Buying Legal Weed Has Benefits
Say what you will about how the Canadian government rolled out the commercialization of Recreational Cannabis, there are benefits to buying legal weed. We know the farmer who grew the plant and there is accountability built in throughout the system, because Licensed Producers follow the Cannabis Act, plus multiple jurisdictional regulations from a remarkable number of government agencies. Regulated labeling provides us a rudimentary understanding of cannabinoid and terpenes percentages. The attached excise tax stamp tells us the product is tamper free. All this data informs the consumer, the Cannabis we buy from the legal markets is safe; it will not kill us.
As legit Recreational Cannabis consumers, we have the power. We can keep everyone within the supply chain accountable. If I buy an inferior product, I can complain directly to the dispensary and/or the grower. If these businesses are not receptive to my complaints, I can report the issue to the applicable government agency. Yes, this last action is rather extreme, more likely I would simply stop buying my Cannabis from these businesses. But, in the process, I will tell my friends of my experience and take my dollars elsewhere. There are advantages to buying my weed legally.
Cannabis adds to our economy with a promise for more growth. By 2021, this new industry had created close to 151,000 jobs related to Cannabis, contributing $43.5 billion to Canada’s GDP. In the workplace we have new positions such as, Bud Tenders, Heritage Growers, Breeders, Influencers, Cannabinoid Researchers, and Coaches. Government has benefitted from the windfall $8.65 billion of revenue collected from the legal Cannabis we bought. As one of the first countries in the world to legalize Cannabis sales, we can be world leaders in a whole new field of education, training, and research. With assistance from industry and government grants, Universities and Colleges should be well ahead of their international competitors. As a restricted industry, Cannabis businesses have definitely earned their way into the mainstream.
Remember how legalizing weed was supposed to stop the non-regulated (Black/Silver/Illicit) markets? Now consider cost, the major drawback to commercial Cannabis. The excessive Pigouvian taxes, designed to correct any negative externalities cause by societal harms along with industry fees inflate shelf prices, driving some consumers to seek more affordable alternatives. This means the non-regulated grower has a larger profit margin than the Licensed Producers’. A government talking point is purchases from illegal sources has dropped from 51 per cent in 2018, to 21 per cent in 2023. They then relate this to an associated reduction of organized crime selling Cannabis. This is all good, I guess. However, when I connect the dots, I see how non-regulated Cannabis dealers are still players in the game by keeping their prices lower.
The fact the non-regulated market remains is more than just an annoyance to every legit Licensed Producers following the rules. It ignores the harm being done to a newly minted industry. Although the government is proud of the decline in the illegit market purchases, there is still illegal “dangerous marijuana out there.” I should remind you, Cannabis by itself is not lethal, but the government keeps broadcasting non-regulated weed can be tampered with. If the government truly wants to eliminate the non-regulated market, they might consider subsidizing Medical Cannabis costs, using some of that huge surplus of dollars they have from the legalization of Recreational Cannabis.
By now we know, society is not hurting any more than usual, because we legalized weed. After paying societal expenses associated with Cannabis, the government is left with billions of dollars, suggesting the Pigouvian tax can be removed. One less tax to pay allows Licensed Producers to lower their prices, which will help them compete with the non-regulated market government hates so much.
Some argue the legalization of Cannabis has merely introduced another substance of misuse. However, this perspective often relies on outdated, stigmatized research. After seven years of legal Recreational Cannabis, the data suggests its societal costs as a substance of misuse are minimal. Applying a risk-benefit analysis to the Cannabis industry would likely yield positive outcomes. While Cannabis is indeed another legal intoxicant, buying weed from Licensed Producers ensures a regulated product—one that does not pose the risk of fatal contamination. In these troubled times any substance that brings people joy, without the threat of death, should be seen as a net benefit, rather than a societal burden.
KN