Thailand's New PM Revives HEMP and Medical Cannabis, Vows Support, Aiming to Drive2 Billion Baht Economy Annually
It is clear that the government led by Prime Minister Paetongtarn Shinawatra will proceed with the initiative for medical cannabis and hemp, focusing on creating additional economic value while effectively managing social impacts through legislative measures. This direction was articulated in the government's policy statement presented to Parliament on September 12, 2024, which projects an annual market value of 200 billion THB.
Under current Thai law, Cannabis and Hemp are not classified as Type 5 narcotics, except for extracts containing THC levels exceeding 0.2%, which are considered controlled substances. The flowers of cannabis and hemp are classified as controlled herbs under the Traditional Thai Medicine Protection and Promotion Act of 1999, which mandates that permission be obtained for their use. Consequently, other parts of the cannabis and hemp plant, including branches, leaves, stems, seeds, and hemp fibers, can be utilized for medical purposes and to enhance economic value.
Moreover, with the new government's policy to enact legislation, specifically the "Cannabis and Hemp Act," there is a commitment to ensure strict regulation, thereby fostering public confidence in controlling illegal activities. For business operators, if they adhere to legal requirements and meet established standards, the government will not obstruct their efforts. Instead, it is prepared to actively promote the medical applications of cannabis and hemp and enhance economic value.
Drafting the Cannabis and Hemp Act to Move Forward
Regarding the "Cannabis and Hemp Act," the Ministry of Public Health, through the Department of Thai Traditional and Alternative Medicine, has completed public consultations on the draft legislation. Key provisions allow consumption for three purposes: 1.To treat, cure, and alleviate human ailments or prevent diseases. This includes using cannabis and hemp to enhance health, improve bodily functions, or reduce disease risk, all under the supervision of licensed healthcare practitioners. 2.Research or studies conducted by government agencies responsible for research or education in relevant fields for medical or pharmaceutical purposes, the Thai Red Cross Society, or private higher education institutions engaged in research and offering programs in medicine or pharmacy. 3.This also encompasses herbal products, medications, food items, cosmetics, or any other products as stipulated by applicable laws.
The Ministry of Public Health is Moving Forward with Government Policy
Minister of Public Health, Mr. Somsak Thepsuthin, stated in an interview that the government's policy to implement legislation concerning cannabis and hemp is being adhered to by the Ministry of Public Health. He highlighted the importance of ensuring that these measures do not adversely affect children. He also mentioned that if the business sector wishes to support the legislation, they should pursue their initiatives to create a comprehensive framework.
When asked if cannabis could serve as a model for driving economic growth, Mr. Somsak indicated that it is already contributing to economic development. He noted that while he does not focus on quantifying its benefits, he has no intention of opposing its use. His goal is to effectively balance the protection of public health with the promotion of economic advancement.
According to data from the Ministry of Public Health, as of March 4, 2024, a total of 14,518 licenses have been issued under the controlled herbal announcement. This includes 13,970 licenses for sales or processing, 515 for export, and 33 for research purposes.
The Cannabis and Hemp Act: Enhancing Public Confidence
Dr. Tevan Thanirat, Deputy Director-General of the Department of Thai Traditional and Alternative Medicine at the Ministry of Public Health, emphasized that the government's initiative under Prime Minister Paetongtarn Shinawatra to enact legislation regarding cannabis and hemp will significantly enhance public and medical professionals' confidence in the government's regulatory framework. He stated that the introduction of the Cannabis and Hemp Act will instill greater assurance among businesses that have already made investments, enabling them to strategically navigate their operations within the legal parameters established by the legislation.
“Cannabis is already in the public domain, and we aim to prevent it from reverting to the underground market. When utilized appropriately and in accordance with established standards, cannabis can yield substantial medical benefits and generate economic value, in line with the government's articulated policies,” Dr. Tevan asserted.
Cultivating Cannabis and Hemp Requires Expertise
Dr. Tevan emphasized that the effective utilization of cannabis and hemp hinges on comprehensive knowledge, particularly in cultivation and harvesting practices. The Department of Thai Traditional and Alternative Medicine underscores that individuals entering this industry must possess a thorough understanding of the processes involved. Without such expertise and adherence to quality standards in cultivation and harvesting, success in this sector is unlikely, resulting in crops that cannot meet market demands.
“The most effective approach to promoting herbal plants is to provide education on how to cultivate them so that they can be utilized as medicinal products and sold in the marketplace. Poor cultivation practices lead to unsellable products. For those seeking reassurance that they are operating within the appropriate guidelines, the Department will deploy a team to evaluate and certify proper cultivation and harvesting techniques,” Dr. Tevan said.
Factories and Products Must Meet Standards
Regarding midstream processing, any extraction of cannabis and hemp must obtain permission from the Food and Drug Administration (FDA) and adhere to established standards. Extracts must contain THC levels below 0.2% to avoid classification as a narcotic. It is essential for operators to possess a thorough understanding of the relevant legal requirements. Engaging in extraction without proper authorization is tantamount to producing of Class 5 narcotics.
“In the business sector, some cannabis extraction facilities have already received the necessary licenses. Therefore, if cannabis and hemp cultivation is certified for quality and standards, the produce can enter licensed extraction facilities. As for hemp fibers, there are no global restrictions, and they can be utilized for industrial purposes, including the production of clothing and other products,” Dr. Tevan said.
Cannabis and Hemp as Champion Herbs
The Department of Thai Traditional and Alternative Medicine has officially designated specific herbs as provincial identities, with “hemp” representing Chiang Mai and “cannabis” representing Sakon Nakhon. In addition, Thailand has recognized 15 herbal species as "Herbal Champions", which the development framework for advancing these Herbal Champions is outlined in the National Herbal Action Plan, Version 2 (2023-2027), there are three key components: upstream is to focus on enhancing the production of high-quality raw materials and the processing of herbal products, while midstream efforts are directed toward fostering the development and capacity building of stakeholders. Moreover, downstream aim to Facilitate marketing initiatives and promote the consumption of herbal products.
As government policies become increasingly defined, it is crucial to monitor how the private sector in Thailand will respond to these initiatives to effectively promote cannabis and hemp as significant economic crops for both the Thai economy and the international markets.
From the information above, it is evident that the medical hemp industry in Thailand continues to advance in accordance with government policies aiming at consistently enhancing economic value. This instills confidence in entrepreneurs that the Thai medical hemp industry has the potential for sustainable growth.
We invite all hemp industrialists to come and explore the increasing business opportunities at the "AIHE 2024" (Asia International Hemp Expo & Forum 2024) during this 27-30 November 2024 at Queen Sirikit National Convention Center (QSNCC), Bangkok, Thailand. For details, please contact www.asiahempexpo.com
Source of news: Bangkokbiznews
Published date: Oct 1, 2024