The US hashish trade is experiencing speedy development, with retail gross sales projected to exceed $32bn in 2024 and wholesale gross sales reaching almost $12bn, based on a brand new research from Leaflink.
A decade of growth has remodeled the sector from a single-state market right into a nationwide trade supporting 500,000 jobs and over 25,000 companies throughout 41 states with some type of hashish legalization.
As extra states implement authorized hashish frameworks, the market is poised to develop to $55bn by 2030, pushed by new licensing, retail growth, and evolving coverage landscapes.
October 2024 noticed retail gross sales attain an annual run price of $33bn, a 7% year-over-year enhance, the report particulars.
Flower stays the top-selling product class, accounting for 40% of retail gross sales, adopted by cartridges (22%), edibles (14%), pre-rolls (13%), and concentrates (12%).
Flower costs stabilized round $1,065 per pound in October, reflecting seasonal pressures from outside harvests. States like Alaska and Michigan lead in per-capita gross sales, with tourism and mature retail networks driving demand.
Rising markets reminiscent of Missouri, Maryland, and New York are seeing speedy development, fueled by elevated licensing and retail growth. States like Maryland lead in gross sales per retail license, producing $11.6m per dispensary. Conversely, oversaturation in markets like Oklahoma has pushed down gross sales per license to $0.4m, highlighting the necessity for strategic license issuance.
The potential federal reclassification of hashish to Schedule III might elevate the 280E tax burden, growing trade money stream by $2-3bn yearly.
This coverage change, coupled with increasing retail infrastructure, is anticipated to reinforce profitability and market accessibility. Moreover, as main inhabitants facilities set up authorized hashish markets, long-term development alternatives are anticipated.
Whereas the trade faces challenges reminiscent of pricing declines and operational inefficiencies, improved provide chains and strategic market growth are creating new alternatives.
Key gamers are specializing in high-growth states like Illinois, Michigan, and Massachusetts to capitalize on rising demand.
