The Pathways to Problems report says any gains from the policy would be offset by costs, organisational issues, and the potential impact on relationships between the school and its pupils.
The report also called for lower drink-drive levels for under-25s and the raising of the legal age of buying tobacco from 16 to 18.
Jenny McWhirter, head of education and prevention at drugs charity DrugScope, said there was no evidence that drug testing in schools actually worked: "There are strong ethical grounds against it and we need the trust of young people."
She added that levels of illegal drug use were similar to a decade ago, even though more young people were being offered them.
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