Price of marijuana drops 40 to 66 percent in Colorado, Washington
The wholesale price of marijuana in Colorado has continued to plummet since recreational use of the drug was legalized in 2014, according to a report by Business Insider on Sept. 1.
Data from Tradiv, a marijuana distribution platform, shows the price of one pound of marijuana has decreased by approximately 40 percent between October 2015 and August, from $2,400-$2,600 to $1,400-$1,600.
An increase in overall product supply is the main culprit for Colorado’s marijuana growers who are taking a hit in profit margin now, each being virtually unlimited in how many plants they can grow.
Marijuana’s downward price trend has also been seen in Washington state and Oregon, where recreational use of the drug is legal and commercial stores have been opened. Between July 2014 and January, the price of a gram of store-bought marijuana in Washington has dropped from $30 to $10, rivaling the lowest street prices of $7 per gram.
As a result,...
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