Michigan's Booming Cannabis Market Takes A Rest In January: Sales Down 9%

After a record-setting December and an equally booming 2021, Michigan’s adult-use cannabis sales decreased 9% to $152.6 million in January though 41% up from a year ago.

The Michigan Marijuana Regulatory Agency, which breaks down sales by medical and adult-use, reported medical sales falling 32% from a year ago to $28.0 million, down 15% sequentially, and adult-use sales increasing 85% to $124.6, down 8% sequentially, New Cannabis Ventures (NCV) reported.

The state also breaks out sales by category and provides pricing detail for both medical and adult-use. 

In the larger and rapidly growing adult-use market, flower sales represented 57% of the overall market, slightly higher than the 56% in Q4 and similar to the 57% in Q3.

As supply continues to expand in Michigan, Benzinga’s home state, flower pricing for adult-use has seen a dramatic decline. In January, the average price of $2,443 per pound plunged 17% from December and fell 53% from a year ago.

That said, Michigan’s cannabis sales grew 82% in 2021 to $1.79 billion. 

“The program should continue to expand ahead as supply becomes more available and as distribution expands,” wrote NCV’s Alan

Brochstein.

Photo: JRod of Benzinga