The global movement towards cannabis legalization continues to gather momentum, with countries like Thailand and Pakistan making significant progress.
In Thailand, the cannabis industry is facing a significant challenge: an oversupply of product has led to a sharp decline in prices. The price of dried cannabis flowers has plummeted to less than 2,000 baht ($58.29) per kilogram. This has forced local growers and producers to seek new solutions to enhance the quality and value of their products.
One promising solution is the adoption of Aeroponic technology. This method allows for the cultivation of high-quality cannabis plants that meet the stringent export standards of markets like Europe and Australia, where cannabis can fetch prices of 100,000 baht per kilogram. Oriental Plantation Co., Ltd., located in the Suranaree Industrial Zone in Nakhon Ratchasima, is one company leveraging Aeroponic technology to target these lucrative international markets. They have already secured orders from Australia and Germany.
However, despite these promising developments, the legal landscape for cannabis in Thailand remains somewhat uncertain. While the previous government had taken steps towards legalization, the new administration, led by Prime Minister Paetongtarn Shinawatra, has not explicitly stated its stance on the issue. Shinawatra has expressed concerns about the potential harms associated with marijuana legalization.
Meanwhile, Pakistan is actively exploring the economic potential of cannabis. The Senate Standing Committee on Science and Technology recently heard testimony highlighting the vast market potential of both medical marijuana and its applications in various industries, including textiles, food, and construction. Dr. Syed Hussain Abidi, chairman of the Pakistan Council of Scientific and Industrial Research (PCSIR), pointed out that medical marijuana represents a $30 billion global market, while the broader industrial applications could generate an additional $4 to $5 billion.
PCSIR has already developed a range of hemp-based products, such as tea, cookies, jams, and curative oils. In April, Pakistan took a significant step towards establishing a regulatory framework for cannabis. The Cannabis Control and Regulatory Authority (CCRA) was created with the responsibility of issuing licenses to growers and sellers, as well as designating specific regions for cultivation. The board of governors for CCRA has been finalized, with representatives from the government and the Senate.
The CCRA framework mandates that the THC level in cannabis derivatives cannot exceed 0.3%, aiming to prevent the recreational use of medical products. Penalties for violations are substantial, ranging from 10 million Pakistani rupees ($35,000) to 200 million.
As the global cannabis landscape continues to evolve, both Thailand and Pakistan are embracing the potential benefits of this versatile plant while carefully navigating the challenges of establishing sustainable and responsible industries.
