Buying Green – What You Need To Know About Cannabis Prices

Jan 27, 2021 | Cannabis Laws & News, Small Cannabis Business

Having a healthy cannabis habit can be a costly one if you’re not careful. For many cannabis connoisseurs having a legal storefront has been a dream come true. But, upon checking your pocketbook after a few trips – it can quickly turn into a nightmare.

So when thinking about your monthly, or annual bud budget you may come to think, how expensive is weed in other states? Or, how come the cost of cannabis is so high?

We’re here to answer those questions by taking an insider’s look at how weed prices are set, and how the cost of marijuana varies from state to state.

How Weed Gets a Price Tag

If you know, or have learned anything about weed – it’s a process to grow just 1 plant. This is the first clue to how its price tag is set, to cover labor, supply, and overhead costs.

Of course, there’s no nationwide standard for what the end-product gets priced at. So, depending on the region or exact location a few factors also affect the final cost. Including:

  • Regulatory, state, federal, or local taxes
  • Product quality
  • Competition in region

The types of taxes added to cultivated crops, and cannabis products vary across the Nation. For instance, some impose a sales tax, while others like Alaska, don’t but do impose a cultivation tax. All in all, just like most products you can expect to incur additional costs to cover the taxes manufacturers, growers and distributors have to pay.

Since most States prioritize access and feasibility for medical consumers, regulatory fees are typically much lower. Meaning medical goods overall, cost much less than recreational, across the board.

Beyond tax, the price of cannabis is set like most other products: taking into consideration transportation and delivery fees, labor costs, and rent or building expenses. Unique to the cannabis industry are costs like legal fees to ensure you’re following strict regulations, and when your product goes to sale.

Why does the timing of the crop matter for pricing? Think supply and demand. Since outdoor crops are harvested in most areas in September – October, there’s a surge of product on the shelves during this time period. Whenever the supply is high, the prices typically drop.

A Cannabis Catalog of Costs

Another unique point to cover when discussing the cost of marijuana is the price of varied products that the plant and processors produce. More so than asking yourself ‘how much is a bag of weed’, you may also wonder why other cannabis goods like drinks, oils, concentrates, and edibles seem even costly than the flower it takes to make them. Then, you can figure out where your best value lies.

The potency of these other products however weighs on the cost comparison. When you look at THC alone, for the most part, you’re receiving much higher levels in concentrate, vape, and edible products versus flower alone.

For instance, the highest levels of THC cannabis flower can reach is around 30%. While concentrates, vapes, or oils that edibles are made with can reach up to 99%.

A Seattle data analytics company set out to highlight the differences in THC products across the US, with a report published in 2019. Here’s a quick breakdown of what they found in the biggest legal markets then:

  • In California, Colorado, Nevada, and Washington, the average cost per milligram of THC in beverages is 26 cents. The price per milligram is highest in Nevada at 28 cents, with the lowest being Washington at 22 cents (27% difference).
  • The average price per milligram in THC edibles is 20 cents. Again, Nevada was much higher than others at 23 cents versus California at 17 cents (35% difference).
  • Oils and tinctures had an average price per THC mg of 32 cents. Colorado’s price per milligram was 41 cents, with Nevada coming in at 25 cents (64% difference).
  • For capsules, the average price per milligram was 20 cents. The highest price found in Colorado at 25 cents, the lowest being Washington with an average of 13 cents per milligram (92% difference).

As you can see, between product type and state, the differences in established legal markets are glaring. These types of price fluctuations continue in other newly legalized states where cost information is just compiling enough to analyze.

The Price of Cannabis: State to State

So, without further ado, just how much does medical marijuana cost in dispensaries? Here’s what to expect as for average legal weed prices for an ounce of flower, across the Nation. Remember, the average will take into account high-quality weed costs, lower quality weed costs, medical and recreational costs per state.

  • Alaska $303.04
  • Arizona $231.71
  • Arkansas $232.62
  • California $250.00
  • Colorado $199.89
  • Connecticut $280.97
  • Delaware $261.90
  • Florida $225.78
  • Hawaii $265.78
  • Illinois $296.94
  • Maine $235.37
  • Maryland $282.93
  • Massachusetts $284.96
  • Michigan $272.59
  • Minnesota $279.75
  • Montana $243.32
  • Nevada $234.46
  • New Hampshire $297.82
  • New Jersey $298.92
  • New Mexico $227.77
  • New York $270.86
  • North Dakota $328.22
  • Ohio $232.93
  • Oregon $186.29
  • Pennsylvania $280.83
  • Rhode Island $255.18
  • Vermont $301.89
  • Washington $190.69
  • Washington, DC $506.18
  • West Virginia $252.08

Cash for Your Stash

Now that you know how much cash it takes for a stash in different states, you may have a new appreciation for the costs in your area. On the flip side, you may be plotting your next move to a state with more cost-effective weed prices.

Regardless, with a better understanding attached to the price of cannabis, you can better appreciate the elevated highs it provides.

About The Author

<a href="https://www.cannabistherapynetwork.org/author/courtneyt/" target="_self">Courtney Trzos</a>

Courtney Trzos

To Courtney, it’s always 420 somewhere… After attending Michigan State University and working in communications for over 10 years, she took her passion for cannabis, professionally. In 2017, Courtney began freelancing as a writer for cannabis brands across the globe, promoting the therapeutic and recreational use of the plant, while helping her partner cultivate crops full-time, and learning more about the industry from a seed-to-sale perspective. Get in touch with her and follow her journey at https://www.instagram.com/thecannaspace/
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