For the week ended Friday, October 2, the spot price index for a pound of cannabis increased by $35 (2%) from $1,849 in the prior week to $1,884. Three weeks ago the price of a pound of cannabis reached a seasonal high of $2,133 per pound, and that appears to mark the high for the year.
The futures price for December 2015 remained unchanged at $1,500, and the November forward also remained unchanged at $1,650. For the month of January 2016, the forward price rises to $1,550 a pound.
About two-thirds of the past week’s transactions occurred in a range of $1,620 to $2,480 per pound, according to the analysts at Cannabis Benchmarks. The volume-weighted average price in Colorado rose 1%, from $1,997 on September 26 to $2,016 a pound last week.
The volume-weighted average price in California last week was $1,716 per pound, up 9% from $1,580 in the previous week.
According to Cannabis Benchmarks, the volume-weighted average price of cannabis in Oregon rose 3% last week, from $1,889 to $1,941 a pound. In Washington, prices fell 6%, from $1,848 a pound to $1,740.
Oregon’s early recreational sales program started on October 1 and availability of cannabis in the state probably affected prices in neighboring Washington. More than 200 of the state’s 345 medical marijuana dispensaries are registered to sell recreational marijuana, and the state does not plan to license more recreational businesses until the fall of next year, according to Cannabis Benchmarks.
In the futures market, Cannabis Benchmarks noted:
Despite the fact that supply is sure to increase as additional indoor producers continue to come online – in Colorado, Washington, and Oregon, particularly — significantly more consumers will have access to legal avenues through which to purchase product as compared to last year. This should keep demand high, especially as Oregon and Washington will be celebrating their first 4/20 with recreationally legal cannabis. While many buyers would prefer to take advantage of lower prices in the wake of the fall harvest to preemptively stock up on supply, inventory costs and regulatory limits prevent most from doing so.
Our price check at MJCharts.com indicates prices range from nearly $25 a gram to a low of $3 in the all-cities index. The overall average price for a gram of marijuana (all strains) in Colorado is currently $11.02, ranging from a high of $20 a gram to a low of $5. In California the price is $15.29 per gram, ranging from $25 down to $3 per gram; in Michigan the average is $15.23 per gram, in a range of $22 to $7.50; in Oregon the average is $10.14 per gram, in a range of $15 to $5; and in Washington the average is $10.40 per gram, ranging from a high of $15 to a low of $6.