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Thai Cannabis-Hemp Act: Impact on Local Business
04/12/2023
The Thailand Cannabis industry is on the brink of change with the proposed Cannabis-Hemp Act. In November 2023, the Public Health Ministry introduced the first draft of this legislation to enhance regulations and address industry loopholes.
In this blog post, we’ll delve into the proposed aspects of the proposed Cannabis-Hemp Act, highlighting its potential impact on Thailand’s Cannabis business.
Key points
- The proposed Thai Cannabis-Hemp Act introduces new changes, enhancing regulations for the cannabis and hemp industry in 2024.
- Stricter controls on personal cannabis cultivation are a key focus.
- Existing cannabis shops are allowed to continue operations under the new regulations, with mandates such as prohibiting on-site smoking and the sale of dried cannabis buds.
- Specific venue restrictions are identified in the act, ensuring compliance with regulations is mandatory to maintain control over cannabis sale and use.
What is the Cannabis-Hemp Act?
The Thai Cannabis-Hemp Act is a proposed law that aims to regulate the cultivation, extraction, processing and use of cannabis and hemp in Thailand. Thailand’s Public Health Ministry has completed the first draft of the act, which will not reclassify cannabis as a narcotic, but will still restrict and control any misuse of Cannabis. The act will also require prior permission for personal cannabis cultivation and prohibit cannabis smoking in shops.
The Ministry plans to open a public window for feedback on the draft by mid-December 2023. The act is expected to have significant implications for the cannabis and hemp industry in Thailand.
What are the Thai Cannabis and Hemp Definitions in Thailand?
Under the Cannabis-Hemp Act, cannabis remains classified as a controlled herb. However, any extract containing more than 0.2% tetrahydrocannabinol (THC) is still considered a narcotic. Therefore, items such as cannabis oil and similar items cannot contain more than 0.2% THC.
This distinction is crucial in ensuring the responsible use of cannabis for medicinal use in Thailand while limiting recreational use. The Public Health Ministry emphasizes the government’s support for medicinal cannabis use but clarifies that recreational use will be regulated.
What are the proposed Cannabis Cultivation Regulations?
One of the core aspects of the Cannabis-Hemp Act is the regulation of personal cultivation of cannabis and growing cannabis seeds. Currently, households can grow cannabis plants for personal use with a simple notification on the Phuk Ganja application to local authorities. However, this led to a loophole that commercial growers took advantage of. As a result, the Cannabis-Hemp Act will now require individuals to seek permission before growing cannabis seeds and cultivating cannabis, even for personal medicinal purposes. This stricter regulation aims to prevent abuse and ensure that cannabis cultivation is carried out responsibly.
What are the Regulations for Cannabis Shops?
The Thai Cannabis-Hemp Act also identifies specific venues where the sale or use of cannabis would be prohibited. While the government does not intend to shut down cannabis businesses, compliance with the law would be mandatory if it becomes law. The act plans to prohibit the sale of cannabis buds for smoking or providing smoking equipment inside shops. Shops will still be allowed to sell Cannabis oil and similar items, but it must have less than 0.2% THC.
Public Health Minister Cholnan Srikaew, stated that “the new law will not allow shops to sell cannabis buds for people to smoke or even have equipment for customers to smoke inside their shops. In the past, we could not control the usage, but with the new law, using cannabis for recreational purposes will be prohibited”.
Existing cannabis shops with cannabis business licenses can continue their operations under the Cannabis-Hemp Act. However, they must align with the new regulations, should the regulations become law. These regulations include:
- prohibiting on-site cannabis smoking,
- refraining from selling dried cannabis buds that are used for recreational smoking,
- reporting all sources of product, and
- recording the purchaser’s details.
By enforcing these regulations, the government aims to maintain control over the distribution and sale of cannabis while ensuring transparency and accountability within the industry.
What are the Cannabis Smoking Regulations in Thailand?
One aspect that remains uncertain under the Cannabis-Hemp Act is the legality of smoking cannabis for personal use in Thailand at home. The Public Health Ministry is working to provide further clarification on this matter. In order to do so, the Public Health Ministry plans to provide a window for the general public to provide feedback on the draft law.
The public will have until mid-December to share their opinions, and the Public Health Ministry will then carefully analyse this feedback before submitting the finalised law to the Cabinet at the start of 2024.
Following the Cabinet’s approval, the act will need to be published in the Royal Gazette and is expected to come into force around March or April 2024.
What is the process for Starting a Cannabis Business in Thailand?
While the Cannabis-Hemp Act does introduce new changes to the Cannabis industry in Thailand, it does not limit the ability for entrepreneurs to open a Cannabis business. For more information about opening a Cannabis business in Thailand, please take a look at the following blog posts:
How can Belaws help?
For more information about starting a Cannabis business visa in Thailand, why not talk to one of our experts now?
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Frequently asked questions
What is the Cannabis-Hemp Act?
It’s a proposed law for regulating cannabis cultivation, extraction, processing, and use in Thailand. It won’t reclassify cannabis but will restrict and control misuse.
What is the purpose of the proposed Thai Cannabis-Hemp Act?
The Thai Cannabis-Hemp Act is proposed to regulate the cultivation, extraction, processing, and use of cannabis and hemp in Thailand. It aims to enhance regulations, address industry loopholes, and ensure responsible use while distinguishing between medicinal and recreational purposes.
How does the act address personal cannabis cultivation?
The act introduces stricter controls on personal cannabis cultivation, requiring individuals to seek permission before growing cannabis seeds and cultivating cannabis, even for personal medicinal purposes. This aims to prevent abuse and ensure responsible cultivation.
What changes are introduced for existing cannabis shops under the new regulations?
Existing cannabis shops are allowed to continue operations but must comply with new regulations. Prohibitions on on-site smoking and the sale of dried cannabis buds are mandated. Shops are still permitted to sell cannabis oil and similar items with less than 0.2% THC.
How is cannabis classified under the act, and what is the THC limit for extracts?
Under the Cannabis-Hemp Act, cannabis remains a controlled herb. Extracts containing more than 0.2% THC are considered narcotics. This distinction is crucial to ensure responsible use for medicinal purposes while limiting recreational use.
Why is there a focus on stricter regulations for personal cannabis cultivation?
Stricter regulations on personal cannabis cultivation aim to prevent abuse and ensure responsible cultivation. The previous system, allowing households to grow cannabis with a simple notification, led to loopholes that commercial growers exploited.
What are the specific regulations for cannabis shops regarding on-site smoking and the sale of cannabis buds?
The act mandates that cannabis shops, under the new regulations, prohibit on-site cannabis smoking and refrain from selling dried cannabis buds for recreational smoking. Compliance with these regulations is mandatory for continued operation.
What aspect of cannabis usage remains uncertain under the Cannabis-Hemp Act?
The legality of smoking cannabis for personal use in Thailand at home remains uncertain under the act. The Public Health Ministry is seeking feedback to provide further clarification on this matter.
When is the expected timeframe for the act to come into force?
The act is expected to come into force around March or April 2024, following Cabinet approval and publication in the Royal Gazette.
What is the potential impact of the Cannabis-Hemp Act on the cannabis and hemp industry in Thailand?
The act is expected to have significant implications for the cannabis and hemp industry in Thailand by introducing new regulations, enhancing control over cultivation and sale, and ensuring transparency and accountability.
How does the act differentiate between medicinal and recreational cannabis use?
The act emphasizes a distinction between medicinal and recreational cannabis use. While supporting medicinal use, it regulates and restricts recreational use to prevent misuse.
What steps are outlined in the article for starting a cannabis business in Thailand?
While the Cannabis-Hemp Act introduces changes, it does not limit entrepreneurs from opening a cannabis business. Additional information about starting a cannabis business in Thailand is provided in related blog posts, including topics like business activities, licenses, and guides.
How does the Public Health Ministry plan to address the legality of smoking cannabis for personal use in Thailand?
The Public Health Ministry plans to provide further clarification on the legality of smoking cannabis for personal use in Thailand. A public feedback window is open until mid-December 2023 for individuals to share their opinions.
Can you provide a brief overview of the proposed Cannabis-Hemp Act’s key points?
The proposed act introduces new changes, enhancing regulations for the cannabis and hemp industry in 2024. Key points include stricter controls on personal cultivation, regulations for existing cannabis shops, and distinctions between medicinal and recreational use.
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