South Korea designated North Gyeongsang Province as a special cannabis zone, with the aim of creating a center for smart, high-technology agriculture.

In a statement that week, Governor Lee said the zone differed from existing special zones because it offered a practical route toward industrial development of medical cannabis. He said the aim was to develop extraction and purification processes for products intended for export.

Beyond textiles and seeds

Outside the special zone, South Korean regulations at the time permitted hemp cultivation only for textiles and seeds.

Officials said the initiative could attract agricultural businesses to Andong, a city in the province where the Bio Industry Research Institute was due to host a blockchain-based management system from January 2021.

They added that cannabis specialists from across South Korea would be consulted as the project developed.