The Phuket News Novosti Phuket Khao Phuket

Login | Create Account | Search


Tobacco agency pins hopes on hemp

Tobacco agency pins hopes on hemp

BANGKOK: The Tobacco Authority of Thailand (TOAT) expects lucrative businesses related to cannabis and hemp extracts will help compensate for deteriorating income from tobacco production.


By Bangkok Post

Monday 15 March 2021, 09:13AM


Cannabis is grown on a farm in Nakhon Ratchasima province. The tobacco authority believes the business value of cannabis and hemp could reach tens of billions of baht. Photo: Prasit Tangprasert / Bangkok Post

Cannabis is grown on a farm in Nakhon Ratchasima province. The tobacco authority believes the business value of cannabis and hemp could reach tens of billions of baht. Photo: Prasit Tangprasert / Bangkok Post

TOAT is drafting a ministerial regulation to give the organisation the authority to grow and produce extracts from cannabis and hemp, which can be used in medicine and cosmetics, said TOAT governor Panuphol Rattanakanjanapatra, reports the Bangkok Post.

Although the Tobacco Act stipulates TOAT can produce tobacco leaves and other plants, clarity is needed on TOAT conducting R&D on cannabis and hemp for commercial purposes.

TOAT discussed with the State Enterprise Policy Office and the Office of the Council of State issuing a ministerial regulation for TOAT to be involved with cannabis and hemp businesses.

While cannabis contains a psychoactive substance, tetrahydrocannabinol or THC, it also contains the medically beneficial substance cannabidiol or CBD, which has no psychoactive effects.

The business value of cannabis and hemp could reach tens of billions of baht, which can compensate for a decline in tobacco income stemming from the tobacco tax structure, said Mr Panuphol.

At present, a two-tier system is applied for excise duties levied on cigarettes. A 20% tax rate is applied to the retail price for packs costing up to B60.

If the retail price exceeds B60 per pack, a 40% tax rate is applied.

A flat tax rate of 40% was scheduled to be applied in October 2019, regardless of the retail price, but there has been opposition from the authority and tobacco farmers.

 

Comment on this story

* Please login to comment. If you do not have an account please register below by simply entering a username, password and email address. You can still leave your comment below at the same time.

CAPTCHA

Be the first to comment.

 

Have a news tip-off? Click here

 

Phuket community
Entertainment venue closure extended, snorkeling and diving prohibited

Have the bosses at Cafe Del Mar, in Kamala, been jailed yet for making Kamala a hotbed for COVID-19?...(Read More)


Phuket Opinion: The July 1 dilemma

If Thailand wants to rebuild a major tourism industry, it needs to do one thing. Close down the curr...(Read More)


Phuket Opinion: The July 1 dilemma

"The big question is, if vaccinated tourists do start coming after July 1, what would be the li...(Read More)


Phuket Opinion: The July 1 dilemma

You are correct jamstock...at risk of what ?...(Read More)


Phuket Opinion: The July 1 dilemma

@Heinz, Yes, you are right, and the time between the 1st and 2nd jab of AstraZeneca is quite long. I...(Read More)


Phuket Opinion: The July 1 dilemma

Astrazeneca vaccinations for over 60 start in June! Second vaccination three months later! How shoul...(Read More)


No curfew, but full alcohol ban for restaurants

@Maverick, Let's not focus only on alcohol. It strikes me that at Homepro Village Chalong, HomeP...(Read More)


Phuket Opinion: The July 1 dilemma

Soon Health Minister Anutin will have another big problem at hand. Military crackdown cripples Myanm...(Read More)


COVID passenger warning for Phuket flights

@Christy Sweet, Guess Thailand considers herself this moment not being a foreign tourist destination...(Read More)


Phuket Opinion: The July 1 dilemma

There is only one long term solution: Give the 2 most effective MRNA vaccines emergency FDA approva...(Read More)