Israel: Ministry of Health has revealed that Cannabis Export Guidelines will be published next week

November 15, 2019

Ministry of Health plans to publish guidelines on cannabis export this Monday

• In a statement to the High Court, the Ministry said: "For the Ministry of Health, any business that meets the standard for local production and marketing - can market its products abroad"

• Exposure of regulations by the Ministry of Health still does not mean that Agreeing with all the parties involved in the matter and all barriers to export were removed, but at the very least it indicates that the discussion is progressing and not stuck

The Ministry of Health revealed in a reply to the High Court of Cannabis patients that the export of cannabis is approaching and that guidelines on the matter will be issued this Monday.

The decision to allow cannabis exports from Israel was made by the government in January, but so far it has not been clear when it will be implemented.

The Ministry of Health said: "For the Ministry of Health, any business that meets the standard for local production and marketing can also market the products abroad. In order to approve a specific batch, the Ministry will face inventory, variety, price and local availability, and no export will be possible. Proper supply of patients in the State of Israel will not be guaranteed. "

The document further states that "insofar as the Honorable Court does not otherwise order, the Ministry of Health intends to act to publish these regulations this Monday, November 18".

The document further states: "Insofar as it is found that any of the dealers do not fulfill the terms of their license, including the obligation to transfer cannabis or its products, as applicable, to the next link in the supply chain in quantity and at an appropriate price, the Ministry of Health will use all the tools at its disposal, including the revocation of the license. Or its limitation. "

The High Court of Cannabis was tabled by the Dana Brown Patient Association, claiming that cannabis reform disadvantages patients by making it more difficult to access products they have become accustomed to, and that has led to a steep rise in prices. The High Court has demanded from the Ministry of Health and Hickar, the medical cannabis unit in the office , Explain how to take care of the variety of products and prices.

Hanging the export with a proper supply of products to the domestic market, which has already hinted at in the past, is part of the firm's response to patient claims, but the wording of things and the statement that an orderly announcement will come out on Monday suggest that the time is coming to a close.

Cannabis companies in Israel have about 20 public companies and dozens of private companies. They compete in the country for only a few hundred million shekels a year. The value of the companies is in most cases derived from the export plans, and many of them also depend on exports to finance investments, which will enable them to operate competitively in Israel. Therefore, turning the export from a government decision into regulations allowing the actual launch is one of the dramatic events for this industry.

According to Attorney Hagit Weinstock of the Weinstock Zahavi office, one of the leading cannabis offices in Israel and especially in the interface between the country and abroad: "I believe that this is not a spin but a significant move in the right direction. "And then we got messages from the various government offices that we should wait a bit because something is going to happen."

Attorney Weinstock added, "In the past six foreign companies that I represent have announced their intention to reach an urgent country. I don't know how it came to them. For the past two weeks we have been witnessing something happening. Foreign investors who froze deals began to find out if the process could be started again. Meanwhile, the local market was also starting to move. For example, our client is a Togder company that has signed an agreement for tens of millions of shekels. We believe the local market will include 700,000 people. "

Weinstock also said that now the possibility of exporting to Germany, the main target country to which the eyes of the Israeli cannabis industry are referred, will also depend on German regulations. These require a very specific composition of the exported compound, which controls the level of many substances in the plant, and not only the two substances THC and CBD. Also, German regulation prefers enclosed greenhouses (indoors). In addition, only one cannabis plant, that of Panaxia, has been granted compliance with the proper conditions of production of the European Union, and it must be ascertained that this approval does also comply with the specific rules in Germany. Weinstock Zahavi said that she was accompanied by transactions of exports from other European countries to Germany, and the materials did not always meet the conditions. However, she notes, Germany's demand for products is large and the shortage is severe in Israel.