Recriminalization of Hemp and Marijuana Could Collapse Thailand’s Billion-Dollar Cannabis Market

Share This Post

July 8, 2024 / CBD, Asia, Legislation, News, Regulatory

Signals of a Major Policy Shift

Recent developments indicate that Thailand may reverse its progressive cannabis policies, threatening a legal CBD and marijuana market projected to be worth billions. A significant resolution passed by a key drug committee could soon restrict cannabis products to medical use only, requiring a doctor’s prescription.

Regulatory Background

Thailand’s journey towards cannabis liberalization began in 2019 with the allowance of up to 1.0% THC by dry weight in hemp crops, and a stricter 0.2% limit for food and cosmetics. By December 2020, cannabis cultivation and possession were decriminalized, creating a burgeoning market for both CBD and marijuana.

Proposed Resolution and Its Impact

The government’s Committee on the Control of Illegal Drugs has proposed a resolution to reclassify marijuana and hemp flowers as narcotic plants, exempting only branches, roots, and seeds. Dr. Surachoke Tangwiwat, Deputy Permanent Secretary at the Ministry of Public Health, stated, “All members of the committee agree on the principle that cannabis should only be used for medical treatment and not for recreational purposes.” This resolution aligns with a draft law introduced in March and could significantly alter the current legal framework if adopted by the Narcotics Control Board and Thailand’s Food and Drug Administration.

Future of Hemp and CBD Products

The new administration, led by Prime Minister Srettha Thavisin of the center-left Pheu Thai Party, aims to focus on non-psychoactive hemp products such as seed-based foods, textiles, and building materials. CBD Oil products and sale would be heavily regulated, confined to prescription-only medical products and research purposes.

Economic Implications

Thailand’s CBD market, which rapidly grew to an estimated $55 million in 2021, has been a major component of the legal cannabis sector. The recreational market, with over 6,500 retail shops, was projected to reach $1.2 billion in the next year and potentially $9.6 billion by 2030. The proposed policy changes threaten to dismantle this market, reverting to stringent regulations reminiscent of Thailand’s past, where cannabis possession incurred severe penalties.

Historical Context and Market Evolution

Thailand’s initial steps towards decriminalization allowed medical marijuana use in 2019 and expanded hemp sector freedoms in 2020 and 2021. This shift attracted significant foreign investment and positioned cannabis as a potential economic boon, particularly for farmers and the medical tourism industry. However, the rapid liberalization also raised concerns about public consumption and its impact on tourism.

If the resolution becomes law, Thailand’s cannabis market, once heralded for its economic promise, could face substantial setbacks, dramatically altering the landscape for businesses and consumers alike.

Subscribe To Our Newsletter

Get updates and learn from the best

More To Explore

Nano-Encapsulated CBD Cream
CBD Oil Benefits

Nano-Encapsulated CBD Cream: A Promising Protector Against UVA-Induced Skin Aging

July 18, 2024 – As interest in cannabidiol (CBD) and cannabis-derived products for medical purposes continues to surge, researchers have unveiled a potentially groundbreaking use for CBD. A recent pilot study published in the Journal of the American Academy of Dermatology suggests that nano-encapsulated CBD (nCBD) cream may shield skin from ultraviolet A (UVA)-induced nuclear

Cannabisöl Shop: The Green Doctor CBD Oil Shop

In der heutigen Zeit gewinnt der Einsatz von CBD-Produkten immer mehr an Beliebtheit. Besonders in Deutschland und Europa suchen Menschen nach hochwertigen Cannabisöl-Shops, um die Vorteile von CBD zu genießen. Einer der herausragenden Anbieter in diesem Bereich ist The Green Doctor CBD Oil Shop. Über The Green Doctor CBD Oil Shop The Green Doctor CBD

Got a Question?

drop us a line and keep in touch

CBD oil full spectrum uk
Scroll to Top
Independently verified
762 reviews