Michigan: As Supply Expands, Cannabis Flower Pricing Continues to Decline

In May, Michigan cannabis sales fell 4% compared to April and increased 25% year-over-year to $186.4 million, reported New Cannabis Ventures.

YoY medical sales fell 47.7% to $23.3 million, down 13.9% sequentially. Meanwhile, adult-use sales grew 56.3% to $163.2 million, down 2.8% sequentially, per data from The Michigan Marijuana Regulatory Agency.

Medical Cannabis 

Cannabis operators in Michigan sold 5,860 pounds of flowers to medicinal users in May, for a total of $11,027,687. In addition, over 200 pounds of concentrates for $1,202,591. The edibles segment was the most significant in terms of volume in the medical category: medical cannabis users bought 30,680 pounds of cannabis infused-edibles for a value of 2,998,004.

Adult-Use Cannabis 

Sales of adult-use cannabis flowers equaled 38,676 pounds of flowers for a total of $80,830,696. In May, adults bought 1,083 pounds of cannabis concentrates, spending $10,553,239 on products such as sauces, live resins, waxes, shatters, or crumbles, to name a few. Infused edible sales amounted to 179,671 pounds and $19,184,480. Vape cartridge sales eclipsed the rest of the segments in the adult-use category: $35,024,086 for 3,418 cartridges that were sold.

“As supply continues to expand, flower pricing for adult-use continues to decline. In May, the average price of $2,090 fell 1.8% sequentially and 41% from a year ago,” NCV reported. “Michigan cannabis sales expanded 82% in 2021 to $1.79 billion and are up 27.2% thus far in 2022.”

Photo by William Duggan on Unsplash.