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Cannabis industry in Pattaya and Chiang Mai faces uncertainty following policy shift
Cannabis shops in Pattaya and Chiang Mai face closures and reduced footfall following a sudden policy shift limiting sales to medical use only. PATTAYA, Thailand – Cannabis businesses in Thailand are adjusting to significant changes after the Public Health Ministry announced new rules restricting cannabis use strictly to medical purposes, effectively ending recreational sales. In response, entrepreneurs in major tourism hubs like Pattaya and Chiang Mai have expressed concern over the potential economic impact. Many had invested heavily in infrastructure, staffing, and product development since cannabis was decriminalized in 2022. In Pattaya, some dispensaries have temporarily closed pending further clarification. Others remain operational, focusing on medical use. Pranchai Chaimontree, representing over 100 local cannabis businesses through the Pattaya-Chonburi Cannabis and Medical Economic Entrepreneurs Club, noted that members are seeking guidance and support to ensure compliance and continued viability. In Chiang Mai, dispensary operators also report uncertainty. An employee at Cloud Cannabis near Tha Phae Gate said the shop is reviewing its operations due to potential losses related to stocked inventory and planned expansion. Farmers and dispensary owners are calling for clear guidelines and support as the new rules raise concerns about market disruption. Meanwhile, Pajorn Sampao-ngern, owner of Marijuana MO, emphasized the importance of maintaining access for medical users and called for government support should stricter regulations be enforced. Chiang Mai alone hosts approximately 800 licensed cannabis outlets. Industry representatives warn that if cannabis is reclassified as a narcotic, accessibility for medical patients may decrease, and unregulated markets could expand. Beyond retail, cultivators are also affected. In Nakhon Ratchasima, Somkiat Nitiketkoson, a farm operator, said his business has paused production. He cited both policy ambiguity and challenges in meeting new agricultural standards, including the implementation of Good Agricultural and Collection Practices (GACP). The revised cannabis policy is expected to reshape the sector significantly, prompting both public and private stakeholders to reevaluate their roles and compliance strategies amid Thailand’s evolving regulatory landscape. Licensed cannabis businesses emphasize legal compliance and taxation, and seek government recognition of their role in the regulated economy.
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