Possibility of new competition concerns New York’s existing medical cannabis companies – Marijuana Business Daily
Medical marijuana businesses in New York are hopeful that recent and proposed changes to the state’s MMJ program will increase patient numbers and boost sales.
But the five existing companies, currently operating below their capacities, worry those gains could be negated by plans to allow newcomers to enter the market.
“Adding new registered organizations will divide up the patients even more. They need to fix the demand side first and then adjust supply,” said Jeremy Unruh, general counsel at PharmaCann, one of the five registered MMJ organizations that are licensed to grow, produce and dispense medical cannabis.
Earlier this month, the New York State Department of Health added chronic pain to the list of qualifying conditions and expanded the types of products companies can sell.
In other states that allow patients to obtain marijuana for pain, typically 1%-2% of the population signs up for the medical cannabis program. In New York, with a population of almost 19.8 million, that translates to 198,000-396,000 patients – although much will depend on how regulators decide to define chronic pain and if there are any other restrictions around it.