Interest is growing in making Israel a hub for cannabis farming and medical research. Israel has already authorized the cultivation of cannabis for local medical use. On Feb. 5, the Knesset’s Ministerial Legislation Committee adopted a resolution approving the exportation of medical cannabis from the country. The bill is now awaiting approval by the Knesset.

Seeking access to the fast-growing global industry, dozens of Israeli kibbutzim have applied for permits to farm medical cannabis since July 2016. Still affected by decades of economic stagnation, these kibbutzim hope that growing medical cannabis can help them attain financial viability.

Eight licensed suppliers, two of them operating in kibbutzim, are currently supplying medical cannabis to Israelis with a prescription for it. But following a legal battle taken up by farmers wishing to join the industry, the Israeli Ministry of Health started taking applications for additional permits. Hagai Hillman, chairman of a forum of Israeli cannabis farmers, told Al-Monitor that around 40 new permits were issued in February. Many went to kibbutzim.

The prerequisites for the permits and financing work in favor of the bigger applicants. The Israeli Ministry of Agriculture and Rural Development estimates an annual expenditure for one acre of medical cannabis at about $2 million. That sort of cash might be hard to come by for small family farms, giving an edge to kibbutzim, many of which run farms of thousands of acres.