Wednesday, 15 May 2024

Bills

Hemp Industry Bill 2024

Second reading

Debate resumed on motion of Rachel Payne:

That the bill be now read a second time.

Sheena WATT (Northern Metropolitan) (11:00): I rise to speak on the Hemp Industry Bill 2024, which has been brought before us by the Legalise Cannabis Party. I recall the second-reading speech last sitting week by Ms Payne, and I do certainly want to begin by paying my acknowledgements to Ms Payne and her colleague here Mr Ettershank for the work that they have done to bring this bill before us today. I acknowledge their broader advocacy, which has been truly to promote hemp products but also drive economic benefit, really, in our state.

My colleagues on the Economy and Infrastructure Committee certainly examined this in great detail last year with the inquiry into the industrial hemp industry in Victoria. My thanks to the members of that committee for the work that they did. I certainly managed to pick up a copy of the final report of the Economy and Infrastructure Committee inquiry into the industrial hemp industry in Victoria. What I do note, interestingly, is that we are still awaiting a government response to that inquiry, and with that in mind I think it does certainly lend itself to some very interesting reading for the various ministers and others to consider. For me, I think I would rather wait until we hear from the government in their final response to the inquiry, and some elements of this bill really do anticipate, I believe, the government’s response to the inquiry.

I noted with great interest, having read over that a little while ago – I think it was late last year when I got my hands on it – that the committee investigated various aspects of the Victorian industrial hemp industry, including current issues, some of the barriers that exist in Victoria, some of the opportunities, environmental impacts, which I understand were entirely positive, and how hemp and the growth of the industrial hemp industry can aid in our efforts here in Victoria to reduce our emissions. Of course, as a state with some very firm emissions targets, that was pleasing reading. Importantly, the report lays out proposals for a potential hemp industry plan for our state, and I am particularly keen to see how some of those ideas laid out in the inquiry report will be considered before we act on the bill before us. I know that the government recognises the increasing interest in the industrial hemp sector. There are many promising prospects for local businesses, and of course there is the creation of jobs. I note with great interest that a great number of those jobs would be in regional Victoria. More details with respect to that, I understand, will come from government in due course. It does I think open our eyes a little, having this bill before us and the inquiry, to the enormous opportunities of the hemp industry.

I had the opportunity yesterday to pop in with a number of colleagues and interested folk from our media and others to the hemp industry showcase. I have to say it was a little eye-opening for me. I did not know the depth of the hemp industry and the opportunities for it, particularly when it comes to building materials and building and construction – that was especially enlightening, I have got to say. I had thought about it more in terms of rope and clothing and beauty products and other lines, so for me to understand that there is enormous opportunity for the building industry, particularly with respect to fire safety, as well as, interestingly, given that we have just had a short-form documents motion on the defence industry, in fact some defence opportunities that are being currently explored by the government. For me that was certainly a very eye-opening session, so can I just pass my thanks to the industry personnel who were able to come along and share those opportunities with us. Thanks for sticking around and for your patience. What I understand from my conversations there with various folks is that there are some challenges. There are some barriers, and some that were highlighted to me by the folks at the stand were particularly around integration with the building codes and why it is that there are some additional barriers for the implementation of hemp products into mainstream building products.

The other point that was raised to me was about some testing that needs to take place, particularly with respect to, I think, fire safety and others. Some of the initial tests that I have seen demonstrated on a video were incredibly, incredibly positive, and I think as we become more and more exposed to more frequent extreme weather events in our state as a result of climate change I am reminded that perhaps there are solutions not too far from here.

I want to just go to the fact that what we have before us is a standalone act for the hemp industry, and what I understand is that it does offer really minimal advantages when it comes to its place as a standalone act versus the existing regulatory framework. I understand the folks from Agriculture Victoria have a view on this, so I thank them for the work that they have done. But certainly it is viewed as comparable to standalone acts in other states, the work that we are doing here to promote the hemp industry. Indeed only Victoria and Queensland lack standalone acts, and I thought that that was particularly worth noting. But the overall regulatory regime generally matches that of the other jurisdictions, and there is a view that there are no significant implications when compared to the other states that do indeed have standalone acts.

In the absence, really, of what is a government response to the inquiry, there are of course things that still need to be considered as risks associated with creating a standalone act. Particularly I am thinking about stakeholder interest and expectations there, and that is something we will certainly need to consider in the time ahead. But the truth is that this is a growing industry. Whilst it might be small right now, with the opportunities that I saw yesterday across clothing, manufacturing, defence, beauty and, interestingly, building and construction I think we will, if given the right measures of support, see this industry grow.

I know that work has already taken place to grow the hemp industry in our state. I think I have perhaps spoken about this before in a previous point brought before the Parliament, but I want to go over the investment that we have made as part of the AgriFutures Australia emerging industries program, which does recognise industrial hemp as a high-growth sector due to its versatile applications – anyone that went upstairs yesterday will be able to tell you that that is very much the truth – and its strong suitability as a sustainable crop. As such, the program supports research and development and has invested in a series of trials with a focus on improving hemp varieties, production methods and sustainability.

There is of course the hemp variety trials program, which is about industrial hemp varieties, and in that what we have seen is that there are some identified priorities under the Australian industrial hemp strategic plan that assess various varieties across the different regions. We know that the diversity of Australia’s agricultural growing regions is incredibly vast, and with that comes enormous opportunity. As part of the work a trial has been identified for further investment here in our state, particularly in Hamilton, Victoria. One of these national trials has really highlighted that there are agreed varieties of the crop that we could be continuing to examine. The second year of the trial there in Hamilton resulted in a more consistent yield across the varieties, with a third year expected to provide Agriculture Victoria with some much more robust datasets as we continue this work.

The Australian carbon credit unit scheme is overseen by the Commonwealth government, but it is worth noting here it does manage the creation of new credit-generating activities within the framework, as I have just spoken about. It was good to see that there is really a connection between the opportunities for the growth of the hemp industry and of course our response to climate change. We are a state that does pride itself on taking action on climate, with some very, very ambitious emissions reduction goals of 75 to 80 per cent by 2035, and of course we are seeking to hit net zero emissions by 2045, which will be here before we know it. Of course we have advocated for the advancement of methods that effectively acknowledge the existing emissions reduction efforts and encourage the development of innovative strategies and industries that can robustly support our emissions targets. It may well be that crops of industrial hemp play a role in our climate action endeavours, but importantly I think it is worth us considering a pause while we wait for the government to consider what is a very substantial report into industrial hemp.

There are some more stats and facts and figures that come to mind, but I think the showcase yesterday did truly highlight to me that opportunities abound for the progress of the hemp industry here in our state. One of the facts that came to me from one of the exhibitors – and I did take his name down; I believe it was David – is that any form of the crops that are particularly being used or permitted in the industrial hemp environment contains no more than 1 per cent THC, and time and time again the crop results are showing that they are in fact keeping within those guidelines. So a big thankyou for the efforts of folks that are trying their very best to grow in what is an emerging industry. I certainly applaud them for that.

I can assure the house before us that the current regulations are in fact policed by Agriculture Victoria inspectors. They are all about our state. They inspect right from the seeds used for the sowing through to cultivation, harvesting and processing. No licences used by Agriculture Victoria – let me just reinforce this point – can authorise the processing of leaves and the flowering heads. That is really where the cannabinoids – I do not know how to pronounce that; I might need help from my colleagues to my right – are found. I know also that one of the concerns that does come up and was raised by some folks at the showcase yesterday is around perception of engagement with criminal outfits, and of course crime prevention is facilitated certainly through Agriculture Victoria. The very firm view of those industry folks is that they are very keen to see this thrive and grow as an industry in its own right, and their very strong message is that licences are not granted to individuals with a history of serious offences or deemed unsuitable for crop-related activities. The folks that I speak to are engineers, they are architects, they are researchers and they are scientists. They are very much committed to this advancement of the industry. Thank you for making that clear to me but also to all the exhibitors that came along.

Can I leave us with the fact that Victoria’s current regulatory regime keeps us safe and gives some clear guidance to our stakeholders in this emerging industrial hemp industry and its enterprises that there is a way forward. There have been investments, there are trials, there is testing and there are inspectors. I just want to assure people that we are doing what we can in the meantime while we wait for the government’s response to the Economy and Infrastructure Committee’s report on the inquiry into industrial hemp in Victoria. I thank Ms Payne and Mr Ettershank again for bringing this before us and opening certainly my eyes to the enormous opportunities of industrial hemp.

Georgie CROZIER (Southern Metropolitan) (11:16): I rise to speak to the private members bill that Ms Payne has brought to the house, the Hemp Industry Bill 2024. This bill re-enacts, with amendments, the law relating to the cultivation and processing of industrial hemp for certain authorised purposes, as has been outlined in the second-reading speech around what is currently facing the industry. We have just heard from Ms Watt also, who spoke of some of the uses of industrial hemp. Industrial hemp has a low tetrahydrocannabinol level, and it has a wide range of applications. It is actually used in various things – for paper, rope, stockfeed, building materials and pet food. There are a wide range of applications that industrial hemp can be used for.

Last year the Legislative Council Economy and Infrastructure Committee tabled their report in November. It outlined what the committee was doing, the terms of reference, and made a number of recommendations in relation to them. One of the recommendations was to streamline existing licensing requirements:

Areas for improvement should include reducing the administrative burden on the sector where possible …

Really this is what this bill goes to, in terms of streamlining and taking away those barriers. The committee found that there were significant barriers, and I would also say that that is not new. The barriers to hemp growing in this state are something that have been around for a long time.

In 1997 the then Minister for Agriculture and Resources, the Honourable Pat McNamara, introduced the Drugs, Poisons and Controlled Substances (Amendment) Bill 1997, looking at THC and hemp utilisation – exactly what we are discussing today, if you can believe it. I read from his second-reading speech:

In July 1995 the government approved a three-year field research program, at up to 10 field sites, to test low-THC hemp – cannabis – varieties containing less than 0.35 per cent of the psychoactive component THC …

There were a number of bodies that were involved. He goes on to speak about the syndicates that were looking at that, and it was not only farmers but also research bodies and others with a commercial interest. They were looking at, really, those field trials and how they were going – at the time they were promising – and also made the point that further research was required. That was back in 1997; now we are in 2024. There was quite a lot of movement from the Liberals and Nationals at that point in time, and I think that has to be said. Labor have been in power in this state for –

Melina Bath: Too long.

Georgie CROZIER: way too long, Ms Bath, you are quite right – 21 of the last 25 years.

We have got this issue that you have brought to the house today, Ms Payne, which really just goes to those points: to create a standalone act to deal with industrial hemp; to amend the Drugs, Poisons and Controlled Substances Act 1981 to repeal part IVA, authorities for low-THC cannabis; and to retain existing provisions dealing with authorities for industrial hemp, applications, conditions, renewals, suspensions, cancellations of authorities, protected information, and VCAT review, inspection and enforcement. It also increases the maximum hemp licence term from three to five years. I note that the inquiry also looked into that.

As we have talked about, this is for the agricultural industry. We will gladly look at this, and I think that there has been general support within agriculture to look at this under those applications that I have spoken about. Even the report that I referred to on the industrial hemp industry in Victoria that the Economy and Infrastructure Committee did talks about applications. The committee heard that industrial hemp could play an important role in the future of Victoria’s regional economy. They make a point about the timber industry, which has been absolutely decimated. I know Ms Bath is well aware of this, because she has been fighting that and has represented her constituents exceptionally well in this place talking about those issues. That industry has been wiped out.

This is a really important component of rebuilding our agricultural industry. As somebody who has come from that industry myself, growing up in far western Victoria, I know the huge amounts of extraordinary work that the agriculture industry does, what it does for the economy of the state, how it is exceptionally important for our rural and regional areas and how it really makes for a thriving Victoria as part of our overall economy. I think for far too long many members of the government have not actually appreciated the importance of the agricultural industry.

Melina Bath interjected.

Georgie CROZIER: There are so many applications – food and fibre – and look at what is happening. We have got some real challenges in that space.

To get back to this bill, it is one where we obviously want to support the agriculture industry. We think this bill does that. Labor quite frankly have an appalling track record on supporting agriculture. We saw in this year’s budget a 30 per cent cut over the last two years, and there are other programs that have been cut. That has not been lost amongst those in the industry who are working so hard to make their living and for their businesses to survive and thrive.

In relation to this bill, I want to place on record again that this is something that has been on the books for a long, long time. I note the member said that the government was looking at this. Given the report that I referred to, they should get a wriggle on. They have had many, many years to get on with it and reduce those barriers and ensure that for this part of hemp that we are talking about – industrial hemp – those barriers go and we can have a thriving industry in this state because, God, we need all the help we can get at the moment with the rising debt and an increasing burden on future taxpayers to pay down Labor’s appalling record in that regard.

David LIMBRICK (South-Eastern Metropolitan) (11:24): I also rise to speak on the Hemp Industry Bill 2024 brought forward by Ms Payne. This bill seeks to create a new, separate act and pull the controls of hemp out of the Drugs, Poisons and Controlled Substances Act 1981. I would say from the outset that the Libertarian Party will be supporting this bill, although – and I am sure Ms Payne would agree with me on this – I feel that it is totally unnecessary to do this. The reason that it has been necessary for this bill to come before this house is because of cannabis prohibition.

It is worth looking at some of the history of hemp in Australia. In fact the first time hemp seeds were brought into Australia was actually on the First Fleet. Sir Joseph Banks had high hopes – ‘high’ hopes – that there would be a great industry in Australia and that Australia might be suitable for hemp production. They considered it a valuable crop even back then for many, many things, such as paper and rope. I also went to the display yesterday to have a talk to some of these people that are looking at developing products around hemp, and we know that we can also use it for construction materials and foodstuffs and many, many other things.

In I think 1925 we had a convention on banning a whole bunch of drugs, including cannabis. In fact it is thought that in the 19th century in Australia cannabis consumption was quite widespread – at the time when this place was built – and there were no restrictions at all on cannabis. In fact anyone could just grow it, and the same with hemp. It is a shame that Australia went down the erroneous path of prohibiting cannabis, with the unintended consequence of retarding and destroying, effectively, the hemp industry for a very long time. So now we are playing catch-up. We are trying to look at product development and research on what sorts of things hemp could be useful for, including even more advanced uses such as plastics, and I note that many countries now use things like hemp seeds for foodstuffs, food supplements and things like this. There are many, many opportunities that have been lost, and we have to catch up on them. One way to do that is to make it easier for people to grow, process, use, do research into hemp et cetera.

My view and indeed my party’s view on this is that cannabis and hemp should have far less regulation. In fact my view on cannabis is that the regulations should be that you should not sell it to children and the regulations for hemp should be similar to those for rosemary or parsley – there should be very little regulation whatsoever. It should be the freest market that we can provide to enable farmers and factories and researchers to do whatever they want with hemp – to produce new products and develop new products and make money, and even export products – for Australia and for Victoria. But thus far it has been very hard. You have to go through all these licensing and testing provisions; you have to go through all these hoops and hurdles that just make it so hard.

I do note that there are many potential applications for hemp – to replace either construction materials or other fibre crops – which seem very appealing, but we are not going to know for a fact whether that is economic or not until we allow it to compete in the free market and let that decide whether or not that is actually an economic thing. But certainly some of the research and development that has been happening is very, very promising. Indeed I was quite impressed yesterday by the construction materials for roofing, flooring, walls and insulation – all hemp. Is this going to replace pink batts? Is it going to replace galvanised iron on roofs and stuff? Well, let us let the market decide on that. I think that there are many potential opportunities. If these people that want to develop these products want to invest in them and want to try and sell them to consumers, then by all means let them do so.

I would note that there is another related issue here. Because of, again, over-regulation of the construction industry, one thing that was relayed to me yesterday, which I am very sympathetic to, is that there are very strict rules around construction materials. It would be I think in the government’s and the economy’s and Victorians’ best interest if we streamlined that for innovators. One of the problems with regulation is you set in stone the current state of things and you make it very hard for innovation and new products to enter the market, and I think that is the problem these researchers and developers are facing at the moment with construction materials, because roofing products, for example, are all based around conventional materials, such as ceramics and metals, not around hemp, and therefore they have to go through this great big process to prove that you can actually make a roof out of hemp that is suitable. I acknowledge that there need to be some standards on these sorts of things, but nevertheless they could make it a lot easier for these people to get those tests over the line and get them approved so that people can start building houses, if they choose to do so, out of these materials.

I welcome this development. Regardless of whether or not this bill passes, I urge the government to do whatever it can to get out of the way of people that want to grow, develop and consume hemp and let this industry flourish.

Sonja TERPSTRA (North-Eastern Metropolitan) (11:30): I rise to make a contribution on this bill that has been brought by the Legalise Cannabis Party. I just want to note that the government thanks Ms Payne for her work on this private members bill and of course her broader advocacy in regard to hemp products. What I will say is that I think our view is that the bill that has been brought before the Parliament today pre-empts the government’s response to the inquiry into the industrial hemp industry in Victoria. That inquiry was conducted by a committee of the Parliament to look at the issues, barriers and opportunities within the current Victorian industrial hemp industry. I have had the benefit of hearing Mr Limbrick’s contribution as well. I note that the hemp industry were in here yesterday and members had the opportunity to go upstairs and have a look at the many varied products that are available from that sector. There is a varied range of things that are available, whether from clothing to construction to food and the like. There is a varied product range that people might want to avail themselves of.

Just going back to the committee inquiry for a moment, the committee, as I said, looked into the barriers and opportunities within the current Victorian industrial hemp industry, comparing the industry to other jurisdictions and looking at constraints to expanding the industry in Victoria; some of the environmental benefits and costs of an expanded industry – how industrial hemp can best be utilised and the like and how, for example, that also might assist in meeting our emissions reduction targets; and how the government could potentially support the development of that sector or industry and how that might assist the Victorian economy as well. The government wants to acknowledge that there is a growing interest in the Victorian hemp industry and that does represent a growing set of opportunities for local businesses, and the government will no doubt have more to say in regard to that.

As I said, there is a varied number of hemp products. I was just reading through some of the notes – I will get back to the issue about the bill in a moment – but certainly just in regard to hemp seed as food, I find that interesting because I know there is a growing area of interest in the health sector around different foods and seeds and how they can actually assist people. When you talk about health food as a particular area, it has got an interesting background. I think that many, many years ago people used to assume that ‘hemp’ meant marijuana and that was what you were consuming necessarily. There are a whole bunch of different things around it, and I think as time has progressed there has been a growing understanding and development of different products in that area.

In April 2017, following consideration by the Australia and New Zealand ministerial forum on food regulation, the Australian New Zealand Food Standards Code was amended to permit low-THC hemp hulled seeds to be sold or used as an ingredient in food. That was not that long ago – it was 2017 – so here we are. The changes to the Food Standards Code then started on 12 November 2017. Of course, after that decision was made, you still needed a licence in Victoria to cultivate or process industrial hemp and seeds which were deemed as non-therapeutic, or not for medicinal purposes – obviously seeds for consumption as food. Licences for industrial hemp are issued by Agriculture Victoria. To apply for a licence applicants are still required to provide a national criminal history check for themselves and their associates, a credit report, a business and research plan and information about the proposed growing site as part of the application process, and site assessments are also generally required. So there is a high degree of regulation and scrutiny around the production of industrial hemp seeds for non-therapeutic use. I note that Mr Limbrick’s contribution was all about that we need to have no regulation or very little, but there are very good reasons for these things. Again, it is still important to have a degree of regulation around this sort of sector and also to make sure that there is sustainable development of an industry. It is important that there is still some rigour and checks around these sorts of things.

Non-therapeutic uses of industrial hemp also include things like fibre, cosmetics and – as I have been talking about – food. As Mr Limbrick commented about, with the display that was in here this week, hemp is also used for construction. There was some discussion around hemp being a very strong fibre and being used for walls as it is quite strong and resistant to damage or breakage from blunt force and things of the like. It is always good to see other products coming on the market. They say there is a usage, but I am not sure what the uptake of that is. Certainly in regard to cosmetics, similarly, I am not sure what the uptake is, and also in regard to food. We have talked about hemp seeds and the like and there are other sorts of oils and whatnot that can be utilised.

Again, there is a strong framework around wanting to prevent criminal activity in regard to the cultivation and processing of low-THC cannabis. Agriculture Victoria will not issue an authority to grow low-THC cannabis if, for example – and there is a range of things around what would preclude somebody from being successfully considered for a licence; obviously if anybody has committed a crime, and they are quite serious offences – someone has been found guilty, or an applicant or an associate, within the last 10 years of a serious offence. Serious offences mean indictable offences involving dishonesty, fraud or assault, an offence under the Drugs, Poisons and Controlled Substances Act 1981 or any offence with a penalty of imprisonment of more than one year et cetera. Again, it is serious crime; it is not misdemeanour-type things. Obviously the government wants to ensure that any criminal elements are not permitted to make some kind of industry or living that might be considered criminal. It is important to continue to ensure that there are rigorous standards enforced in that sector.

I just return to the merits of a standalone act. The government’s position on this is that a standalone act is likely to deliver only minimal benefits other than the current regulatory framework, and I have touched on some of the aspects around the regulatory framework, particularly, as I have just mentioned, in regard to food. Agriculture Victoria’s advice is that their position is that they consider that the current regulatory framework is operating well and that Victoria and Queensland are the only states without a standalone act but there are no other substantive implications compared to other jurisdictions and there would be risks associated with managing stakeholders in regard to that standalone act. I think the view of the government is that the industry is small but the expectation is that there would still be strong stakeholder interest, given the recent inquiry and the advocacy around a range of potential amendments.

If I reflect on the government’s last term in Parliament – or it might have even been the term before that – I know there was a substantial amount of work being done in a range of areas. I know Ms Patten from the Reason Party, who was in this Parliament last term, certainly strongly advocated for issues around medicinal cannabis. It is not the first time that I have said in this Parliament that I myself have had medicinal cannabis prescribed to me for back pain. It is something that I have had to use quite scarcely and sparsely, but it is a product that works. I note that the current thinking is it can be different in its application for different people, but that does not mean to say that it does not have some usefulness – of course it does.

Just turning back to what is happening in regard to the government’s investment in that hemp industry, as I said, government obviously had to help assist the development of that product to come to market, so there were a range of things that our government did to help that product be developed. But a nationally coordinated industrial hemp variety trials program is also covering the current and future major production environments, which was identified as a key priority in the Australian Industrial Hemp Strategic RD&E Plan, which was a plan that was to span from 2022 to 2027. It is part of the AgriFutures Australia emerging industries program, and it is supporting the expansion of the Australian industry through a $2.5 million program to support research focusing on improved hemp seeds and varieties, production methods, industrial sustainability and the development of hemp-based products. That investment has happened at a national level, and the three-year industrial hemp variety trials program is to go into its second year, providing valuable information to Australian hemp growers to assess different hemp seeds and dual-purpose varieties suitable for different regions across the country. There you go. You learn something new every day in this job, don’t you – lots of things that you did not know happened. But it is important to make sure that any trial program that is being supported at a national level can be done in such a way that it can assist industry to grow.

Importantly, trial sites have been established in nine locations across Australia. That includes the Northern Territory; South Australia, where there are two sites; Tasmania; Victoria; Western Australia, where there are two sites; New South Wales; and Queensland. In 2022–23 the trial at Hamilton included two times of sowing: one was on 9 November and the second one was on 20 December. Getting right down into the weeds – pardon the pun – the grain yield of 10 varieties trialled ranged from 1.7 to 2.66 tetrahydrocannabinolic acid, with Fedora 17 the most consistent yielding variety over both sowing times, yielding an average of 2.5 THCA. There you go. It just goes to show that some varieties will have a better yield than others, and it is important to understand why and how that is. Again, getting right down into the weeds about different crops and different varieties, there are lots of things that are emerging from those trials that we can learn from and better understand. The results presented in the report under the trial conditions are indicative of the region; however, another year’s data is required to provide a more robust dataset. Again, we are still learning and watching what is happening out of that trial to determine what the next steps might be.

In regard to current cultivation in Victoria, low-THC cannabis cultivars are of the genus cannabis L, which has very low levels of tetrahydrocannabinol, otherwise known as THC. Under the Drugs, Poisons and Controlled Substances Act low-THC cannabis means that the leaves, flowers and heads do not contain more than 1.0 per cent of the psychoactive chemical compound THC. Again, this is the psychoactive one, and I note that with the cannabis oil, the one that I was prescribed definitely had the THC in it. Some do not; some do. That is something that depends on what you are experiencing, and for the pain that I was experiencing the medical practitioner determined that I should have that one. It was effective for me in regard to pain, but I noticed that it was something that I did not need to take on a regular basis. It seemed to break that nexus, so that was quite useful for me.

In any event, I note that the clock is going to beat me. There is much more that I could say on this, and I know other people in the chamber will also want to make their contribution in regard to this. But still there is a lot more information that we will see come out of these trials. It is something that I know the sector is continuing to grow and develop. We are seeing lots of different uses for industrial hemp, and I will continue to watch with interest in regard to the progress of this sector.

Melina BATH (Eastern Victoria) (11:45): I am pleased to rise to speak on the Hemp Industry Bill 2024 and in doing so state that the Nationals certainly do not have an opposition to this bill. In fact it was the National Party and indeed the Honourable Patrick McNamara almost 30 years ago who instigated reform in the agricultural use of hemp. This bill re-enacts the amendments and the law relating to the cultivation and processing of industrial hemp for certain specified purposes. We have heard from others in this debate and indeed from the cannabis party, aptly named for this particular bill, that it is using low tetrahydrocannabinol, so low THC, for non-medicinal use. I think that is something that I hope this house can get on board with.

A few years ago, when I first came in, in 2015, the portfolio of agriculture had been handballed between Labor members. I am not sure why, but it is a portfolio that I know the Nationals would love to grab and hold on to. At the time I participated in and very much enjoyed attending a number of agricultural seminars, and the Honourable Jaala Pulford was the minister for ag. At one or more of those forums there was a gentleman by the name of Charles Kovess. He met me then and espoused the virtues of hemp in a variety of forms, and that was nine years ago. He met me again at Lardner field day, Farm World field day, where the Nationals have had a tent, a stall, for nine years. Indeed Charles came over and said hello wearing his hemp hat, again espousing the virtues of it.

I am certainly interested from an agricultural point of view in the importance of growing hemp in a variety of applications. We know that across Australia 2500 hectares are being used, with about 500 licensees holding that in the past two years. But in Victoria you are only looking at under 200 hectares and certainly that trial crop in Hamilton that we have heard about today. So we need to expand by reducing this regulatory burden on this low THC. I heard a very real comment that I was going to use about how it came out with Joseph Banks centuries ago.

There are some interesting applications I think we should all have the opportunity to think about and maybe use. I know that there is hemp underwear – I am aware of that. I think one of my local health food shops may be able to import it, but what about manufacturing that in Victoria? Hemp fibre can be used as a natural mulch, so I guess that is a lower grade emphasis, but we need to keep moisture in our soil and also regulate the temperature of soil for better production. It can be used in mat form for soil erosion, and again we need to be stabilising those slopes where we have got some undulation in the topography. It can be used in that. It can be used in composting and for aeration and nutrient content, to enrich our soil. Again I am sure most of the people in this place have got their compost bins and are aerating them – well, they are probably not aerating them as we speak, but they have them in their home backyards. Animal bedding, again for livestock, is important, and plant support. It has got that fibrous nature. It grows very quickly, and it can be used for climbing plants. Isn’t it appropriate that you have got plants helping other plants to grow? It can be used in paper production and hemp-pulp biodegradable packaging – and I will speak to that in a minute – soil amendments and also animal feeds. Its lightweight nature certainly lends itself – and I know others have far more experience in this than me – to building products and also to helping keep and regulate temperature. Those fire-resistant properties lend themselves to the building industry. It is versatile; I think that is one of the major comments that I would make. Hemp can also be used in textiles, paper, building, abrasive chemicals, oils, inks and cosmetics.

We see from the upper house committee report – I think it was the Economy and Infrastructure Committee – that they investigated this in depth. I am not on that committee, but I am quoting the report:

The Committee heard that industrial hemp could play an important role in the future of Victoria’s regional economy. Although the regional economy is mostly strong, there are areas facing tough challenges, such as the timber industry and parts of agriculture looking to transition to new crops.

As my colleague Georgie Crozier has said, I think that the closure of the native timber industry is one of the biggest policy blights on this government or even any government. We talk about food and fibre, and we see that the Latrobe Valley Authority it is about to lose its cap and merge, in effect, with RDV, Regional Development Victoria. If we go onto their website, they talk about food and fibre. Well, in terms of fibre from a renewable resource, like hemp, native timber is a renewable resource, just in a different form: hardwood timber. I find this is an abomination of this government. Indeed if you go to the Intergovernmental Panel on Climate Change 2019 fourth report, in terms of fibre, which is what this is about, a sustainable yield from a well-managed hardwood plantation or hardwood forestry is the best outcome and mitigates climate change. So the government can throw their hands up at one industry, and indeed in effect they are going to say they will bring this back in a better form. Well, they will probably just put an extra full stop and then bring back this private members bill that we have seen today.

Just talking a little bit about what happened previously, back in July 1995 the then Liberal and Nationals government – that was the Kennett and McNamara government – approved a three-year industrial hemp field research trial, and very worthy it was. It amended the Drugs, Poisons and Controlled Substances Act 1981 to remove legislative barriers and encourage the expansion of this new fibre. If we go back to 2015, when the then ag minister was standing in agricultural expos and forums, you have to ask, if the government nine years ago said it was a good idea, why hasn’t the government taken it up until now? Why is it only now looking at it? I just feel that the government has been very tardy at enabling agriculture and the fibre industry.

We know that this Labor government has had an appalling track record on the agricultural sector. We know that in the past two years it has cut $190 million out of the agricultural budget – 30 per cent has been cut in the past two years. The wild dog management program, the wild dog bounty, has been cut, and of course we also know that roads have been cut. To get fibre, whether it be from industrial hemp or any other sort of fibre, you need roads, and this government is cutting roads and putting productivity and also human life at risk. During the bill briefing – thank you very much for that bill briefing – it was made clear that only seeds of low-THC hemp would be provided through a regulated mechanism and would be allowed to be grown, and of course then in that situation there needs to be rigour around the testing and licensing arrangements.

As I have said, the Nationals have always backed our farmers. We also know that our farmers are leading the world in technology and in embracing ways to carbon sink and to improve soil health and productivity. These sorts of new initiatives – well, they are in fact very old initiatives – need to be ramped up in Victoria and are not something that I would stand in the way of. I look forward to this industry advancing in Victoria in the very near future.

David ETTERSHANK (Western Metropolitan) (11:56): I rise to make a brief contribution on the Hemp Industry Bill 2024. How do I love hemp? Let me count the ways – but I digress. I did seriously consider subjecting you all to another sonnet, but I felt I had no chance when compared with my colleague’s very eloquent example in her second-reading speech, so you are all spared. Instead, before I dig in to the details of this fit-for-purpose industrial hemp legislation, I thought I would tell you a bit about one of the thousands of ways that hemp is currently being used.

Hempcrete is a mixture of hemp hurd and lime-based binder, and it can serve as a substitute for energy-intensive concrete- and brick-based construction. Some of its fantastic carbon-efficient properties include storage of captured carbon over its lifetime, excellent thermal and noise installation, fire and vermin resistance, faster construction compared to traditional materials and mould resistance. Given the horrendous environmental impact of the cement industry, one of the largest producers of carbon dioxide globally, any alternative we can find, no matter the scale, must be taken seriously.

Some Victorians have already got a healthy head start on hempcrete. A couple in Victoria are hand-building their dream home from hempcrete, citing their distaste for morgue-like concrete panels, and they have already started to notice the benefits. One day it was 7 degrees outside but 21 degrees inside. On another day it was 12 degrees outside but 21 degrees inside. As a more extreme example, we saw at the exhibition yesterday the hemp cave – a very innovative project designed to be highly fire-resistant. We actually saw 4000 litres of propane burnt to test this hemp cave, and whilst it was 1800 degrees outside, it was 32 degrees inside. That is an extraordinary achievement, and this is from a product that is still in the early days of much of its development. In other words, hempcrete provides us with a very innovative and exciting product that also can save money for consumers in terms of, for example, heating and cooling.

Even my own neighbours have just recently built a hempcrete extension to their house using a company from northern New South Wales, and I know in their case the company had to actually import the hemp from France. How ridiculous is it that it is easier in this country to import hemp from France than to source it locally. But it is not just individual home projects that are embracing the benefits of hempcrete. The Mildura Rural City Council in Victoria recently used hempcrete to build its Powerhouse Place, a community cultural hub. In her former role as Minister for Regional Development, our own Minister Shing was at the opening of that hub, and I am sure she can testify to its impressiveness.

Business interrupted pursuant to sessional orders.