"Nepal needs a comprehensive cannabis policy"

The introduction of Bhim Upadhyay is not limited to being a former secretary of the Nepal government. In recent years, he has also created a distinct image as a leading advocate for marijuana legalization in the country. Upadhyay seems to be mobilizing both virtual and non-virtual forums to raise awareness about not only the medical values but also the socio-economic benefits offered by this plant.

In his candid tête-à-tête with aarthiknews.com, he divulges his views on how cannabis could act as a potent catalyst for the overall transformation of the country. Excerpts:

1) Thanks to the global waves of marijuana legalisation, the Nepali authorities are also seen to be gearing up to lift the blanket ban on marijuana. While presenting the budget on June, the Finance Minister said that necessary legal arrangements would be made for the commercial farming of this particular plant for medical purposes. What is your take on this?

The United Nations (UN) banned cannabis in 1961, and its member nat followed suit. However, the basis of such criminalization was hollow. The UN argued that the plant was highly addictive and lethal to human health, without scientific assessment or medical evidence. This statement grossly overlooked the wide array of health benefits offered by marijuana.

Notably, the American Medical Asso had prepared a report confirming such benefits, but it was intentionally hidden by the UN and the US for furtive interests. Nepal, being a member of the UN, made cannabis illegal in 1976, largely due to immense pressure from the US. Before the ban, marijuana was a popular cash crop in mid-western and western Nepal, and many people lost a reliable source of income. Moreover, the indigenous knowledge and skills associated with cannabis also vanished, amounting to a significant socio-economic loss.

Nepal voted decisively in favor of reclassifying cannabis (and cannabis resin) under an international listing that recognizes its medical value during a UN vote in 2020

In recent years, the State has realized this loss to some extent. In the budget presentations of the current and the last fiscal years, the topic of marijuana farming for medical purposes has been mentioned. Additionally, Nepal voted decisively in favor of reclassifying cannabis (and cannabis resin) under an international listing that recognizes its medical value during a UN vote in 2020.

2) What are the main uses of marijuana?

There are mainly two uses related to cannabis: medical marijuana and industrial hemp.

  • Medical Marijuana: This refers to the use of the Cannabis sativa plant or its extracts to treat symptoms of illness and other conditions. THC (Tetrahydrocannabinol), a psychoactive compound, and CBD (Cannabidiol), a non-psychoactive compound, are two key cannabinoids found in the marijuana plant. These cannabinoids effectively treat various conditions, including chronic pain, epilepsy/seizures, cancer, anxiety/depression, sleep disorders, and glaucoma. Medical marijuana can be consumed in various forms like smoking, vaping, edibles, pills/capsules, etc.
  • Industrial Hemp: This is a variety of the Cannabis sativa plant species grown specifically for industrial uses. Unlike marijuana, this kind of hemp contains very low levels of THC. Industrial hemp is applied in manufacturing around 100,000 products.  Thy are related to fiber and textiles (ropes, clothing, bags, etc.), building materials (biodegradable plastics, composite construction materials, etc.), food and beverages (salads, smoothies, baked goods, cooking oil, milk, etc.), health and wellness (CBD oil, creams, balms, etc.), and automotive (biofuel, bioplastics, etc.), among others.

3) How can Nepal reap benefits from cannabis?

Cannabis plants grow and thrive naturally in many parts of Nepal and are reputed internationally for their strain quality, primarily due to the country's unique climate and ecology. Compared to other products, marijuana offers more attractive competitive advantages for Nepal.

In the US alone, where 24 out of 50 states have legalized marijuana, the demand for medical marijuana stands at $240 million and is growing by 15 to 20 percent annually.

With significant demand and high arithmetic value, medical marijuana fetches substantial prices in the international market. In the US alone, where 24 out of 50 states have legalized marijuana, the demand for medical marijuana stands at $240 million and is growing by 15 to 20 percent annually. A gram of such marijuana currently fetches anywhere from $10 to $20.

Regarding industrial hemp, its global market size is also substantial and growing. In 2024, the market is estimated to be worth approximately $6.3 billion, with projections indicating it could reach $16.82 billion by 2030, growing at a compound annual growth rate (CAGR) of 17.5%. These data indicate that Nepal can make good earnings through the production, cultivation, and sales of marijuana.

4) Could you shed light on the medicinal prospects of Nepali cannabis in the global market?

I have already pointed out the rosy scenario of the international market for medical marijuana. International pharma giants like Pfizer are investing millions of dollars in producing drugs containing cannabis. In this regard, we can sell certain major compounds of the plant as raw materials to them or impel them to come to Nepal to manufacture drugs based on such compounds.

5) What steps should the government take to fully capitalize on cannabis plants?

First and foremost, the government must address major anomalies related to these plants. There is the smuggling of weed worth Rs 50 billion annually out of the country. Additionally, marijuana worth Rs 200 billion is destroyed every year by the Nepal Police. These activities are making a big dent in state coffers.

There is the smuggling of weed worth Rs 50 billion annually out of the country. Additionally, marijuana worth Rs 200 billion is destroyed every year by the Nepal Police

It is mandatory for the government to come up with a comprehensive marijuana policy. The policy should be devised through intensive discussions and interactions among concerned stakeholders. Merely mentioning commercial farming is insufficient.

6) In your view, what could be the major focus areas of the policy?

The policy needs to treat cannabis as a viable industrial and medicinal product. Key areas requiring due consideration include researching genetic mutations, creating quality seeds, establishing state-of-the-art refineries, and building well-equipped labs for the certification process. In my opinion, allowing weed for recreational purposes is also something the policy should consider.

There has been no record of overdose or death associated with marijuana. People smoking pot for the "high" are often found to exhibit virtues like friendliness, creativity, and compassion, in contrast to those consuming alcohol, who may display negative behaviours like anger, violence, and waywardness. Approximately 80 percent of crimes worldwide are associated with alcohol consumption. Hence, continuing to totally ban weed for recreational purposes is imprudent.

There has been no record of overdose or death associated with marijuana. People smoking pot for the "high" are often found to exhibit virtues like friendliness, creativity, and compassion

Legalizing weed for recreational purposes has two major economic benefits. First, it will control illicit transactions of marijuana and related products, generating significant revenue for the government. Second, it could boost the tourism industry, as cannabis tourism has become a major attraction in countries that have legalized pot. Before 1976, many foreigners visited Nepal to enjoy cannabis.

There is huge potential for international companies to invest in cannabis farming. The policy can include provisions to attract foreign investment.

7) Are there any other factors that need serious attention while legalizing commercial farming of marijuana?

Yes, there are. The government must ensure that licenses for marijuana farming are distributed to the right parties. Clandestine groups engaged in the illicit trade of cannabis currently pocket good profits. The current Narcotics Act allows limited cultivation of cannabis, but these groups have prevented it from happening to serve their hidden agendas. If they get licenses for commercial farming, it will do more harm than good.

Carrying out mass production of cannabis in a well-orchestrated manner is imperative. This will help Nepal establish itself as an international hub for both medical and recreational marijuana

Carrying out mass production of cannabis in a well-orchestrated manner is imperative. This will help Nepal establish itself as an international hub for both medical and recreational marijuana. After all, marijuana could be a game-changer for the overall development of the nation.