The medical cannabis industry in Australia has grown into a multi-million-dollar sector, catering to rising public demand for alternative treatments. According to a report published by the Penington Institute, Australians have spent more than A$400 million on medicinal cannabis during the first half of 2024. Once considered a niche product, cannabis is now serving as a popular alternative medicine for managing chronic pain, anxiety, and cancer-related symptoms.

Traditionally, patients accessed medicinal cannabis through their general practitioners. However, now, people are opting for telehealth consultations with private cannabis clinics to fast-track the process. These clinics have emerged as major contributors to the growing cannabis market despite several controversies. 

A recent study has exposed concerning practices among these clinics, from aggressive marketing to outright violations of regulatory guidelines.

Medicinal Cannabis Is Legal but Costly

Since medical cannabis was legalized in Australia in 2016, patients struggling to find relief with conventional treatments saw a ray of hope. Doctors have been prescribing cannabis in the form of capsules, oils, and dried flowers for various medical conditions.

However, the Therapeutic Goods Administration (TGA), Australia’s medicines regulator, has not approved most of these products. Medicinal cannabis is also not subsidized under the Pharmaceutical Benefits Scheme, so patients must bear the full cost, which ranges from A$50 to A$1,000 per week.

According to a survey conducted in 2022–2023 by the National Drug Strategy, around 700,000 Australians used medicinal cannabis in the preceding year. This shows a tenfold increase in prescriptions since 2019. While these numbers signal broader acceptance, they also highlight the growing tension between patient needs and regulatory oversight.

Marketing Practices in the Spotlight

The growing number of private cannabis clinics has raised red flags, especially over their questionable marketing strategies. According to TGA guidelines, medicinal cannabis clinics are prohibited from advertising products to the public. This rule is aimed at preventing unnecessary demand and unsafe prescribing.

The TGA also issued fines exceeding A$1.1 million to businesses violating these rules in 2023–2024. The allegations ranged from promoting cannabis for serious medical conditions to implying TGA endorsements.

To assess the extent of compliance, researchers analyzed the websites of 54 private medicinal cannabis clinics. Using search terms such as “plant medicine” and “green medicine,” they examined whether these clinics adhered to TGA advertising guidelines. The findings revealed widespread breaches, with many clinics deploying tactics that pushed the boundaries of permissible marketing.

Findings of the Research

The study identified several recurring issues, the most frequent being the use of cannabis imagery on websites and logos. To sidestep the TGA’s restrictions, clinics avoided terms like “medicinal cannabis” in their names, opting instead for vague phrases like “plant medicine.” Some even showcased awards from cannabis industry bodies to bolster their credibility.

A particularly concerning trend was the use of unsubstantiated health claims. Some websites suggested that medicinal cannabis could treat conditions such as anxiety, depression, and other mental health disorders. These claims mirrored earlier research on misleading promotional content shared on social media.

Many websites also included self-assessment tools, encouraging users to gauge their own eligibility for medicinal cannabis. These tools often guided visitors to seek prescriptions, potentially fostering overuse or misuse of cannabis products.

Other notable marketing strategies included same-day or after-hours delivery, waiving general practitioner referrals, offering discounted consultations, utilizing targeted social media ads, and more. These practices directly undermine the intent of TGA guidelines, which are designed to ensure ethical prescribing to safeguard public health.

Public Safety Concerns

The implications of these breaches extend beyond marketing. An alarming ABC media report from 2024 highlighted unsafe prescribing practices, including clinics selling THC-containing products to individuals with psychosis or other mental health conditions, a practice known to exacerbate such issues.

Striking a Balance Between Access and Ethics

Private medicinal cannabis clinics have undeniably improved access to cannabis products for many Australians, offering convenience and expanded treatment options. However, this accessibility must be balanced with ethical responsibility. Some clinics exploit regulatory loopholes, prioritizing profit over patient safety. The use of ambiguous terms like “plant medicine” may adhere to the letter of the law but risks misleading vulnerable consumers.

To protect public trust and well-being, regulatory bodies like the TGA must enforce stricter compliance measures and impose heavier penalties for violations. Clinics must prioritize transparency and responsible practices to align with their patient obligation. While medicinal cannabis offers immense potential, its promotion and prescription must remain firmly rooted in ethical medical practices.