Maine has set a new record in marijuana sales after consumers made purchases worth $22 million in August. New data released by the state Office of Cannabis Policy shows Maine marijuana sales have been hitting a new month-to-month record since April this year.
This summer was exceptional and has seen many states where marijuana is legal receiving impressive sales and Maine is not an exception. Adult use sales in the state have been rising significantly. The Maine marijuana for adult use was legalized in 2016 but dispensaries began to sell the products in October 2020.
Flower, concentrates, and edibles topped the Maine marijuana sales list
The impressive Maine marijuana revenue mainly came from the sales of flower. Concentrates and edibles followed closely with the average flower price selling at $7.83 per gram. Retailers generated $21.6 million after completing 377,050 marijuana transactions. In July, the state recorded sales worth 21 million dollars, a figure that had not been recorded since adult use of marijuana became legal in late 2020.
May and June’s records were also impressive after purchases exceeded $17 million and $18 million respectively. In the first 8 months of 2023, Maine’s total marijuana sales reached $140.1 million. With another four months before the year closes, the state might exceed its 2022 record of $159 million in total marijuana sales.
Customers getting comfortable buying Maine marijuana for adult use
Adult-use marijuana users in Maine are becoming more comfortable purchasing their favorite products over the counter. The state’s Office of Cannabis Policy director John Hudak said customers would shy off in the first few months after sales launched. Due to this and due to the effects of Coronavirus, sales kicked off at a slow pace in late 2020 and 2021.
Hudak said that customers appreciate the products they see on the display and view them as able to meet their needs. He added that users have now become comfortable with the marijuana business in every city in Maine. This is proved by the way customers conduct themselves and by the types of products they are purchasing.
He said more towns are approving the opening of Maine marijuana for adult-use dispensaries and this will see more new businesses begin to open soon. However, Hudak warned of the possibility of the market becoming oversaturated if investors continue opening retail outlets across too many places.
In itself, opening retail outlets everywhere is healthy to allow competition and equal opportunity to investors of all types. It is also beneficial to growers because they get a ready market for their products. Consumers also benefit from competitive prices which could help sales to soar significantly in the days ahead.
Maine’s marijuana sector set to get tax relief
The marijuana sector in the state is set to benefit from tax relief after Governor Janet Mills signed a bill that could help make this possible. The bill permits marijuana investors to partially claim state tax deductions. Under Internal Revenue Service regulation 280E, such deductions are forbidden at the federal level.
In this session, the lawmakers in Maine have also approved several other proposed reforms that include a bill sponsored by a GOP freshman legislator. The legislator was previously actively involved in pushing legislators to protect the rights of marijuana users to grow more plants for recreational use and for recognition of gun rights for marijuana consumers in the state.
Maine is not an exception in breaking marijuana sales records in 2023
Maine marijuana sales are not unique among the states where marijuana is legal in the U.S. Many other states are breaking sales records across the nation including Massachusetts, Maryland, Missouri, and Michigan. In 2023, economic experts in the marijuana sector predict eight states will hit the $1 billion benchmark in combined marijuana sales. The top 8 states expected to reach $1 billion in sales include:
- California. Adult use sales launched in January 2018. Estimated to make $4.998 billion in sales
- Michigan. Adult use sales launched in December 2019. Estimated to make $2.919 billion in sales
- Illinois. Adult use sales launched in January 2020. Estimated to make $1.915 billion in sales
- Massachusetts. Adult use sales launched in November 2018. Estimated to make $1.754 billion in sales
- Colorado. Adult use sales launched in January 2014. Estimated to make $1.565 billion in sales
- Arizona. Adult use sales launched in January 2021. Estimated to make $1.361 billion in sales
- Missouri. Adult use sales launched in February 2023. Estimated to make $1.349 billion in sales
- Washington. Adult use sales launched in July 2014. Estimated to make $1.232 billion in sales
Mature markets such as Washington, Colorado, and California are already making a 10-figure range in marijuana purchases. Looking at last month’s sales, several states made impressive records.
Michigan hit a record high after selling almost $277 million in marijuana revenue. The state has been consistently making new record profits since recreation use sales started in December 2019. Medical use marijuana sales started in 2008 after the Michigan Compassionate Care Initiative was approved.
Massachusetts adult use sales hit $139.3 million in August. This year, the state’s total sales records are soaring fast having reached $1.05 billion from January to August. Since the adult-use marijuana market launched five years ago, the state has made $5 billion in recreational use sales to date. Massachusetts is one of the states with highly impressive adult use sales records across the US.
Missouri is another state with a fast-growing marijuana market. Daily, retailers in the state have been making adult-use marijuana sales worth $4 million. The adult use market in the state was launched in February and in June, the state hit a record sale of $121.2 million in adult-use marijuana purchases.
Maryland also broke its adult-use marijuana sales record in August after retail dispensaries sold almost $92 million. This was impressive, noting that the state launched its adult-use market only two months ago.
Illinois is also on the list of marijuana-legal states making historical sales records. In July, retail dispensaries in the state sold adult-use marijuana worth $140 million. This was the highest monthly sale made in 2023 and the second highest made since the adult-use market in the state started in 2020.
