Israel gave approval on Wednesday for exports of medical cannabis, paving the way for sales abroad that may produce hundreds of millions of dollars in revenue.

Companies interested in exporting cannabis goods abroad will be required to apply for a licence from Israel’s health ministry once the order takes effect in 30 days.

“This is a significant step for exporters and the Israeli industry, which will enable both expansion of export opportunities as well as rising employment … in the field,” said Economy Minister Eli Cohen.

Cohen gave final approval for the exports more than a year after the cabinet backed a new law to permit them.

There are already more than 10 farms and five factories in Israel that meet health ministry standards, and some companies have reached agreements to sell cannabis to European countries or Canada once the licences become available, Reuters reported.

Within Israel, medical use of cannabis is permitted, and while recreational use remains illegal, it has been largely decriminalised.

The Economy Ministry says about 60,000 Israelis use medical cannabis, consuming 25 tonnes a year.

Export markets

Many European countries and US states permit medical use. In 2018, Canada became the first G7 country to legalise it for recreational use countrywide. [Read more at Middle East Eye]