On June 9, 2022, cannabis was removed from the list of controlled narcotic substances. The public largely interpreted this as a green light for action. Within a month and a half, Thailand turned into a cannabis hub of Southeast Asia, with numerous shops and cafés opening where cannabis products with varying THC levels could be purchased and consumed on-site.
Let’s look at the legal framework.
From the list of narcotic substances approved by the Ministry of Public Health (MOPH) in 2020, the following were removed in June:
a) Stems, fibers, branches, and roots
b) Leaves without inflorescences
c) Extracts containing CBD with no more than 0.2% THC
d) Residues after extraction containing no more than 0.2% THC
e) Hemp seeds and extracts derived from them
According to the MOPH notification dated February 8, 2022, cannabis and hemp extracts remain classified as narcotics, except for:
(a) Extracts containing no more than 0.2% THC by weight, provided that permission has been granted to produce such extracts from cannabis or hemp grown in Thailand
(b) Extracts from cannabis seeds or hemp grown in Thailand
At this stage, these are the key changes. Existing laws related to cannabis must now be aligned with the updated MOPH regulations. The Cannabis and Hemp Bill is currently under consideration. Once adopted, it will be followed by subordinate regulations covering licensing conditions and further clarifications.
What is clear as of now:
— All licenses obtained prior to legalization remain valid
— Regulations adopted under the Narcotics Act of 1979 continue to apply insofar as they do not contradict the new framework
— Individuals may cultivate and use cannabis for personal purposes, subject to registration on the FDA office website
— Cultivation for business purposes (leaves only, excluding buds and seeds) is allowed without a specific license
— Import of seeds is permitted only for medical and research purposes
— Sale is prohibited to persons under 20 years old, pregnant women, and breastfeeding women
What should you do if you plan to start a cannabis business?
There are several possible approaches:
— Wait for the new law and subordinate regulations to come into force
— Obtain a license under the existing regulatory framework
— Purchase a franchise from an already licensed operator
— Open a cannabis retail business now, before detailed regulations are introduced and potential restrictions tighten
Author: Alexandra Agapitova.
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