The House committee deliberating the budget bill fears the decriminalisation of cannabis could have a negative impact on tourism.
A Palang Pracharath Party MP said the panel raised concerns as it discussed budget allocations for the Public Health Ministry.
Some committee members questioned whether the legal consumption of cannabis would affect tourism and whether there are studies showing how long cannabis stays in the system. They also wondered if related agencies had come up with any measures to prevent schoolchildren from taking cannabis in schools.
Critics say that despite the decriminalisation of cannabis, the government has not introduced enough regulations to prevent its use from being abused.
This could ruin Thailand's reputation as a tourist destination, they said.
The secretary-general of the Food and Drug Administration (FDA) told the panel that the Public Health Ministry has issued a ban on cannabis smoking in public areas and selling cannabis to people under 20 years old.
He added the FDA has approved the use of cannabis as an ingredient in about 1,400 food and beverage products.