Price Gouging is Killing NJ’s Medical Cannabis Program

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Large companies have no good reason to charge double in New Jersey’s medical cannabis program compared to Pennsylvania or New York.

Recently, I conducted a survey of medical cannabis dispensary menus. The products in our so-called Garden State are far more expensive than in Maryland, Massachusetts, Pennsylvania, Illinois, and New York. 

In an era where politicians are falling over themselves to offer lower prices for consumers, regulated cannabis should be a significant part of the conversation. 

The buzzword of “affordability” has been heartbreakingly needed for New Jersey’s medical cannabis for nearly a decade. 

MSO Medical Cannabis Prices Comparison

NJ medical cannabis program
NJ medical cannabis program

The problem is especially acute for cannabis extracts or concentrates. A single gram in NJ can cost between $65 and $95, on average, and that’s 200% or more than in other states. 

As consumers, we recognize when we see unfair prices.

There are also some generally good safety nets of laws and regulations to protect the public from many of the worst kinds of corporate misdeeds. 

However, weed is unique. 

Cannabis permits are issued by States to operate within their borders without any federal oversight. But that grants New Jersey’s elected and appointed officials greater power and far more control over the profoundly important local cannabis market. 

Millions of potentially qualifying medical patients have been kept out of NJ’s medical cannabis program over the last decade by the cost. 

The problem actually got worse when adult-use sales began in 2021. 

The number of patients enrolled in NJ has been cut in half since parallel medical/recreational sales started. That’s despite many grandiose promises from these companies to accommodate and expand medical access. All those pledges were broken. 

Somehow, companies like Columbia Care/Cannabist, Ascend, Terrascend Apothecarium, Curaleaf, Green Thumb Industries (GTI Rise), and others have kept their prices elevated in NJ compared to all the other states in their networks. 

Sky High Prices in NJ’s Medical Cannabis Program

When confronted about inflated prices, I’ve heard industry representatives and lobbyists recite a long list of excuses. Most of them throw shade on NJ’s regulations. 

But, most of the East Coast states now have very similar structures for cannabis. So, it sounds like a symphony of the smallest violins to me. Greed seems to be the only real answer. 

How do these large global corporations and Multi-State Operators (MSOs) keep getting away with it? Methodical control of the wholesale supply is part of the formula. 

NJ’s medical program suffered from limited cannabis products for years. Some of the largest operators closed grow facilities in the last few years. These industrial grows were intended to supply both medical and recreational products. Artificial supply limitations are a classic price-fixing tactic. 

Activists used the proper channels to ring the alarm. 

I happened to be in Ellsworth, Maine in 2021 and passed a local Curaleaf medical cannabis dispensary. There was a small line formed behind a plastic sandwich sign proudly exclaiming, “$60 OUNCES!” Back in New Jersey, the lowest price for one ounce at Curaleaf was around $350.

Serious Influence

After comparing Curaleaf’s menus across states, several of us filed standard price gouging complaints with the NJ Attorney General Matt Patkin’s office. He swiftly replied with the odd position that they could take no action. In their view, NJ did not actually regulate the price of cannabis.

Fast forward to 2023, and Platkin intervened directly on Curaleaf’s behalf. The NJ Cannabis Regulatory Commission (NJCRC) witnessed the company engage in union-busting, so they surprisingly suspended Curaleaf’s operating permits. Even more shocking was that, thanks to a political crony, everything was restored after a single weekend. 

While Curaleaf is a large company today, it began with a single dispensary permit here in NJ. All of the large weed operators have cemented close relationships in NJ for years with politicians in both parties, from Mayors to Governors.

Steep Price Gouging 

NJ happily announced more than $1 billion of regulated cannabis was sold in 2024. Nearly a quarter of that billion were sales to the remaining 66,000 registered NJ medical patients. 

That means each patient spent about $300 per month in the program last year. These patients are getting far less for their money in NJ because of hyper-inflated prices. 

In Pennsylvania, the average wholesale price for medical cannabis flower dropped below $3 per gram last year. As prices decline in Pa., sales are soaring. Since 2017, Pa. has sold nearly $ 7 billion of regulated cannabis. Today, there are more than 450,000 registered Pa. patients. Notably, there’s not an adult-use market in Pa. yet.

NJ medical cannabis program

The Keystone State’s cannabis prices are still declining at a steady pace. Something that helped is a paragraph in the medical marijuana law, section 705 of Pa. Act 16,  which allows regulators to set simple price caps.

New Jersey’s medical cannabis program is extremely valuable for the overall health of our residents. We’ve created a vital care system that operates within our local borders and could serve generations of patients.

Several active bills could provide some life support. For example, A898 would allow innovative insurance subsidies for medical cannabis purchases. Patients would pay little or no fee for products like other insured substances. Another bill, S2921, would allow price caps like Pennsylvania. 

And perhaps NJ Senate President Nick Scutari (D-22-Union) could relent his one-man stranglehold over personal cannabis cultivation. If passed, S1393 would allow patients to keep small home gardens.

New Jersey 2025 Governor’s Race

There will be a new NJ governor elected this year since the incumbent Democrat, Phil Murphy, is term-limited. He heavily promoted legalized cannabis during his two terms. But Murphy has sided with Scutari against home grow, parroting MSO talking points.

The next Governor could help negotiate better prices and improve access. Politicians across the country are standing up for fair pricing in other areas, like pharma drugs. 

Notably, more people in New Jersey voted  “Yes” on the adult-use cannabis referendum in 2020 than cast votes for both the Democrat and Republican candidates for Governor combined in 2021.

New Jersey residents should enjoy the best cannabis at the best prices. That could mean growing at home or even subsidized access. Our compassionate use program deserves to be fully rejuvenated with every effort.

About the Author

Chris Goldstein is a writer from Willingboro who has served on the board of directors for NORML New Jersey, the Coalition for Medical Marijuana New Jersey (CMMNJ), and currently volunteers as a Regional Organizer for National NORML. 

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