Taiwan’s cannabis trade falters as Thailand and Japan cash in

Taipei, Taiwan – Joyce Wu was always curious about cannabis.

Wu tried it a few times in Taiwan, where she grew up, but didn’t like the effects and the added fear of using it illegally made the experience less enjoyable. It wasn’t until she came to the United States in 2015 that she felt safe enough to experiment and discover the relaxing effects cannabis can have.

In 2020, as the COVID-19 pandemic enveloped the world in uncertainty, Wu found cannabis was the only thing that helped calm her nerves. She wanted to share its benefits with her friends and family in Taiwan.

“I read a lot of news and wondered if my friends and family in Taiwan will be in the same situation as me,” Wu told Al Jazeera. “I was extremely nervous. And I wanted to help them and show them that something herbal – not like a drug – can help them reduce their anxiety.”

In June of that year, Taiwan’s Ministry of Health and Welfare issued guidelines clarifying that cannabidiol (CBD), a compound found in the cannabis plant, is legal in Taiwan for medicinal and personal use – as long as it does not exceed 10 parts per day. million THC, the psychoactive compound that gets cannabis users high.

The caveat: CBD is classified as a pharmaceutical drug in Taiwan, meaning it can only be obtained with a prescription. Since there are no domestic pharmaceutical companies selling CBD products, consumers must purchase them from abroad or apply to import CBD products from other countries.

Within that gray area, Wu saw an opportunity to start a small CBD company, WeHemppy, from her New York home to cater to Taiwanese consumers. She spent months researching CBD brands and lab testing products to make sure they didn’t exceed Taiwan’s THC limit, which is many times lower than neighboring countries like Japan.

“I thought it was a good idea at the time because nobody was talking about CBD,” Wu said. “It’s also our job to teach people that it’s safe and that it won’t make you dizzy or high. So on our website and social media we try to create an atmosphere that is more like cosmetics.”

Wu’s company is part of a small but growing industry serving Taiwan’s demand for CBD, which is operated from overseas bases in countries such as the UK, US, Thailand and Japan.

While Taiwan positions itself as one of the most progressive countries in Asia on issues such as LGBTQ rights and the death penalty, it remains staunchly conservative on cannabis, even as parts of the region slowly begin to ease restrictions.

Cannabis is listed as a category 2 narcotic alongside coca, amphetamines and certain opioids.

Under Taiwan’s Narcotics Prevention Act, those found guilty of using cannabis can face a maximum prison sentence of three years. Possession with intent to sell carries a minimum penalty of five years in prison and a fine of up to New Taiwan Dollars ($164,000).

In recent years, the island has doubled down on its anti-drug stance. In 2021, Wu Yi-Ming, chief of the Department of Protection Bureau, said Taiwan should “declare war on marijuana”. In March, authorities carried out their largest-ever marijuana bust in Taoyuan, seizing more than 4,000 plants with a market value of 1.26 billion New Taiwan dollars ($41 million).

Still, some Taiwanese are calling for change. Taipei’s annual cannabis decriminalization rally on Saturday attracted thousands of supporters – one of the largest attendances in the event’s four-year history. Some suppliers advertised CBD products for sale at e-commerce companies in the US and Thailand.

At least 100 officers patrolled the event grounds, filming protesters as they marched towards Taiwan’s legislature, chanting “Decriminalize marijuana!” and “End the stigma!”.

In response to the event, the island’s Justice Department reiterated that it “resolutely opposes the decriminalization of marijuana.” The government will “do everything possible to suppress the spread of any drug and work with the public to maintain a drug-free home,” the ministry said in a statement.

The government of Taiwan maintains a position aligned with the United Nations, which states that cannabis use can cause mental and physical health problems, although many countries and US states have relaxed restrictions in recent years based on research confirming its safety for medical use .

Proponents say Taiwan has had no reason to change the law because it remains a minor issue with the general public.

Politicians “need traditional support,” Zoe Lee, a Taipei lawyer who deals with cannabis cases and advocates legalization, told Al Jazeera. “The subject is far too hardcore, too progressive for their constituents to accept.”

Through local advocacy and her podcast In The Weeds, Lee has worked to bring cannabis to the public’s attention. She also chairs the Green Party of Taiwan and ran for the Legislative Yuan in 2020 and for the Municipal Council in 2022, making cannabis reform a focus of her campaign.

Both runs were unsuccessful, though she said they were primarily intended to raise awareness of the issue.

Taiwan’s conservative attitude to drugs can be traced back to the classroom. From an early age, Taiwanese learn about marijuana in school as a gateway drug that can easily lead to tougher drug habits and violent crime.

“A lot of fear stems from a lack of knowledge about these substances,” Lai Yanhe, a doctor and marijuana lawyer who lives in Kaohsiung, told Al Jazeera.

“For ordinary Taiwanese, if you ask them about marijuana, they will consider it a dupin… the word ‘du’ is poison, so it is a substance of poison. Whereas in English a drug or substance has more of a neutral meaning.”

Lai has collected signatures for a petition in support of the legalization of medical cannabis and is calling on other doctors to show their support. It has received only 83 signatures so far, a drop in the ocean compared to the thousands of doctors in Taiwan.

Showing public support for such an issue — especially in a major hospital — could damage a doctor’s reputation, Lai said.

Barriers to legal products like CBD only add to the stigma. Lee and Wu recommend that Taiwanese buyers obtain the proper paperwork — a doctor’s prescription and an approved import application — before attempting to import products to the island.

The other option is to take a risk and hope that a package will not be inspected by the authorities.

“I strongly advise people to get a prescription from a doctor. But I know it’s not practical because it’s very difficult for Taiwanese doctors to understand CBD right now,” said Wu. “99 percent of doctors don’t know what CBD is.”

As for the entry form, Wu said about 90 percent of her clients’ applications are rejected if they don’t have a prescription.

Taiwan’s customs service told Al Jazeera it approved “more than 100” import applications last year, but does not track the total number.

Lee, the attorney, said one of her clients tried to import a CBD product from a foreign company that falsely claimed the product was THC-free. The product was seized at customs and the customer now faces 10 years in prison for drug trafficking.

Lee said there is no “winning” in these cases, only the best possible outcome – meaning pleading guilty to get a reduced sentence.

“We really need to change this as soon as possible. So that’s partly why I’m running next year,” she said.

In Japan, Lull Kyoto became the first CBD cafe to open in Kyoto city in 2021, joining a growing number of stores and coffee shops emerging in the country.

The sale and use of cannabis flower buds and leaves remains strictly prohibited in Japan, and as in Taiwan, the penalties are severe. But thanks to a loophole, CBD is legal for consumption and importation — as long as it’s free of THC.

As CBD has become more popular, Japan’s industry has exploded: Analysts estimate that legal cannabis products could be worth $800 million by 2024.

Japan’s low THC tolerance has also made it a convenient place for Taiwanese to order or purchase CBD online while visiting the country.

“I think Taiwanese are definitely interested because they come to Japan to try. It’s a loss for Taiwanese small business owners who may want to jump into the market,” Jon Nakamichi, co-owner of Lull Kyoto, told Al Jazeera.

“In the greater whole of Asia, CBD is legal — if it’s not available for purchase in Taiwan — still a lot freer than in other Asian and Southeast Asian countries.”

CBD remains a controlled drug in Singapore, while Hong Kong has recently criminalized it, eroding a thriving and well-established industry there.

But the picture from Taiwan is less optimistic. Lee, the lawyer, said recent changes in the region indicate that Taiwan may be falling behind its neighbours. In both Japan and Malaysia, where recreational cannabis laws remain strict, legislators, doctors and lawyers expect medical cannabis legislation to be on the agenda in the near future.

In 2018, South Korea became the first country in Asia to legalize cannabis for medical use. Last year, Thailand decriminalized cannabis altogether.

Lai, the physician and decriminalization advocate, said the Taiwanese government is unlikely to change its stance on cannabis unless the US federally legalizes it for medical or recreational use.

But as more Taiwanese try cannabis in Taiwan or CBD in Japan, the stigma around it may slowly begin to fade, Lee said.

“You used to have to fly all the way to Europe to get a chance to try it,” Lee said.

Now she sees more permissive attitudes in discussions taking place on Internet forums such as PTT, a Reddit-like platform in Taiwan.

“People [on a Thailand travel PTT page] have started talking about cannabis casually,” Lee said. “They don’t treat it like a bad substance anymore.”