A recent cannabis consumer poll conducted by NuggMD highlights growing concerns about inflation and its impact on affordability within the sector. The survey, conducted digitally from February 27 to March 2, gathered insights from a sample of cannabis users, many of whom consume cannabis for medical reasons. The findings suggest that inflation is posing a significant challenge for consumers, particularly those who rely on cannabis for health and wellness purposes.
In NuggMD latest survey, roughly half of respondents use cannabis predominantly for medical reasons, while the remainder consume it for either recreational purposes or a mix of both. However, due to the high percentage of daily users in the sample, the results are likely skewed toward medical and frequent cannabis consumers, making them a potential leading indicator of broader market trends.
Commenting on the results, Andrew Graham, head of communications at NuggMD, stated: "To me, this poll means cannabis consumers are worried or concerned about inflation, which is obviously not a positive indicator for the sector."
Graham pointed to similar trends in broader economic data, citing a Pew Research poll that found concerns about healthcare affordability have increased by 10 percentage points over the past year. Additionally, medical inflation has been outpacing overall inflation since last June, further exacerbating cost pressures for consumers seeking health and wellness treatments.
The poll results highlight the need for policy changes to alleviate cost burdens on cannabis consumers. "One key issue is IRS Code 280E, which imposes tax burdens of up to 80% on cannabis businesses due to federal prohibition." Graham suggests that repealing 280E would be a straightforward way to reduce costs for consumers.
Alternatively, a policy shift mandating insurance coverage for medical cannabis under state-legal programs could help ease the financial strain on patients who rely on cannabis for therapeutic purposes. Without legislative action, cannabis consumers may continue to feel the squeeze of inflation, potentially impacting demand and overall market stability.
For more information:
NuggMD
www.nuggmd.com