Cannabis industry faces major disruption as new medical-only rules take effect
Thailand’s cannabis recriminalisation: What’s the damage?
Thailand has recently reversed its decision to decriminalise cannabis, with new regulations restricting cannabis use solely to medical purposes, marking the end of the country’s three-year experiment with recreational cannabis.
Throughout these three years, some described the move as hasty and without a clear plan for effective regulation following the decriminalisation in 2022. But in the same vein, the cannabis sector has flourished into a billion-dollar industry, marking itself as a key player in Thailand’s tourism and its economy as a whole.
Implications of Thailand’s cannabis recriminalisation
What changes has the new regulation introduced? The new regulation limits cannabis use to medical purposes, requiring prescriptions, with businesses now needing licenses and facing strict controls on cultivation, sales, and advertising.
What are the implications of the new regulation? The reversal impacts the cannabis industry, risking significant losses. Farmers, businesses, and workers in the cannabis sector face financial hardship, but the policy shift is aimed at public health concerns.
A political context The policy change follows a political crisis, with the Bhumjaithai Party’s departure from the ruling coalition clearing the way for stricter cannabis controls.
The announcement came shortly after Public Health Minister Somsak Thepsutin signed the regulation on June 23, 2025. The new rules reclassify cannabis flower buds as “controlled herbs” under the Protection and Promotion of Traditional Thai Medicine Wisdom Act of 1999, effectivel
