This report sets out the key challenges, risks and opportunities associated with establishing a national medicinal cannabis scheme in Australia. The report is comprised of several sections, each intended to serve as a reference for future policy discussions in the Australian medicinal cannabis industry. Section 2 begins by discussing the medicinal and scientific aspects of the debate, specifically addressing the evidence supporting medicinal cannabis treatments for various conditions. Section 3 then examines how medicinal cannabis regulation has been approached internationally, in addition to exploring recent developments and expected challenges for Australia. Section 4 develops two methodological approaches for estimating the potential domestic demand for medicinal cannabis in Australia.