USA Roundup: Investment, Regulations, Marijuana Industry Group, Alaska, Colorado, Mississippi, New Jersey, Nevada, Oklahoma

The Marijuana Enforcement Division released its Market Size and Demand for Marijuana in Colorado 2017 Market Update, which was first published in 2015.

The study was conducted by Marijuana Policy Group. The fifty page document addresses some of the following highlights in the marijuana industry:

• The study creates a “flower equivalent” for concentrates and edibles to assess price and volume comparisons in a more standardized way, as well as a “price per standard serving” across all product categories.
• Total contaminated product over time has decreased – from 9.2% in 2015 to 1.9% in 2017, which is being translated to be improved licensee compliance.
• Price per standard serving has fallen over time. From 2014-17, prices for adult use flower prices fell 62%, and concentrates fell 47.9%. Medical flower fell 40.9% over the same time period, and medical concentrates fell 34.6%.
• Prices are highest in regions where adult use retail access is lowest.
• Edibles account for 13% of the total adult use market, but 25% of tourism markets.
• Medical cultivators are using 58% of their allocated plant limits; retail cultivators are using 34% of their allocated plant limits. The study concludes the market is saturated, with producers adjusting production to pricing and consumer demand.
• Flower potency has remained fairly steady from 2014-17; concentrate potency has increased steadily over the same period, with a 21.2% increase since 2014.
• The growth in market share by concentrates over time has come at the expense of flower sales.
• Further consolidation of businesses may occur as there are still many businesses vying for the same market share.
• The largest 10 operators account for 23.1% of total market sales in 2017

Click HERE for the full report