The project kicked off nine months ago and the company has carried out agricultural tests on the lands which were successful, Ricardo Pinheiro said.

Pinheiro added that several meetings with the government were held and that the company was now awaiting a license from the National Authority for Medication and Health Products (Infarmed).

According to the mayor, the project by the company, Sababa Portugal, is to kick off in an area of around four hectares and will entail an investment of around €16 million as well as creating 50 jobs.

Pinheiro also said the project would be completed with the installation of a centre for the extraction of cannabis oil but the investment this will imply has not yet been defined.

The use of medications based on cannabis was approved by Portugal's parliament on 15 June following the submission of draft bills by the Left Bloc party and People-Animals Nature (PAN) party. The law was then enacted by the president on 10 July.