Health Minister David Clark's Misuse of Drugs (Medicinal Cannabis) Amendment Bill passed its final reading in December last year, allowing terminally ill people to possess and use cannabis and utensils for medical purposes.

A consultation document released by the Government in July suggested making it easier for doctors to prescribe medicinal marijuana by not requiring Ministry of Health approval - and this is now confirmed.

The Ministry of Health recommended Cabinet allow all doctors to prescribe CBD and THC products, saying it was the preferred option for health practitioners and stakeholders.

Medicinal cannabis campaigners have fought hard for prescription at GP-level, and were pleased to see that was the Ministry of Health's preferred option.

Research is already underway in New Zealand on medicinal cannabis. The regulations mean New Zealand companies will be able to manufacture for both the local and international market.

"There is already considerable expertise in this area with 20 companies currently licensed to grow cannabis for research purposes and another 238 growing industrial hemp," Dr Clark said.

"These regulations put in place the infrastructure that allows us to locally grow, manufacture and provide quality medicinal cannabis products that are intended to make a real difference to people living in pain."

A medicinal cannabis agency within the Ministry of Health is being established to oversee the medicinal cannabis scheme - which will provide guidance for doctors, industry and consumers.

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