Could Cannabis Be Bhutan’s Green Gold? The Surprising Economic Potential Hidden in Plain Sight

Bhutan’s cannabis debate is reaching a pivotal moment, as experts argue that leveraging the nation’s abundant cannabis resources could unlock significant economic potential. At the recent international conference on Gross National Happiness (GNH) and Law in Paro, researchers called for a balanced approach to cannabis control—one that capitalizes on economic opportunities while safeguarding societal well-being.

A study titled Cannabis Policy in Bhutan: Examining Cannabis Regulation through GNH by Professor Jay Wexler of Boston University and Sonam Tshering, Associate Professor at the JSW School of Law, presents a compelling case for cannabis decriminalization. The research highlights how legal reforms could generate substantial revenue through taxation, create jobs, and reduce costs associated with criminal justice enforcement.

Though cannabis is abundant in Bhutan, its cultivation and possession are tightly restricted under the NDPSSA Act 2015, which categorizes it as a Schedule I drug. Current penalties are severe, with possession limits clearly defined to distinguish personal use from trafficking. Exceptions exist only for limited purposes like research and fiber production.

Despite these restrictions, cannabis-related cases make up a small fraction of Bhutan’s drug offenses. Prescription drugs are a far greater issue, while alcohol remains the leading cause of mortality. These facts beg the question: is the current zero-tolerance cannabis policy proportionate or practical?

Cannabis presents an untapped resource for Bhutan’s economy. The study points to opportunities in medical research, product development, and exports. Neighboring countries with liberal cannabis policies have demonstrated how legalization can boost national revenue. Bhutan could follow suit, aligning its policies with the GNH framework to ensure economic gains translate to social benefits.

Globally, cannabis has shown promise in managing chronic pain, reducing dependency on more harmful substances, and even generating billions in tax revenue. In Bhutan, preliminary efforts are already underway. A four-acre marijuana plantation in Samtse, owned by Bhutan Nutraceutical, is exploring the development of cannabis-based products under cabinet approval. However, this venture has sparked debate over equity and fairness, as many argue that rural citizens should also have access to this emerging industry.

Advocates for reform propose a dual focus: maintain safeguards against abuse while fostering a regulated cannabis market. The study recommends policies that align with GNH values, emphasizing inclusivity, sustainability, and community well-being.

Decriminalization could also alleviate pressure on Bhutan’s criminal justice system, freeing up resources for more pressing issues. Furthermore, an inclusive approach to cannabis cultivation—enabling rural communities to participate—could provide livelihoods for many and reduce urban-rural income disparities.

Globally, attitudes toward cannabis are shifting. Once criminalized in most countries, cannabis is now legal for medical use in over 20 European nations, and many others have decriminalized possession. Bhutan has the chance to adopt a progressive stance, learning from these examples while crafting policies uniquely suited to its cultural and economic priorities.

Cannabis represents both a challenge and an opportunity for Bhutan. By taking a measured approach, the nation could unlock economic growth, create jobs, and even enhance societal well-being. The key lies in balancing control with liberation—an approach that harmonizes with Bhutan’s commitment to GNH.

Should Bhutan decriminalize cannabis to boost economic growth and create jobs?