A plan to re-criminalize cannabis in Thailand could cost CBD stakeholders millions of dollars in lost investments, a key trade group has warned.
The Thai Hemp and Cannabis Industry Association (HCIA) said a draft cannabis law floated earlier this year could turn off investors by severely restricting the business in CBD and other extracts derived from hemp flowers.
The cannabis law, intended mainly to reverse the previous government’s historic – if mismanaged – efforts to legalize cannabis, is expected to be in place by the end of the year, Health Minister Cholnan Srikaew has said.
$274 million at risk
“If the government goes ahead with the plan to criminalize cannabis and hemp to curb the abuse, manufacturers and investors of these products could stand to lose over 10 billion baht ($274 million) of investment,” said Tossaporn Nilkamhang, HCIA president. “The move will also affect the confidence of investors in the government’s future projects.”
The government of Prime Minister Srettha Thavisin is on record as saying it intends to strictly regulate the production and sale of CBD, limiting use to medical products and research initiatives.
Thavisin’s center-left Pheu Thai Party, which has traditionally supported farmers, said it plans to develop industrial hemp primarily for non-psychoactive products such as seed-based foods, textiles, and building materials.