The saying goes, “The grass is greener on the other side.” In Nepal, however, green exists in a grey area of legality.
Once relatively isolated from the outside world, Nepal stepped into the global spotlight in 1953 when Sir Edmund Hillary and Tenzing Norgay successfully ascended Mount Everest. Among the influx of global visitors were Western hippies, disillusioned by post-war realities, drawn to Nepal’s spiritual ambience and then-legal marijuana.
The Golden Era of Cannabis
During the 1960s and 70s, Freak Street in Basantapur, Kathmandu, became a haven for peace-loving travellers seeking cannabis. Marijuana was widely available, and many poor farmers cultivated it at home for personal use, industry, and livelihood. The open sale of hashish and marijuana along the Hippie Trail created a unique economic and cultural atmosphere.
The cannabis industry in Nepal collapsed in the 1970s because of the global prohibition movement spearheaded by US President Richard Nixon’s 'War on Drugs'. But the golden era of cannabis would collapse soon. US President Richard Nixon spearheaded the “War on Drugs” global movement, causing pressure on the government to enact the Narcotics Drug Control Act in 1976. It led to the official ban on the open sale of marijuana. What followed was the subsequent decline in the hippie influx.
Despite the ban, marijuana and cannabis continue to carry religious significance. During the Shivaratri festival, devotees openly consume marijuana as a prasad of Shiva, a Hindu deity.
The Shift Towards Re-Legalisation
Discussions about legalising arise from time to time. While open access to cannabis and hashish is no longer common, these substances remain abundant, with their use and trade shifting underground, still attracting modern-day hippies seeking a ‘free’ lifestyle.
According to research by Nabin Pathak, cannabis legalisation is a system of production and sale of cannabis that is not considered a criminal activity under the regulation of specific laws. Another aspect of decriminalisation is the removal of criminal sanctions against specific actions or behaviours.
In the context of cannabis, decriminalisation would maintain its legal status, except for possession of a specified amount. Pathak expresses concern that the possibility of legalising cannabis would lead to it being more widely used for recreational and medicinal purposes. The risk of black-market access for medical cannabis will likely increase, blurring the line between medicinal and recreational use.
In recent years, Nepal’s attitude toward cannabis, particularly its medicinal value, has shifted. In 2020, Nepal’s then Health Minister Birodh Khatiwada publicly opposed prohibition and sponsored a private bill to repeal the Narcotics Drug Control Act’s ban on cannabis use. This move signalled a growing recognition of the medicinal benefits of marijuana and probable changes in policy.
Economic Potential and Market Demand
Historically, Nepali marijuana was popular across the U.S., Thailand, Malaysia, Hong Kong, India, and other nations. Its unique flavour and chemical profile made it highly sought after.
“Nepal is losing out on a great opportunity to top up its dwindling foreign exchange reserves because of the government’s reluctance to legalise cannabis,” Sunny Mahat stressed.
In August 2024, Anubandha Pradhan of the Nepal Ganja Baidhanik Maha Abhiyan and Rhigendra Giri of the Nepal Farmers’ Association went on a hunger strike, demanding an overdue hearing on a four-year-old petition to legalise medical cannabis.
Their campaign brought attention to marijuana’s potential to enhance livelihoods, advance health, and stimulate the economy and tourism industry. After rallies, sit-ins, and demonstrations failed to gain traction, activists resorted to a hunger strike as a final act of urgency.
According to a 2020 report by the Narcotics Control Bureau, around 75% of cannabis users in Nepal are under 30. Roughly 25% attribute their usage to peer pressure, a factor especially relevant in adolescence and early adulthood. This emphasises the necessity of youth counselling and guidance if legalisation moves forward.
Government Initiatives and Legislative Changes
For the fiscal year 2024–25, the government has announced plans to legalise cannabis cultivation and its medical use.
“There will be legal arrangements for commercial cultivation of marijuana for medical use,” said Finance Minister Barsaman Pun during a parliamentary session.
Home Ministry Secretary Eknarayan Aryal added, “A study is underway to assess the types of marijuana grown in various locations nationwide.”
In response, researchers and policymakers stressed the need to amend the Narcotics Drug Control Act, 2033, and to utilise fallow land for cannabis cultivation. Dr Dipak Kumar Kharal, Secretary at the Ministry of Agriculture, emphasised removing existing legal hurdles to unlock the plant’s potential.
The government announced plans to legalise marijuana cultivation and use specifically for medical purposes in the upcoming fiscal year 2024/25. The resurgence of marijuana is also about using a historically valuable resource to meet today’s economic needs and improve public health. With its lower potency compared to opioids and its broad chemical versatility, cannabis has the potential to expand beyond medicine into various industries.
With proper planning, regulation, and oversight, the historical relationship with cannabis could be transformed into a sustainable, thriving industry. The government, businesses, and agricultural sector could all gain greatly if the nation becomes a major producer of cannabis. This would stimulate the economy, revive tourism, and generally raise living standards.
Sudipa Mahato is a junior editor with Nepal Connect.
