Exporters interested in selling permitted cannabis goods abroad will be required to receive a license from the Health Ministry once the free export order enters into force in another 30 days.

A free export order for medical cannabis products was signed by outgoing Economy Minister Eli Cohen on Wednesday, approximately 16 months after the government approved exports of locally grown medical cannabis for the first time.

Exporters interested in selling permitted cannabis goods abroad will be required to receive a license from the Health Ministry once the free export order enters into force in another 30 days.

"This is a significant step for exporters and Israeli industry, which will enable both the expansion of export opportunities for the sector and increase employment of new workers, especially in light of the great worldwide demand for Israeli medical cannabis products," said Cohen.The state could earn between NIS 1 billion to NIS 4b. per year from cannabis exports, according to some estimates.

The government approved exports of Israeli-grown medical cannabis to the booming worldwide legal market in January 2019, but the granting of licenses to companies by the Health Ministry stalled.

The 2019 decision was based on a recommendation from the Inter-ministerial Committee of the Finance and Health ministries in August 2017, to allow the export of cannabis for medical purposes. The committee cited the economic potential created by Israel’s many advantages in advanced regulation, research and development, clinical experience and unique climate that can be exploited by farmers, researchers and entrepreneurs to develop Israeli products for the international market.

Some 60,000 Israelis are currently treated with medical cannabis, consuming an estimated 25 tons of cannabis products on an annual basis. The production capacity of Israel's medical cannabis industry is significantly higher.