Following the November elections, eight states currently offer legal adult use of marijuana. But regardless of the growing competition, Colorado, which have the greatest number of marijuana sales this past year, will probably still bag higher marijuana sales compared to the other states in 2017.
Only four months into the year, the Centennial State is already on course to possess its highest grossing year yet in marijuana sales. During January and February, Colorado racked up $235 million in overall marijuana sales, a 30% spike when compared with the state’s recreational and medical marijuana sales during the same time in 2016, based on a report by Cannabis Benchmarks, a company that monitors marijuana sales and prices.
With Colorado’s city streets filled with marijuana stores selling medical and recreational marijuana goods and its booming cannabis tourism, marijuana sales across the state kicked off 2017 at full throttle. In January of this year, $109 million worth of marijuana was sold in Colorado in medical and recreational markets, a more than 38% increase from what the state had in January 2016, when marijuana consumers bought $88.5 million in cannabis products. Sales in February were even more remarkable, with the state generating $126 million in marijuana purchases compared to February 2016’s $92.7 million.
In total, the country’s marijuana industry grossed over $6 billion in marijuana sales in 2016, $1.3 billion of which was generated from sales in Colorado.
The report said wholesale marijuana prices were down 33% in total, so Colorado customers might be using the reduced-priced marijuana as a way to stock up. The state had 48% marijuana product purchases in January and February than what was purchased during the same time in 2016.
The company mentioned concern over federal marijuana crackdowns, current customers spending more cash on marijuana and new customers going into the market as reasons why marijuana purchases were on the incline this year.
It is expected that Colorado might have a record-breaking marijuana sales and keep its standing as the highest grossing marijuana state in 2017, but that could change once California gets its recreational market ready to go. California won’t execute its recreational program until January 2018 but is anticipated to have about $1.6 billion of revenue within its first year.