Aussie Weed Prices

Cannabis prices fluctuate based on the typical factors which most consumer goods do - quality, supply, and demand. However, with recreational weed (currently) illegal in Australia, prices must also factor in a degree of risk. So how much does weed cost in Australia?

Here's a list of the latest weed prices in Australia:

Cannabis Price FAQs

Questions? Have a read of the most asked questions about how much weed costs in Australia:

Why do the prices differ from city to city?

Unlike typical consumer goods, which are priced relatively similar throughout the major capital cities in Australia, the story's a little bit different for weed. But why?

One word - illicit.

Weed is still illegal to grow and sell for recreational purposes, except in the ACT who've now legalised growing it but it's still illegal to sell.

Every extra kilometre weed must travel to reach its consumer, increases the risk of seizure (which still occurs frequently across Australia) or something going wrong during transit. And more risk, equals a higher price to pay.

As such, the most isolated cities such as Perth, Darwin, and Hobart, have the highest prices of weed in the country.

Is there a price difference between black market and medicinal grade marijuana?

Yes - black market weed is still significantly cheaper than going through the official routes.

Australia's healthcare and drug administration systems are some of the most stringent in the world. It's filled with rules, regulations, taxes, tariffs, red-tape, and a whole lot of auditing and due diligence.

Cannabis being grown in medical facilities

All those factors push the price of medical marijuana far above the current rates for black market weed.

Keep in mind, however, all those factors also ensure the marijuana you're going to be consuming is some of the highest quality, and safest in the world.

Want to know who's currently serving the Australian demand for medicinal marijuana? Check out some of the companies leading Australia's medical cannabis industry, including Australian Natural Therapeutics Group (ANTG) and Cannim.

How do Australian prices compare to other countries?

As Australia benefits in many ways when it comes to being an island, there are some negatives as well.

For consumer products, that generally means paying a higher price for the same items in other countries, simply because it's harder to bring the product to our shores.

There are only two ways to get weed into Australia - boat or plane. Both extremely risky and expensive, further increasing the price end-consumers must pay for the product.

Of course, that's not stopping many individuals and organisations from cultivating their own weed right here in Australia. And many do it successfully, but there are also many who become subject to police raids, have their crop seized, and ultimately destroyed.

For comparison, a gram of weed in Ontario, Canada, will cost you around $5-$10. Down south in Colorado, the first state in the US to legalise recreational cannabis, a gram of quality cannabis will set you back around $5.

What will happen to weed prices when recreational cannabis is legalised in Australia?

Surprisingly, it's not what you may think. Just because recreational weed may now be legal in Australia (like it already is in the ACT), doesn't automatically mean it's going to be cheaper than continuing to buy from the black market.

For starters - there are far more extra costs producers and retailers bear than your local street dealer.

Safety, regulations, taxes, employees, payroll tax, land tax, rent, production costs - these will all be factored into the price of weed when Australia finally legalises it.

In saying that, there is good news - prices will come down, eventually. We don't have to guess, because Australia's economics are quite like the US, and some of their states have legalised weed more than 6 years ago - such as Colorado. So how have their prices reacted to legalisation?

Colorado first legalised weed in January 2014. Here's a graph showing the effect on prices.

Gram of weed price in Colorado after legalisation

As you can see, prices increased for the first 6 months, then declined on a steady pace for the years to come. The same is seen in Washington, who legalised in July 2014.

Gram of weed price in Washington after legalisation

Special thanks to Grizzle and BDS Analytics for providing the graph and data.

Safe to say that we'll likely see a similar thing happen to Australia weed prices after it's legalised for recreational purposes here as well.

Remember - although prices of weed may come down after legalisation, doesn't mean it's going to become socially acceptable to drive on cannabis. The penalties are heavy, and you are a danger to yourself and others whilst driving on cannabis.

As support for cannabis legalisation grows across Australia, with recent surveys showing more Australians support legalisation than oppose it, we can expect the conversation around pricing to become increasingly relevant.

The current medical cannabis industry is projected to be worth $1.5 billion by 2024, showing just how significant this market could become once recreational use is legalised.

More questions on the price of weed in Australia? Leave a comment below!