Current Data

U.S. Cannabis Spot Index down 0.8% to $1,516 per pound.

The simple average (non-volume weighted) price increased $2 to $1,771 per pound, with 68% of transactions (one standard deviation) in the $1,005 to $2,538 per pound range. The average reported deal size was 2.3 pounds. In grams, the Spot price was $3.34 and the simple average price was $3.90.

The relative frequencies of trades for each grow type were essentially unchanged from last week.  

The relative volume of greenhouse flower contracted by about 2% this week. The relative volumes of indoor and outdoor product each expanded by about 1%.

New data this week out of Michigan shows that the state’s young adult-use market saw a sales boom in March. Combined with revenue generated by medical cannabis dispensaries, total legal cannabis sales in Michigan reached over $145 million. Notably, Michigan’s March sales outpaced by a significant measure the over $109 million in revenue racked up by licensed retailers in Oregon in the same month, despite Michigan’s adult-use market being open for fewer than 18 months, making it roughly three years younger than Oregon’s. 

As we have noted in our reports throughout this month, the younger markets of Massachusetts, Illinois, and Michigan are now seeing sales comparable to or in excess of those out of more mature, but less-populated Western states, such as Oregon and Nevada. Despite rapidly-climbing sales, however, the state Spot Indices of Illinois and Michigan have both trended downward so far this year, indicating that production capacity in each state continues to ramp up and is better meeting demand compared to a year ago. 

The U.S. Spot has exhibited modest gains this month on the back of rising supply side rates in California and Arizona. Producers in Arizona are still building out additional production capacity after a faster-than-expected start to adult-use sales. California’s composite price has been lifted in part by the robust premium commanded by indoor-grown flower in the state, which is unique amongst other large Western markets.