Massachusetts Adult-Use Cannabis Reaches Nearly $4 Billion in 2022

Massachusetts CCC report It shows that between January 1 and December 18, 2022, the state collected $1.42 billion in adult sales. In terms of monthly sales breakdown, the state attracted fairly steady sales, with a high of $132.4 million in July, $130.8 million in August, and a low of $110.1 million in February. In December it was just $73 million (because the record ended in February). December 18th, this sales data is low).

Daily sales were particularly high in the final week ending December 25, starting at $3.2 million on Monday, December 12, reaching $5.1 million on Saturday, December 17, and reaching $400 million on December 18. Dropped to $10,000. Consumers in particular this week mostly bought flowers, totaling him over $11 million, followed by e-cigarette related products his $6 million, pre-rolls and food about the same, both around $4 million. was.

Massachusetts legalized cannabis for adult use in November 2018, and since then the state has collected $3.9 billion in total sales. First in October 2020 he reached $1 billion, in July 2021 he reached $2 billion and in May 2022 he reached $3 billion.

Medical marijuana sales for the same period in 2022 reached $260.2 million, dwindling after the best medical sales months in March and April, which attracted $24.7 million and $24.4 million, respectively. A decrease is seen in Massachusetts CCC’s graph shows sales generally declining from that point onwards, dropping to $20.6 million in November and $12.1 million in December.

Total medical cannabis sales reached $929.6 million in December this year, reflecting solid overall growth since November 2018. Sales data before November 2018 Not available before the CCC began administering marijuana medical use programs.

Flower prices have declined over time in the past four years since adult cannabis began. With a few exceptions in March, April and May 2020 due to the pandemic, the average flower price per gram he remained around $14 through June 2021. It rose slightly in November 2022 to $8.07 in November 2022. This is consistent with CCC data showing the state’s history of cannabis cultivation. In terms of plants harvested, the state said he started in November 2018 with just 79 plants. It was followed by 247,793 in November 2019. 699,938 in November 2020. 1,413,311 in November 2021. And finally, a significant increase to 2,655,494 plants in November 2022.

according to boston.com, Brandon Pollock, CEO of Theory Wellness, said the completion of many growing facilities in the past year has contributed to the imbalance between supply and demand. “The last 12 months have been pretty dramatic. On the wholesale market, I think prices can fall by about 50% in a year, but this is only for people who are engaged in the cultivation side of the business. It’s especially difficult for us,” Pollock said. boston.com.

Apothca CEO Joseph Lekach also explained that this imbalance has existed for some time. “A year and a half, two years, three years ago it wasn’t good. It was unbalanced on the high side and now it’s unbalanced on the low side. So this is temporarily good from a customer perspective. ” he said Lekach. boston.com“But many manufacturers and cultivators cut costs wherever possible to survive.

Lekach also estimates that many cannabis companies will go bankrupt by next year based on this current trend. “You never know where the bottom will be, and I think a lot of companies are suffering because of this,” Lekach said. “I think from next year he will probably go bankrupt from next year to 2024.”