(Thailand, 2nd) With regulatory policies tightening and a shift in government stance, Thailand's cannabis industry is undergoing a major shake-up. More than 7,000 cannabis stores nationwide have chosen not to renew their business licenses, resulting in heavy financial blows to many small-scale operators.
According to The Nation citing the latest data from the Ministry of Public Health, as of the end of last year, there were 18,433 registered cannabis shops in Thailand. However, with a wave of license expirations coming in 2025, the market has shown a notable contraction: only 1,339 stores (15.5%) renewed their licenses, while 7,297 chose to close. This means there are currently still 11,136 cannabis shops in operation.
Experts estimate that the collective closure of these 7,297 shops may result in investment losses totaling tens of millions of Thai baht, with impact spanning expensive shop rent, interior renovation, specialized equipment, and labor costs.
Many businesses were established after the government legalized cannabis on June 9, 2022. However, following a policy shift by the Pheu Thai Party-led government, cannabis is now prohibited for recreational use and restricted to medical and research purposes only.
One of the most challenging new requirements is that cannabis shops must employ licensed or registered practitioners of traditional medicine in order to operate legally.
As of February, the Thai Ministry of Public Health had significantly strengthened its control over the cannabis industry, marking a clear departure from the "Wild West" style decriminalized period of 2022.
The government has officially shifted to a "medical use only" framework, once again criminalizing recreational use. Cannabis flowers are now classified as "controlled herbs" and can only be dispensed by prescription from certified medical professionals.
Purchasing cannabis requires a valid prescription and is limited to a 30-day supply per purchase. Tourists may only purchase medical cannabis after consulting with a Thai doctor and obtaining medical certification.
Additionally, pharmacies must hire licensed medical professionals, and cannabis sales are banned in certain public places and online.
All cannabis advertising is banned, and using cannabis in public spaces is illegal, with fines of up to 25,000 baht.
Experts estimate that the collective closure of these 7,297 shops may result in investment losses totaling tens of millions of Thai baht, with impact spanning expensive shop rent, interior renovation, specialized equipment, and labor costs.
Many businesses were established after the government legalized cannabis on June 9, 2022. However, following a policy shift by the Pheu Thai Party-led government, cannabis is now prohibited for recreational use and restricted to medical and research purposes only.
One of the most challenging new requirements is that cannabis shops must employ licensed or registered practitioners of traditional medicine in order to operate legally.
As of February, the Thai Ministry of Public Health had significantly strengthened its control over the cannabis industry, marking a clear departure from the "Wild West" style decriminalized period of 2022.
The government has officially shifted to a "medical use only" framework, once again criminalizing recreational use. Cannabis flowers are now classified as "controlled herbs" and can only be dispensed by prescription from certified medical professionals.
Purchasing cannabis requires a valid prescription and is limited to a 30-day supply per purchase. Tourists may only purchase medical cannabis after consulting with a Thai doctor and obtaining medical certification.
Additionally, pharmacies must hire licensed medical professionals, and cannabis sales are banned in certain public places and online.
All cannabis advertising is banned, and using cannabis in public spaces is illegal, with fines of up to 25,000 baht.