Cannabis sales in the US reached a record high in October, with retail transactions totaling approximately US$2.8 billion, according to data from LeafLink, a wholesale cannabis platform.
While sales saw a slight 2.1 percent dip compared to September, they were up 6.2 percent year-on-year. Total retail cannabis sales in 2024 are expected to hit US$32.6 billion, representing a 10.8 percent increase over the previous year.
LeafLink attributes much of this growth to new licenses in states such as New York, New Jersey and Ohio.
Overall, the company projects that 5,000 new non-multi-state operator retailers will open over the next 24 to 36 months. That would represent a 70 percent increase in store count, excluding Oklahoma.
The firm expects the cannabis market to reach US$55 billion by 2030, growing at an annual rate of 11 percent.
Seasonal cannabis trends and price dynamics
LeafLink also highlights trends in cannabis pricing and product preferences.
Cannabis flower remains the most popular product, accounting for 40 percent of retail sales and 39 percent of wholesale sales. Vape cartridges are next in line, accounting for 22 percent of wholesale sales, while edibles, pre-rolls and concentrates account for 14, 13 and 12 percent of wholesale sales, respectively.
Cannabis flower prices averaged US$1,065 per pound in October, a decrease of about US$100 from summer peak levels. Seasonal outdoor harvests in states like Michigan and Arizona contributed to oversupply, driving down prices.
Reduced cultivation capacity in mature markets like California, Oregon and Colorado may stabilize prices.
Maryland and Arkansas saw contrasting price trends during the period, with Maryland experiencing a 23.2 percent price drop and Arkansas reporting a 20.7 percent increase.
LeafLink notes in its report that the growth of the cannabis market is tied to the rollout of operator licenses and the resolution of supply chain bottlenecks. New markets like New York, where monthly sales have tripled in 2024, are poised to make a sudden impact on the overall cannabis supply chain.
Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.