Rachel asked the government to prioritise the introduction of standalone industrial hemp legislation. As a versatile and sustainable material for fuel, construction and cosmetics, the benefits of hemp are far-reaching. However, the Victorian government are still behind the eight-ball on hemp industry growth and investment. Rachel called on the government to remove the barriers to industrial hemp licensing, as industry growth would in turn assist Victorians with oil shortages, cost-of-living and affordable housing.
Wednesday the 1st of April 2026,
Victorian Legislative Council
Rachel Payne (South-Eastern Metropolitan):
My adjournment matter is for the Minister for Agriculture, and the action I seek is for the minister to commit to introducing standalone industrial hemp legislation and support greater investment in the hemp industry, including into its potential use as a biofuel and building material alternative.
2 years on from inquiry, Victoria is still missing out
In 2024 I tabled a bill calling for a standalone hemp act in Victoria. Following this the government responded to the inquiry into the industrial hemp industry in Victoria and supported almost all of its recommendations. In their response, they acknowledged the need to develop the hemp industry in Victoria, the barriers that exist in the planning system and an openness to reform. However, it is now 2026 and we continue to hear from hemp producers that significant barriers still exist to licensing.
The industry is also very frustrated that Victoria is lagging in hemp infrastructure and processing capabilities. In short, while hemp has a global value of many billions of dollars, Victoria is missing out. Hemp has a myriad of benefits. It is incredibly versatile, resilient and a sustainable crop. Hemp is a miracle biofuel. It can be used to feed livestock, in textiles, paper and beauty products and as an alternative to plastic and much less sustainable building materials. We are currently in a fuel crisis. Moreover, building materials are very expensive, and even if you can afford them, they are in short supply. The multiple crises Victorians face of oil shortages, cost-of-living pressures and lack of affordable housing can all be solved by hemp.
Fire, mould resistant and a brilliant insulator
Is there a dirtier building material than concrete? Consider hempcrete, a sustainable carbon-negative alternative. It is made from industrial hemp. It is lightweight, fire resistant, mould resistant and a brilliant insulator for both weather and noise. Dr Ernesto Valenzuela is a senior lecturer in agricultural economics at La Trobe University and says that hempcrete panels combine very low embodied carbon with strong insulation, fire resistance and moisture regulation. They suit prefabrication, reduce onsite emissions and use plant-based inputs that can be grown regionally in Australia, supporting rural jobs while helping the construction sector meet long-term climate and housing challenges.
Removing social licence barriers could solve Victoria’s native logging dilemma
Despite the known benefits of industrial hemp, we continue to hear about problems of social licence. We know of Victorian farmers who, despite council approval, have faced neighbour and other objections to their hemp applications, forcing them to go through onerous and lengthy appeals processes. We have Victorian arable land ready to go. Hemp can replace native logging. The Victorian government has committed to ending native timber harvesting on public land. This affects over a thousand timber workers and 200 businesses, and hemp is the answer.
I ask: will the minister commit to introducing standalone industrial hemp legislation as a matter of priority and support greater investment in the hemp industry, including its potential use as a biofuel and building material alternative?
[Written response pending]
Related:
- Grow Victoria’s Hemp Industry – Rachel Payne
- Leave lawfare out of the hemp industry – Rachel Payne
- If Allan govt is fair dinkum about a ‘Made in Australia Future’, it must support the Industrial Hemp Bill – Rachel Payne
