Thailand’s new leader inherits a $1 billion cannabis industry question
Amid political instability and what many see as the collapse of the Shinawatra dynasty, Anutin Charnvirakul on September 5 became the prime minister of Thailand, riding on his image as the cannabis champion who made the country the first in Asia to legalise the drug.
While Thailand has far deeper problems (Anutin is its third prime minister in two years, a sign of chronic political turmoil) than its flip-flop stance on legalising the plant, the $1 billion cannabis industry is too big to ignore.
That’s why Anutin’s election, which followed the removal of Paetongtarn Shinawatra by the Constitutional Court over ethics violations, has raised questions over whether the cannabis sector would get a new lease on life after a series of erratic government policies.
Context may offer a clearer picture of what comes next for weed in Thailand.
What we know
Thailand first eased restrictions in 2018, allowing cannabis for medical use. It was the first country in Southeast Asia to do so, softening penalties that once carried up to 15 years in prison and a fine of 150,000 baht ($4,700).
In early 2022, Thailand made its most dramatic shift, removing cannabis from the list of narcotics. Anutin, then health minister, was a key backer, calling the move a “win-win” for the Thai people.
The new rules allowed households to grow cannabis without notifying the government, and opened the door for businesses to apply for licenses.
The policy was historic: Thailand became the first Asian nation to legalise cannabis in a region known for some of the world’s harshest drug laws.
By 2025, more than 18,000 licensed cannabis shops were operating, with the Ministry of Commerce valuing the industry at $1.2 billion. Tourists were drawn by the lax regulations, further fueling the boom.
Sans clear-cut rules to moderate its sale, weed grew faster than oversight could keep up with. Authorities began warning of “social harm” from unregulated recreational use, while smuggling surged. Between October 2024 and March 2025, British officials reported that more than 800 cannabis smugglers were arrested and nine metric tons of cannabis were seized.
In June 2025, the Thai government ultimately pumped the brakes on the green rush as they imposed new rules requiring a medical prescription for cannabis purchases, effectively ending the open market. It also bared plans to reclassify cannabis as a narcotic.
The reversal came as Anutin’s Bhumjaithai Party exited the ruling coalition, following Paetongtarn’s ethics scandal tied to a phone call with Cambodian de facto leader Hun Sen about a border dispute.
What’s next?
Anutin has been in office for less than a week. So far, he has focused on assembling his Cabinet, outlining short-term plans for the economy, and preparing to tackle the border dispute with Cambodia.
Though the cannabis issue remains untouched, his stance is anticipated by the thousands of cannabis businesses. Over the weekend, just a day after his election, Anutin appeared in a cannabis-print shirt while meeting prospective Cabinet members.
Anutin’s administration, however, is transitional. He has just four months to govern under an agreement with the People’s Party, which backed his premiership bid.
Analysts see both Anutin and the Bhumjaithai Party as middle-ground actors in the cannabis debate: opposed to re-criminalisation, but supportive of tighter rules on recreational use.
Whether Thailand ultimately prioritises profit or principle remains an open question. As Southeast Asia’s second-largest economy, it stands to gain from a thriving cannabis sector.
But with only months to set clear laws, the future of Thailand’s weed experiment remains clouded in smoke.
This story is written and edited by the Global South World team, you can contact us here.
