SET-listed Thonburi Healthcare Group (THG) is planning to venture into Hemp Smart City development as part of its wellness and medical tourism project in the resort district of Cha-am in Phetchaburi.
Believing Thailand will become a hemp hub in Asia, the company has set up a subsidiary, Thonburi Cannabis Plc (THC), to oversee a hemp business, said THG chairman Boon Vanasin.
THG has diversified into hemp development business as the plant is rich in cannabidiol (CBD) oil, which can be used to treat a number of ailments.
It believes the hemp industry has a high potential to grow due to growing demand for hemp products in both the domestic and overseas markets.
"We expect the hemp industry in Thailand will reach 18 billion baht in value in the next five years," said Dr Boon.
Its Hemp Smart City, which will offer hemp-related products and services, will be developed on an area covering 2,000-3,000 rai under an investment of around 10 billion baht.
"We have cooperated with many partners from many countries including Australia, Malaysia and China to run this project," said Dr Boon.
Suwadee Phanpanich, corporate secretary of THC, said she expects the new company to see a revenue growth of 10-15% a year from sales of a range of hemp-derived products.
"THC aims to sell hemp products to customers in the business-to-business [B2B] and business-to-customer segments," she said.
In the first phase of business development, THC will act as an original equipment manufacturer selling hemp products to other businesses.
In the second phase, THC will open what it calls a "hemp wellness centre" at Thonburi Bamrungmuang Hospital and, in the third phase, it will branch out from the centre to other hospitals under THG.
Sathit Pitutecha, deputy public health minister, who presided over the official opening of THC yesterday, said the government wants to promote hemp and marijuana products as new economic crops to help drive the economy.
Earlier this year, THG announced it will allocate a 300-million-baht budget to a joint venture with Chulalongkorn University to study the medical benefits of hemp, cannabis and krathom in a move to develop commercial products.