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Thailand’s Cannabis Industry: A Big Source of Government Revenue

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With over 18,000 legally registered cannabis-related businesses in 2025, including a mix of growers, extractors, and shops, the Thai government earns substantial revenue annually now through various licensing fees:

 

Cultivation and Extraction Licenses: THB 50,000 for 3 years

Retail Licenses: THB 3,200 for 3 years

Sales Licenses: THB 5,000 for 3 years

 

Even conservatively, licensing alone generates at least THB 1 billion per year for the government, not including additional company registration fees or other related taxes. The large number of retail shops and growers together make this industry highly profitable both as a new agricultural industry for Thailand, but also for the government.

 

Cutting off this added revenue now would be unwise, especially given the government’s ongoing struggles to raise funds. A clear example is their recent, rather desperate attempt to tax incoming overseas income for anyone residing in Thailand over 180 days, which has not gone smoothly. On top of that, having to cut import duties on American-made goods recently only worsens their fiscal position. So it seems cutting off this new revenue stream would be a really bad move for the government. 

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5 minutes ago, FriscoKid said:

With over 18,000 legally registered cannabis-related businesses in 2025, including a mix of growers, extractors, and shops, the Thai government earns substantial revenue annually now through various licensing fees:

 

Cultivation and Extraction Licenses: THB 50,000 for 3 years

Retail Licenses: THB 3,200 for 3 years

Sales Licenses: THB 5,000 for 3 years

 

Even conservatively, licensing alone generates at least THB 1 billion per year for the government, not including additional company registration fees or other taxes. Retail shops and growers together make this industry highly profitable for both business owners and the government. Cutting this off this added government revenue now would be unwise, especially given the government’s recent struggles to raise revenue, including their most recent desperate looking attempts to tax incoming overseas income for anyone residing in Thailand over 180 days.

The Thais have yet to tax the product itself. A friend who owns a dispensary puts a percentage of all sales aside for "when they come for money"

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I think, at a minimum, VAT (7%) should be collected on all cannabis sales.

 

But I think there is a minimum sales threshold (1.8 M) for VAT registration, so many of these shops may not be collecting it.

 

 

 

 

  • 2 months later...

I think they should tax it. It is so cheap now I certainly wouldn't mind a  tax.

 

My reasoning is similar to the licensing income, the more the govt makes the less likely they are to change the laws. 

 

Canada collected 4.5 billion$ since it was legalized. 

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