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  • Akron Beacon Journal

    Ohio medical marijuana users say prices too high. Will recreational program change that?

    By Patrick Williams, Akron Beacon Journal,

    3 hours ago
    https://img.particlenews.com/image.php?url=2z97lV_0uVHYUj100

    When recreational marijuana sales begin in Ohio by Sept. 7, the state’s medical marijuana program will continue.

    But some patients say they're already shelling out more money to treat their ailments while facing a decline in product availability.

    Nicholas Wojack takes cannabis for pain from a brain tumor that he had removed in 2013 and to treat irritable bowel syndrome. The Jackson Township resident called the prices of products "egregious."

    "The innovation has gone down, and I think it's because they are prepping for rec," he said.

    Tim Johnson, a patient, veteran advocate and owner of Cannabis Safety First, a Columbus-based security consultancy for the cannabis industry and other industries, said some Ohio flower ounces are selling for $300 to $500.

    Johnson, a U.S. Air Force veteran and retired law enforcement officer, consumes marijuana for arthritis and neuropathy under a chronic pain designation, as well as for post-traumatic stress.

    How much does marijuana cost in Ohio?

    A Beacon Journal review of dispensary menus on Friday confirmed equivalent prices for flower, with one-tenth-ounce packages selling for as much as $50 before tax.

    By comparison, an ounce of recreational marijuana sells for less than $30, pre-tax, in Michigan's more established market.

    Jamie Crawford, spokesman for Ohio industry regulator the Division of Cannabis Control, said via email that average cannabis flower prices were just above $22 per one-tenth ounce as of July 15.

    Average prices have recently risen, though. Division of Cannabis Control historical sales data show the lowest-ever average prices for "tenths" (2.83 grams) at $15.30 as of September 2023.

    "Licensed dispensaries are private businesses that set the retail prices of their products based on many factors, such as product types and supply, wholesale prices and demand," Crawford said.

    Tom Haren, spokesman for industry trade association the Ohio Cannabis Coalition, said normal market fluctuations drive up prices of marijuana, the same as other products and services, but said he is not aware of price increases in recent months.

    Though Ohio medical marijuana patients have long voiced concerns about having to pay high prices, Haren said he expects prices to decrease after recreational sales launch. However, he declined to provide a timeframe for when he believes prices will come down.

    Michelle Nary, who’s suffered from cervical cancer, a semitruck crash and multiple surgeries, said she can’t afford medical marijuana in Ohio, even with discounts for her indigent status ranging from 20% to 30%, depending on the dispensary.

    Nary said she feels like she’s financing the recreational market with the high prices she's paying.

    Why these Ohioans rely on medical marijuana

    Nary is among multiple Ohio medical marijuana patients who told the Beacon Journal they get serious relief from the drug.

    Nary underwent a loop electrosurgical excision procedure to treat her cervical cancer in 1993. But she refused chemotherapy. She also used to be a semitruck truck driver and was rear-ended by another semi in 2003. After taking pharmaceutical drugs for chronic pain for her cancer and undergoing multiple surgeries, Nary, a resident of Berlin Heights in northern Ohio, turned to medical marijuana for pain management.

    “It’s the only thing I use for pain,” said Nary, who's now cancer-free, adding that she takes Tylenol PM as an occasional exception.

    Nary credits her medical cannabis use, exercise and diet changes to losing weight and increasing her movement — and she’s trying to reverse her Type 2 diabetes.

    “I wish I could go back to work, but my body just seems to fall apart,” she said.

    Kelly Toole is a former ironworker. He fell in 1998 and suffered two traumatic brain injuries. After that, Toole, who lives between Chillicothe and Circleville, said he was run over by a car and suffered a third TBI.

    After experiencing stomach issues while taking pharmaceutical drugs for the brain injuries, he now takes cannabis for chronic pain.

    Andrew Cordas, a Mansfield-area resident, said he takes cannabis gummies for his chronic arthritis, which is included under the program’s chronic pain qualifying condition.

    He said he believes the state’s companies have people “over a barrel.”

    What's driving up medical marijuana prices in Ohio?

    Johnson alleges some large cannabis companies in Ohio are “hoarding” product and limiting availability of multiple products in anticipation of recreational sales.

    He said businesses' plans seem to be “to jack those prices up real high in hopes that [they] can make a bunch of money off of that and so forth real fast. So, I think it's a disservice to themselves, and it's definitely a disservice to the patients and consumers and just the programs as a whole.”

    Toole said he understands that with specific marijuana cultivars, colloquially known as "strains," Ohio growers are limited in how many they can grow at one time because of physical space constraints. But he said he wishes more companies would change their selections more often.

    Pete Nischt, vice president of compliance and communications for Akron-based Klutch Cannabis, told the Columbus Dispatch that he acknowledges prices are increasing, adding: "The volatility we’re seeing in the market is exactly the same as what we’ve seen in virtually every other market that’s gone through this transition."

    For this story, the Beacon reached out to multiple other businesses that produce and sell cannabis in Ohio, the majority of which have operations in Summit County. They all either declined comment or did not respond to interview requests.

    Looking ahead, Haren said expanding cultivation spaces, additional production capacity and new dispensaries will meet rising demand.

    "Believe me, Ohio operators want consumers to not be buying in Michigan, and they want consumers to not be buying in the illicit market," Haren said.

    How do Ohio's medical marijuana patients feel about the market?

    Johnson said he believes medical marijuana patients in Ohio will leave the program because of increasing prices.

    “I think ... they will head to personal cultivation, or they’ll head to Michigan, or they’ll get it from who they’ve been getting it from for years; I think you’ll see that,” Johnson said. “But overall, I believe once Ohio catches on and gets their sales back down, that’ll bring people back into Ohio.”

    None of the patients with whom the Beacon spoke directly said they plan to let their medical marijuana registrations expire.

    "We take these Ohioans at their word that they sought medical marijuana for treatment," Crawford said. "Arguments that people will leave the medical program for recreational use are arguing the opposite − that people participated in the medical program simply to obtain recreational drugs, and we do not think that is fair to these patients with real medical conditions."

    Rodney Hennessey Jr. of Willoughby, who consumes cannabis for chronic pain and PTSD, reviews cannabis products and provides marijuana education on social media under the name Rodney Hash. He used to work in the cannabis industry in cultivation, processing and dispensing but now works in a factory and does his passion project on the side.

    Some businesses’ tenths in Ohio have remained at or above the $40 price point for the past four years, Hennessy said.

    “To be completely honest, it’s hard for me to even shop in this program anymore because [with] the quality for the prices, it’s easier for me to go up north,” Hennessey said, referencing Michigan.

    Hennessey said he’s also legally growing at home since Ohio’s initiated statute legalizing recreational marijuana took effect last year.

    He said patients will benefit from not having to pay the 10% tax that will be specific to recreational transactions. But he said he believes product costs will remain high due to supply and demand.

    Toole said he recently started a consulting company focused on assisting people who grow cannabis at home, such as people with disabilities and the elderly.

    Toole said he would like to see the state remove patients' cannabis-purchasing limits.

    “I feel that for the medical side, the state should look at removing the limited amount of days for medical,” he said.

    Cordas travels for work and said he’s paid low prices for large quantities of gummies when shopping in other states such as Michigan and New York.

    Across Ohio, though, Cordas said he’s been looking for comparable prices on high-quantity gummies and has been disappointed.

    Cordas said he was told by an employee at one Ohio dispensary that prices are going up in anticipation of recreational legalization.

    “You don’t have to do that,” he said. “All you’ve got to do is say you’re open, and people are going to come in.”

    Patrick Williams covers growth and development for the Akron Beacon Journal. He can be reached by email at pwilliams@gannett.com or on X, formerly known as Twitter, @pwilliamsOH.

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