The Gandaki provincial government in Nepal approved a medical cannabis farming legalization measure this week, with the bill taking effect on Monday. Aspiring medical cannabis farmers in Gandaki will first be required to gain official approval from the provincial authority before launching their cultivation operations.

“With the bill now in force, Gandaki Province has established a legal framework to regulate marijuana cultivation for medicinal and industrial use, with the stated aim of promoting its lawful utilisation, increasing farmers’ incomes and encouraging investment in medicinal and industrial processing.” reported The Kathmandu Post in its local coverage.

Roughly a month ago, the medical cannabis production bill received unanimous approval from the Gandaki Province Assembly. However, after the unanimous approval, the measure was forwarded to Province Chief Dilli Raj Bhatta, who returned the measure to the Assembly, citing concerns that some aspects of it may contradict Nepal’s federal laws. It was reportedly the first time in the province’s history that a province chief had returned a measure to the Assembly for its reconsideration.

The Gandaki Provincial Assembly then approved the measure for a second time, without amendments, and it was finally authenticated by Province Chief Bhatta this week. While the measure’s approval is historic, there is always the possibility that Nepal’s federal government could step in and prevent the measure from becoming fully implemented.

Cannabis farming is prohibited at the federal level in Nepal, and people caught possessing cannabis can be jailed for a month. Cannabis distribution is punishable by up to 10 years in prison, depending on the amount involved. During the Shivaratri festival in Nepal, one of the nation’s largest annual Hindu festivals, it is common for people to be seen consuming cannabis despite cannabis being illegal in Nepal since 1976.

In June, Rastriya Swatantra Party (RSP) MP Parasmani Gelal issued public comments calling for Nepal’s government to modernize its cannabis laws and regulations to permit cannabis industry activity to boost the country’s economy.

“Marijuana should not be seen only as a narcotic substance and intoxication. It can also be used as a raw material for medicine, clothing, paper, oil, bioplastics, and construction materials. Many countries around the world, including the USA, Canada, Australia, France, Germany, China, and India, are building economies worth billions through scientific and systematic management.” MP Gelal stated at the time.

Nepal’s economy is heavily dependent on the national agricultural sector, which is estimated to employ roughly two-thirds of the population and generate around one-third of Nepal’s GDP. Nepal’s nominal GDP ranks 99th globally among all world economies. The nation has a long and rich history with the cannabis plant, and it deserves to take its rightful place in the emerging international cannabis industry.