Are you wondering how to become a medicinal cannabis grower in Australia? To legally grow, manufacture, import, or export medicinal cannabis in Australia, individuals and businesses must obtain a licence and permit and operate under the oversight of the Office of Drug Control (ODC), the Therapeutic Goods Administration (TGA), and relevant state or territory authorities. Australia’s governance system (federal, state/territory, and local) means cannabis-related activities are regulated across multiple levels. Cannaspire’s Cannabis consultants support operators from application through daily operations.
Cultivating cannabis for medicinal purposes is strictly regulated under the Commonwealth Narcotic Drugs Act 1967. While some cannabis-related operations are permitted for medicinal and scientific purposes, they are only lawful when carried out under an approved licence and the required permits. Personal cultivation, even for medicinal reasons, remains illegal in most Australian jurisdictions.
This guide explains the legal steps to becoming a licensed medicinal cannabis grower in Australia, from licence types and regulatory oversight to fees and application procedures.
Australia legalized the cultivation of cannabis for medicinal and scientific use at the federal level on 24 February 2016. This was followed by the approval of low-THC hemp food products for human consumption in November 2017 by Food Standards Australia New Zealand (FSANZ).
On 25 September 2019, the Australian Capital Territory passed legislation that allowed adults to possess and grow small amounts of cannabis for personal use starting 31 January 2020. However, these changes conflict with federal law, which still prohibits recreational cannabis use and the supply of cannabis or its seeds.
Although advocacy continues, there are currently no confirmed federal plans to legalize recreational cannabis.
Australia’s legal cannabis industry was valued at USD 123.9 million in 2024 and is forecast to grow to USD 540.6 million by 2030, with an expected annual growth rate of 23.70%. The market is fueled by ongoing regulatory changes, government support, and expanding product lines. Hemp and CBD products dominate the industry, particularly in industrial and therapeutic applications.
The Office of Drug Control (ODC) determines the applicable fees for licence and permit applications, as well as related regulatory activities. The table below provides a breakdown of the fees and charges in effect from 1 July 2025 under the current Scheme.
Fee Type | Fee (AUD) |
New Licence Application | $13,830 |
Licence Variation – Type 1 | $610 |
Licence Variation – Type 2 | $1,550 |
Licence Variation – Type 3 | $2,270 |
Licence Variation – Type 4 | $12,610 |
Initial Cultivation and Production Permit | $12,380 |
Subsequent Cultivation and Production Permit | $9,480 |
Permit Variation – Type 1 | $645 |
Permit Variation – Type 2 | $1,730 |
Permit Variation – Type 3 | $5,370 |
Annual Licence Charge | $28,310 |
Inspection Type | Description | Fee (AUD) |
Application-Based Inspection | Conducted as part of licence, permit, or variation assessment | $9,560 |
Routine or Ongoing Inspection (Type 1) | Standard site inspection by an authorised inspector | $12,950 |
Verification Inspection (Type 2) | Inspection to confirm accuracy of submitted information | $4,920 |
You may apply for a licence to cultivate, produce, or manufacture cannabis for medicinal or scientific purposes. The licence allows you to:
Applications are accepted at any time, even after the site has been constructed or fitted out. Licences are not guaranteed, and approval is required before commencing any activities.
Before applying, ensure you understand the complete process and requirements.
You must submit comprehensive supporting documents, including:
Fit and Proper Person Assessment:
Site and Security Details:
You can request modifications to your licence by applying for a variation. The cost for variations ranges from $595 to $12,280, depending on the type and scope of changes.
This variation includes removing authorised persons, changing the licence holder’s name (same legal entity), or updating the names or descriptions of authorised persons.
Covers changes such as extending the licence period, modifying the approved security systems, or making other updates not covered under Types 1, 3, or 4.
Used for altering the site layout or floorplans, changing authorised activities, or adding authorised persons.
Applies when adding a new site to an existing licence.
Licences are assessed in three main phases:
A license alone does not authorize you to begin operations. You must also obtain the relevant permits. Activities can only begin once both the licence and permits are approved.
You may also apply to change:
Becoming a licensed medicinal cannabis grower in Australia involves navigating a detailed regulatory framework, securing both a licence and the necessary permits, and meeting strict site, security, and personnel requirements. The process is designed to ensure that cultivation and production are conducted safely, legally, and in alignment with national health standards.
Whether you’re a prospective applicant or an existing licence holder looking to expand or make changes, understanding the steps, associated costs, and compliance obligations is essential. By following the proper application procedures and maintaining ongoing regulatory compliance, you can contribute to Australia’s growing medicinal cannabis industry in a lawful and responsible way. A cannabis compliance consultant from Cannaspire can keep your SOPs and audits on track as you scale.
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