BANGKOK, THAILAND – Thailand sharply curtailed its cannabis boom as thousands of shops shut down and strict new medical-only rules took effect.
Thousands of licences left to expire
More than 7,000 cannabis outlets closed over the past year as the government let most retail licences lapse. Of 8,636 licences due to expire in 2025, only about one in six was renewed, while 7,297 shops did not apply for an extension.
As a result, the number of cannabis businesses nationwide fell from over 18,000 to an estimated 11,136. Further thousands of licences were set to expire in 2026 and 2027, signalling the end of the era of free retail sales.
Sales restricted to four types of facilities
Health Minister Pattana Promphat presented the new rules, under which cannabis sales were permitted only in four types of authorised facilities. These were medical institutions, pharmacies, herbal product retailers and clinics of traditional healers.
Every sale had to be handled by authorised staff. Doctors issued prescriptions, while trained personnel dispensed cannabis products.
Government pledges continued access for patients
Officials stressed that medical users would continue to receive treatment.
“Patients who need cannabis for treatment will certainly not experience any shortages,”
said Pattana Promphat, health minister.
Distribution was to take place through doctors in medical facilities, using the nationwide hospital network, which the government said was prepared for the shift. The stated goal was consumer protection and a reduction in negative impacts on local communities.
Higher operating standards for remaining shops
The new framework imposed strict standards on any remaining cannabis businesses. Shops were required to install effective odour and smoke removal systems to avoid disturbing nearby residents.
Premises had to be owned by the applicant or used with a clear legal right, and storage areas required controlled temperature and humidity. At least one trained specialist had to be on site at all times, with training provided by the Department of Traditional Medicine.
From rapid boom to controlled market
Authorities argued that the previous 2016 rules no longer reflected the realities of the expanded cannabis sector. A key problem was the lack of an effective control mechanism for commercial trade.
With the new regulation, the government said it aimed to “upgrade” businesses, placing quality and safety above sheer numbers. Open sales on street corners were declared over, as Thailand moved back onto a strictly medical path.
Debate over the future of cannabis policy
Thousands of shops disappeared from the market because they chose not to enter the new regulated system. The changes raised questions over whether the earlier liberalisation had been too fast, too loose or too politically driven.
Supporters of the tighter rules argued that this consolidation might be what was needed to firmly establish credible medical cannabis. Critics wondered whether Thailand was heading toward a regulated market or the quiet end of a short-lived experiment.