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We do not oblige veterans to purchase higher-priced cannabis products, while hiding access to lower priced cannabis products

The changes to veterans’ access to medical marijuana have long been expected after auditor general Michael Ferguson reported in May that medical marijuana cost Veterans Affairs more than $20 million for pot last year, up from $5 million a year earlier.

Canopy Growth Corp., the largest of the publicly-traded marijuana companies, was the top market mover Tuesday afternoon with some 13 million shares changing hands. Its stock was down 15 per cent at $8.89. That decline comes off after shares in the company reached a peak of more than $17 a share last week.

Though it was the most heavily traded Tuesday, a Canopy Growth spokesman said the changes will not have a material effect on the company, as less than two per cent of its clientele is composed of veterans.

“We do not operate separate websites for veterans. We do not oblige veterans to purchase higher-priced cannabis products, while hiding access to lower priced cannabis products,” it said in a statement.

Shares in Aphria, one of the licensed producers named in the Vice report last week, were down 16 per cent to $4.75 per share. Aphria could not be immediately reached for comment Tuesday.

Veterans are the only group of medical marijuana patients whose prescription costs are covered by the government. Most private insurers and health benefit plans do not subsidize the costs for patients as they do for pharmaceuticals.

Patients’ advocacy group Canadians for Fair Access to Medical Marijuana applauded the changes introduced Tuesday–saying the current rate of coverage was unsustainable and that the price limit will help curtail unethical pricing practices.

Trading in the sector has been extremely volatile in the weeks since the U.S. election–when four more states voted to legalize recreational usage. The volatility also comes ahead of a task force report on marijuana legalization and regulation expected to be turned over to the federal government at the end of the month.