Thailand to open more working sectors to foreign companies

More than 7,000 cannabis shops across Thailand have closed after choosing not to renew their operating licences, following the latest tightening of the cannabis business rules.

The Ministry of Public Health in Thailand released new data from Dec 28, 2025, showing that there were 18,433 licensed cannabis shops nationwide. Almost half of the licences, or 8,636 to be exact, expired last year. Only 1,339 businesses, which is about 15.5%, renewed their licences in time, while 7,297 firms exited the market. At the moment, 11,136 cannabis shops in Thailand continue their business operations.

According to the industry experts, the shrinkage in the cannabis sector could lead to losses of tens of millions of baht in sunk investment, including spending on rent, renovations, equipment and staffing. Many of the affected businesses were launched after cannabis was decriminalised on June 9, 2022, when the sector was promoted as a new economic opportunity.

The tightening of the cannabis shops policy that ended recreational cannabis use and restricted legal use to medical and research purposes led to the large-scale closure nationwide. New ministerial regulations have significantly increased compliance requirements for operators.

Many dispensaries are unable to comply with the new, challenging requirement that allows the business to operate legally only if it has a licensed or registered traditional medicine practitioner on-site. For many small operators, the added staffing and compliance costs have made license renewal financially unviable.