Funding Boost for South Australia's Hemp Industry

The South Australian Government has announced a $500,000 investment aimed at expanding the state's industrial hemp industry.

The funding will support a new round of crop trials to identify hemp varieties that require less water, potentially allowing production to expand into more regions, including the Riverland.

Industrial hemp contains less than one per cent THC and is grown for a range of commercial products including textiles, paper, building materials, cosmetics and food.

South Australia established a regulated industrial hemp industry in 2017, with previous trials identifying the Limestone Coast as one of the state's most suitable production regions.

The latest investment is designed to build on that work by improving crop adaptability and identifying varieties better suited to South Australia's changing climate.

Part of the funding will also be made available through small grants to assist growers with infrastructure costs, helping support further industry development.

The State Government says the investment reflects growing demand for hemp-based products and aims to strengthen opportunities for regional producers while supporting the long-term growth of the emerging industry.