Two people were arrested for dealing in drugs after authorities uncovered a dagga laboratory in an old church hall in Piketberg, the Hawks said on Tuesday.

The Hawks made the discovery in Bo-Berg after an "intelligence-driven investigation" on Monday, said Captain Philani Nkwalase.

"A fully operational hydroponic dagga lab was uncovered with numerous dagga plants worth R700 000," he added.

Two men, aged 30 and 54, were arrested and are expected to appear in the Piketberg Magistrate's Court on Wednesday.

Last year, the Constitutional Court ruled that the personal use of dagga was not a criminal offence.

"The right to privacy is not confined to a home or private dwelling. It will not be a criminal offence for an adult person to use or be in possession of cannabis in a private space," Deputy Chief Justice Raymond Zondo said at the time.

He added it should be left up to Parliament to decide on the quantity of cannabis that an adult person might use, possess or cultivate in order for it to amount to "personal use".

If a police officer, on reasonable grounds, suspects that the person concerned is in possession of that cannabis for dealing and not for personal consumption, the officer may arrest the person.The courts will ultimately decide whether the person was in possession of cannabis with the intent to deal or for his or her own consumption.