Weed Sales Lead Connecticut's Cannabis Market Growth Despite Drop In Medical Sales

Connecticut’s cannabis market is showing indications of a continued upward trajectory, according to last month's combined marijuana sales.

The data from the state Department of Health and Human Services revealed recreational cannabis sales reached $17.9 million in August, while medical sales dropped to $7.6 million, totaling $25.6 million for the period. That's up from, $24.6 million in July and $23.9 million in June, as highlighted by Green Market Report's John Schroyer.

Residents purchased a total of 466,776 recreational cannabis products last month, and 220,608 medical marijuana products.

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The year-over-year average price of a gram of marijuana flower climbed to $11.61 from $9.68 in September last year. Still, last month's average price was lower than the $12.32 flower price in January 2023, when the recreational cannabis market kicked off.

Connecticut’s cannabis industry, experienced its first sales dip this past January when sales fell to $15.61 million from December’s $17.18 million.

The downward trend was attributed to a broader issue of limited product variety and supply shortages – a result of the state’s rapid market expansion, which has outpaced the supply chain’s ability to keep up, as earlier highlighted by Benzinga's Nicolás Jose Rodriguez.

As for August's strong sales figures, Ben Zachs of Fine Fettle, said the uptick in recreational cannabis sales could be a result of a month with five weekends and the opening of seven new stores. Fine Fettle was one of the first businesses statewide to jump on the new opportunity and launch recreational marijuana sales in January 2023.

"We think rising tides lift all ships, however, August, fundamentally, was an excellent, excellent month," Zachs told CT Insider. "We had five weekends, including a holiday weekend, which generally see a 25 to 30 percent bump in sales. I do wonder if this is sustainable versus if this was just based on the fundamentals of the calendar."

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