One Step Forward, One Step Back: Panama Regulates Cannabis, Italy Bans It

In the span of a single week, two countries issued sweeping cannabis decrees, one opening a cautious path forward, the other slamming the door shut. Panama clarified its medical cannabis law with updated regulations, expanding access under strict conditions. Italy, meanwhile, stunned its own industry by banning the sale, possession and production of all hemp flowers, including CBD, through an emergency decree.

The contrast between the two reveals a widening global divide on cannabis policy between regulated progress and reactive prohibition, between evidence-based reform and political impulse.

Panama: Regulating Cannabis With Guardrails

On April 4, Panama published Decree No. 6 in its official gazette, refining the country's framework for the therapeutic use of cannabis. The regulation replaces a 2022 decree and aims to clarify the implementation of Law 242, which legalized medical cannabis in 2021. As El Planteo reported, the new rules address everything from physician prescribing rights to where cannabis can be consumed.

Patients may now obtain prescriptions from any licensed physician, mirroring the prescription model used for opioids. The law also outlines limitations: no use in public or workplaces (unless approved), a ban on use by people in high-risk professions and a prohibition on mixing cannabis with alcohol or other substances.

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Crucially — and controversially — vaporizers are banned, despite their widespread use in medical cannabis globally. "The Supreme Court had already declared a prohibition on vaping unconstitutional, and here they repeat it twice in the same article," said Carlos Ossa, a key figure in Panama's cannabis reform movement. "Worldwide, 70% of patients use vaporizers. In Panama, we're banning the most common method. It makes no sense."

While the decree does not enable adult-use cannabis, it does preserve pathways for medical access and seeks to bring consistency to the regulatory landscape. However, production licenses remain pending and Panama continues to rely entirely on imported products, raising costs and delaying access.

Advocates argue that there's a need to move faster. Without domestic cultivation or manufacturing, Panama's cannabis industry —and its patients— remain tethered to expensive supply chains and slow bureaucratic processes.

Italy: From Legal Gray Zone To Full Prohibition

In stark contrast, Italy's government issued a decree banning all hemp flowers and CBD products—even those with negligible or non-psychoactive THC content. The surprise decision, issued on a Friday night under emergency powers, prohibits the cultivation, processing, sale and possession of cannabis sativa flowers, as El Planteo reported here.

The move affects industrial hemp, CBD wellness products, cosmetics, teas and even pet supplements, effectively wiping out a sector that had operated—often in legal limbo— under EU guidelines protecting hemp products with less than 0.3% THC.

Italy's decision comes via Article 77 of the Constitution, which allows decree-laws in cases of urgency. But critics argue the government, led by Prime Minister Giorgia Meloni, bypassed consultation with stakeholders and ignored both EU legal precedent and national court rulings that recognized the legality of hemp-derived CBD.

According to Canapa Sativa Italia, the ban jeopardizes 22,000–30,000 jobs. It also endangers over 3,000 businesses, many of which have invested heavily in licensed operations, infrastructure and R&D. Industry groups warn of economic disaster and legal chaos.

"This measure destroys a well-established economic and social reality," advocates from Canapa Sativa Italia stated. "It nullifies millions in investment and throws thousands of people into legal uncertainty."

EU courts have previously ruled that CBD is not a narcotic and that its commerce cannot be restricted without clear scientific justification. Italy's decree ignores that position, risking potential conflict with European trade law and triggering a wave of legal challenges.

Diverging Paths, Global Questions

Panama and Italy both issued cannabis-related decrees last week, but their political contexts, legal justifications and industry implications are very different.

Panama's approach is cautious but constructive, offering physicians broader prescribing rights and reinforcing the legitimacy of medical cannabis, even while imposing restrictions and lagging on production.

Italy's decree, by contrast, reflects a hardline shift toward prohibition, one that defies both legal precedent and economic rationale—prioritizing security rhetoric over patient rights, economic stability and EU law.

Taken together, these cases illustrate a deepening global split over cannabis policy: between science and ideology, regulation and regression, dialogue and decree.

As countries continue to update their cannabis laws, the choices made in places like Panama and Italy will shape not only national markets but also the international perception of cannabis as a legal, medical, and economic force.

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