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Abstract
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Cannabis consumption increases the incidence of psychotic disorders, violence, and cognitive impairments [1]. Governments need to implement progressive tax legislation, such as that which requires the cannabis sector to accept responsibility and account for its contribution to the worsening of these mental health conditions in developing countries. Excise taxes are rarely imposed on the cannabis sector [2], despite the lucrative wealth amassed by this industry. For example, current estimates show that the global cannabis sector was valued at $25 billion in 2021 and is projected to reach $176 billion by 2030, driven solely by cannabis inhalation demands [3]. The projected growth rate of 604% demonstrates the risk of poor mental health and the viability of targeting the cannabis sector with special excise taxes to finance mental health promotion and prevention programmes, which have been neglected in developing countries.
Developing countries, where cannabis use has steadily increased due to unregulated use and widespread substance abuse among the young population, could benefit from implementing these special cannabis excise taxes, especially in light of the current underfunding of mental health services [4] and the government's inability to find immediate resources for mental health funding. However, strengthening tax collection systems will always be critical, which applies to all countries worldwide. For instance, in low-income countries, weak infrastructure and enforcement systems make tax payment optional, while in other middle-income countries, tax collection capacity is underutilised. Poor tax collection systems, ineffective utilisation of public tax money, and lack of appropriate excise taxation present significant risks to optimal mental health financing within the country.
The use of excise taxes to finance health conditions is not new and has been applied in the alcohol, sugar, and tobacco industries. The aggressive taxation of these industries reduced the consumption of these products, resulting in meaningful improvements to population health and generating the necessary revenue [5]. It is high time for the cannabis sector to join the list of excise-taxed industries and for this revenue to be allocated to finance mental health programmes. These cannabis funds should be ring-fenced to support increased investment in a society-wide approach to the prevention, early detection, and treatment of mental health disorders. In any case, current mental health expenditures, which account for less than 2% of government health budgets [4], are insufficient to prevent the current mental health crisis...
Language: en |