Weed’s next frontier is in Asia
With Thailand’s recent legalization of home marijuana cultivation in 2022 and positive developments in South Korea, Japan, and Malaysia for medical applications, the region is quickly warming up to the benefits of cannabis. Industry experts at Prohibition Partners predict that the weed market could reach $100 billion by 2026. This shift in attitudes towards cannabis has not gone unnoticed by regional businesses. To meet the demands of Asian consumers, companies are gearing up for increased production. One such business is renewable energy firm Gunkul Engineering, which has invested $57.6 million in building new cannabis plantations and extraction facilities, as reported by local media. But it’s not just big corporations getting involved – even smaller companies like Srinanaporn Marketing and Ichitan Group have started selling cannabis-infused snacks and teas in local supermarkets.
Even in Japan, known for its strict laws regarding cannabis possession, the use of cannabidiol (CBD) is gaining acceptance. CBD is an active ingredient in cannabis that does not have psychoactive effects, and can now be found in various products at popular retailers like e-commerce company Rakuten and supermarket chain Don Quijote. In fact, South Korea was the first country in East Asia to legalize pharmaceutical cannabis, and other countries like Japan, Malaysia, and Taiwan are also considering similar moves. It’s only a matter of time before we see a similar trend in recreational use as well.
China, however, remains a bit of a mystery in terms of its stance on cannabis. While the country has a history of negative experiences with opium, it also has a long history of using the marijuana plant for various purposes in its Yunnan province. In fact, China is currently responsible for 70% of the global production of hemp fiber. Extraction of full spectrum hemp oil, which contains CBD, is also legal for export under strict regulation. Andy Li, founder of Yunnan-based Hempson, believes that China’s conservative attitudes may lead to recreational and medical use of cannabis in neighboring countries instead. Don’t miss out on the exciting potential of the Asian cannabis market – stay informed and stay ahead!
