and informed to navigate the future of this emerging industry. The shifting legal environment presents both challenges and opportunities, and how policymakers, businesses and consumers respond will shape the industry’s outcome. It’s clear that South Africa is at a pivotal point, and the coming years will likely reveal new trends, innovations and potential hurdles that could redefine the market entirely.