Updated: Dec 21, 2019
CBD is now legal in Thailand following action by the country’s Ministry of Public Health.
CBD oil, with less than .1% THC and which is at least 99% pure is now allowed, and the oil, extracted from cannabis or hemp is no longer a narcotic under Thailand’s Narcotics Act of 1979.
While these standards are more stringent than in the US, where CBD from hemp can contain up to .3% THC, it is a significant move by the Thai government. It is a start in opening the country, with a population of almost 70 million, to medical cannabis that includes THC.
While this legalization of CBD is a tremendous step for Thailand, the sales, imports, exports and possession of any extracts from both cannabis and hemp will be highly-regulated.
CBD oil producers are required to have cannabis production licenses, which are required to process what the regulations view as “narcotic cannabis” into “legal” CBD oil.
Currently, there only a few licensed producers in the country, all of which are either governmental entities or both private and public universities.
It’s likely that clarity regarding the laws and regulations regarding patient access of the CBD oil will be forthcoming. But, it appears that CBD oil prescribed by a doctor trained in the use of cannabis as a medicine, of which there are approximately 1,200 in the country, will be able to prescribe the CBD oil.
Opportunities for Foreign CBD Producers and Global Investors
Thailand’s legalization of CBD is providing a significant business opportunity for foreign CBD producers and global investors. Thailand’s Ministry of Public Health’s new rule also enables both local and foreign investors to invest in the manufacturing of CBD oil from both hemp and cannabis.
The big question is how quickly Thais will be able to actually purchase CBD oil.
The new regulations do not allow imports of CBD oil derived from cannabis or hemp, but not until 2024, five years from now. This was likely done to enable Thailand to develop its own cannabis-derived CBD industry, without domination by foreigners.
A big opportunity for foreign CBD producers and to some extent by global cannabis investors is the ability to participate in the country’s new industry, through investments, strategic alliances and providing expertise.
About FC Global Strategies LLC
Programs and Services for Cannabis and Hemp Growers, Extractors, Edible and CBD Product Manufacturers, and Retailers
• Development and/or evaluation of business models.
• Determination of appropriate corporate structure.
• Development and implementation regarding a merger, acquisition, or strategic alliance strategy.
• Development of corporate finance and capital raising strategies.
• Business intelligence regarding current market trends and implications of current and potentially future competition.
• Insight into the likely changes and future of federal and state laws and regulations and the implications for businesses.
• Assistance with product development including formulation.
• Likely trends and ramifications of product testing, quality control and labeling.
• Development of marketing strategies in an increasing competitive and complex marketplace.
• Business intelligence regarding “what is working and what is not working” in the industry and other geographical markets.
• Sales education for company sales teams, distributors, brokers and budtenders.
FC Global Strategies also facilitates cross-border relationships between US and Canadian cannabis industry companies and entrepreneurs in other countries including strategic relationships.
For Consumer Packaged Goods (CPGs) manufacturers of hemp or CBD food, beverage, or nutritional supplements FC Global provides:
Assistance with product development and formulation
Ongoing evaluation of the likely legal and regulatory changes affecting the manufacture and sales of CPG products, focused on the USDA, FDA, DEA, and FTC.
Assistance with current and likely product labeling requirements
Product branding, marketing, and sales strategies including product launches.
Certain services are provided in conjunction with Phyto Intel LLC and Growth Advisory Group LLC.
FC Global Strategies LLC
Tel. +1 646 450 8909