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Saturday, Nov 01, 2025

Australia Cuts 2025 Medicinal Cannabis Import Quota Amid Surge in Domestic Production

Import ceiling reduced from 101 tonnes to 88 tonnes as local growers ramp up output and permit over-forecasting triggers reform
Australia’s national import quota for medicinal cannabis in 2025 has been reduced from 101 tonnes to 88 tonnes by the International Narcotics Control Board, following data showing slower‐than‐expected usage of import permits and a sharp rise in domestic production.

The Office of Drug Control (ODC) revealed unused import credits and over-forecasting have constrained access for active importers, prompting the reduction.

Data published by the ODC show domestic production jumped from 26,593 kg in 2023 to 41,328 kg in 2024, while imports rose from 44,573 kg to 77,406 kg in the same period.

These figures suggest that previous quota forecasts may have overestimated future import-demand, with a reported application total of approximately 150 tonnes in 2025 but actual imports tracking far lower.

In response, the ODC has introduced a new policy requiring companies that import less than 75 per cent of their approved volumes in 2025 to receive reduced allocations in 2026. Importers who fail repeatedly may face further curbs.

The policy is intended to increase accuracy of forecasts and free up quota space for active market participants.

Separately, the Department of Agriculture, Fisheries and Forestry (DAFF) implemented a revised packaging rule in September 2025 allowing dried cannabis plant parts (excluding seed) to enter Australia in 10-gram packages without inspection.

The move is cited as a tailored biosecurity response to rising domestic production.

Industry actors describe the Australian medical-cannabis market as one of the fastest-expanding globally, with forecasts projecting compound annual growth of around 30 per cent through 2033. Domestic producers argue the import surge has placed them at a competitive disadvantage, and the quota adjustment is seen as part of a broader shift towards local supply chain strengthening.

The quota reduction, the forecast-reliability rules and the new packaging regime mark significant regulatory fine-tuning in Australia’s fledgling medical-cannabis sector.

The actions reflect Canberra’s effort to balance import access with domestic industry growth, and to maintain the integrity of its obligations under global narcotics control conventions.
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