This 3-component series by the Cannabis Fund explores the chance Hong Kong has to turn out to be a principal-players in the healthcare cannabis and hemp market in Asia. Aspect I appears at why Asia is a prime spot for the distribution of these merchandise, and how greatest to commence such initiatives.
Healthcare cannabis, its milder cousin CBD, and a plethora of environmental and influence hemp technologies are currently sweeping across Asia. Though nations like Thailand have taken the lead, the heavy-hitters are not far behind, with alter anticipated in China and India. The query for Hong Kong is irrespective of whether it will step up to the challenges and possibilities this will bring or if it will stay on the sidelines.
The chance is massive. Seasoned cannabis market insiders think Asia could be the world’s production and consumption hub with the possible to amass tens, if not hundreds of billions of dollars in income.
Just as with trade and finance, Hong Kong is the clear decision for some to turn out to be the centre for Asian ventures in healthcare cannabis and hemp, specially offered Singapore’s traditionally draconian attitude to the solution. Nevertheless Hong Kong can not afford to assume it will be the initial decision for market players. If it does not take the lead and proactively frame legislation and policies, it dangers getting left as income, jobs, and investments flow elsewhere.
Asia is tipped for the leading for far more than its massive population centres, its expanding affluence and the sheer size of its markets.
Very first, there is a organic match involving cannabis derived merchandise and customers. Conventional Asian medicine has lengthy made use of cannabis and cannabis derivatives each in Chinese and Ayurvedic traditions.
Right now, Asia leads the planet in innovation inside the essential cannabis development sectors of cosmetics, meals, beverage and vapes. Asia is also household to fanatical brand followings beloved of cannabis investors. This convergence of ancient usage, contemporary improvement and brand loyalty tends to make it a distinctive area.
Hemp possesses positive aspects and strengths as each a crop and as an industrial solution with genuine environmental bonafides. Expanding issues about the atmosphere all through Asia imply the plant can be positioned as the option to a quantity of issues. Projects variety from plastic replacement to giving a supply of green constructing components and textiles.
Sensible policy drives investment
These possible makes use of and markets for cannabis have a single issue in frequent. They rely on investment to fuel new projects, to introduce innovations to new markets, and to establish fresh begin-up ventures. Hong Kong have to develop the ideal situations to attract, retain, and develop these investments via a series of legislative and policy-led marketing and advertising initiatives.
Planting the flag
There are 3 essential themes to these initiatives. Firstly, Hong Kong have to position itself as a hub for healthcare cannabis & hemp, similarly to what Malta has begun to do in Europe. This is about encouraging providers, study projects and investments to domicile in the territory.
Very first, by getting proactive in promotion, producing the ideal situations, and cutting specific varieties of red tape, Hong Kong can show that it is the easiest spot to commence a begin-up in Asia and get a initial mover benefit.
Second, Hong Kong have to develop a trusted, safe atmosphere for customers and investors to take the lead in setting requirements. Cannabis is unfairly tainted by association to recreational drug use, and the only way to appropriate this perception is to concentrate on healthcare makes use of, security and good quality manage requirements. By demonstrating that merchandise and projects are getting rigorously monitored and regulated, Hong Kong can attract inflows of income, from purchases to capital investments.
Third, Hong Kong has the chance to create a network across Asia. As an alternative of an insular, protectionist attitude, there have to be an impetus to attain out to essential nations from India to Japan, and turn these initiatives into a thing that goes beyond Hong Kong. This calls for correct believed leadership, an open thoughts, and a willingness to share.
A initial appear at the hemp and cannabis planet can be bewildering, but even the most conservative legislator with tiny exposure to these markets can swiftly grasp that some nations have designed productive laws and regulations a lot of the really hard perform has currently been completed. There are organisations across the planet striving to impose order on this sector, and this is far more about deciding on greatest practises than producing them from scratch.
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Supply: https://harbourtimes.com/2019/11/23/can-hong-kong-turn out to be-asias-hub-for-healthcare-cannabis-and-hemp-component-i/