The Australian Senate’s Rural and Regional Affairs and Transport References Committee recently opened submissions for an inquiry into opportunities for the development of Australia’s industrial hemp industry.
The inquiry is looking for feedback from stakeholders concerning the industry’s potential to contribute to:
- The nation’s farming systems
- Australian manufacturing
- The local construction industry
- The country’s economy
Submissions close on 12 September 2025, with the Committee to report on its findings on 30 July 2026. Further information is available here.
The Australian Hemp Council (AHC) has welcomed the inquiry.
“This would not have happened without the quiet but determined work of Tim Schmidt our former President, whose efforts over many years have helped bring national attention to the barriers and opportunities our industry faces,” said the Council. “Tim’s contribution to this milestone has been substantial, and on behalf of the Australian Hemp Council and wider industry, we extend our deep appreciation for the time and effort that went into giving us this opportunity.”
The AHC is encouraging growers, processors, researchers, and product innovators to submit their input.
“Together, let’s demonstrate that industrial hemp isn’t just an emerging industry, it’s a national opportunity ready to deliver.”
Industrial hemp can be grown in Australia under a state government issued licence, which permits the holder to grow hemp and/or produce fibre or seed and grain only. The industry has had its ups and downs, but appears on track for continued growth.
According to statistics published by the AHC last year, there had been a significant increase in fibre crop plantings from 3% of the crop in 20/21 to 48% of the crop in 2023/24. The Council observed a doubling of overall planted area in the previous 12 months to 3,200ha. This included 180% increase in fibre area; from 858 ha to 1,564 ha.
“With conservative estimates in yield and pricing, this places the fibre industry at a value of $5.4M and seed at $5M, thus a total of $10.4M exceeding Agrifutures projection by 2 years.”
AgriFutures Australia is one of 15 Research and Development Corporations (RDCs) servicing the Research, Development and Extension (RD&E) needs of Australian rural industries. The organisation’s 2022-2027 Strategic RD&E Plan aimed for industrial hemp gross value of production (GVP) exceeding $10 million annually by 2026.
