Full Breakdown
Thailand's Cannabis Industry Faces Major Setbacks Amid Stricter Regulations
2/2/2026, 5:20:09 AM
Overview of the Cannabis Policy Shift
In Thailand, over 7,000 cannabis shops have closed due to stringent new regulations and a shift in government policy regarding marijuana use. Following the decriminalization of cannabis on June 9, 2022, the landscape for cannabis businesses has dramatically changed under the Pheu Thai-led government, which has reinstated restrictions on recreational use and limited cannabis to medical and research purposes.
Impact of New Regulations
As of December 28, 2025, the Public Health Ministry reported that out of 18,433 cannabis shops operating nationwide, 8,636 had licenses that expired in 2025. Only 1,339 of these shops renewed their licenses, while 7,297 opted to shut down, resulting in significant financial losses for many small business owners. The closures are estimated to lead to tens of millions of baht in lost investments, including costs for rent, renovations, and labor.
The new regulations require cannabis shops to have a licensed traditional medicine practitioner on-site, making compliance challenging. Additionally, cannabis flowers are now classified as a "controlled herb," necessitating a prescription for purchase, with strict limits on supply. Tourists can only access medical cannabis after consulting with a Thai doctor and obtaining a medical certificate.
Business Owner Perspectives
A cannabis shop owner in Bangkok expressed frustration with the new policy, stating, “At first, I believed this policy would be sustainable because the government positioned it as an economic opportunity. But now, with the new laws, our licence will expire in October 2026, and the new conditions make it impossible to renew.” This sentiment reflects a broader concern among business owners about the viability of their operations under the new rules.
Public Health Concerns
The tightening of cannabis regulations comes amid rising public health issues linked to cannabis use. Data from the Ministry of Public Health indicates a more than threefold increase in cannabis poisoning cases and a near sevenfold rise in cannabis addiction since the policy change. Emergency room visits related to cannabis have surged, particularly in tourist areas, where cases involving foreign tourists have risen from zero to over 90 per month.
Dr. Bandit Sorpaisan, a scientist at the Centre of Addiction and Mental Health in Canada, noted that Thailand's cannabis policy exemplifies decriminalization without a clear regulatory framework, leading to increased health and economic costs in the long term.
Conclusion
The shift in Thailand's cannabis policy has resulted in significant closures of cannabis shops and heightened public health concerns. As the government enforces stricter regulations, the future of the cannabis industry remains uncertain, with many business owners questioning the sustainability of their investments and operations.
