For the week ended Friday, June 2, 2017, the spot price index for a pound of cannabis fell 4.3% to $1,553. According to the analysts at Cannabis Benchmarks, the simple average price for a gram fell 28 cents to $3.86.
The futures price for the near-month (July) fell to $1,525. For the month of August, the forward price fell to $1,510. The six-month forward price (December) was initiated at $1,465.
About two-thirds of the past week’s transactions occurred in a range of $1,072 to $2,426 per pound.
The Cannabis Benchmark analysts commented on the falling prices:
For the month of May, the U.S. Spot Index averaged $1,614 per pound, a decline of $445 per pound, or 21.6%, from the month’s 2016 average of $2,059 per pound. Declining costs of production in some markets, and oversupply in others, has resulted in lower average prices each month in 2017 versus the corresponding month in 2016. New supplies from light deprived greenhouse flower (to be harvested on or about June 21st, the summer solstice) are anticipated to reach the market in July, continuing downward pressure on prices … At $1,465, the December Forward represents the expectation for some price recovery as the depths of the fall harvest pass and holiday demand increases. For context, the December 2016 average price was $1,526 per pound, nearly 8% higher than the November 2016 average of $1,414.
Indoor flower prices ranged from $999 to $7,000 per pound, with the median price at $2,000. Greenhouse flower prices ranged from $500 to $2,800 per pound, and the median price was $1,305. Outdoor flower prices ranged from $700 to $1,800 per pound; the median price was $1,200.
For a wide-angle look at the cannabis industry, see our report on the largest companies in the marijuana business.
Our price check at MJCharts indicates prices range from $20.00 a gram to a low of $4.00 in the all-cities index. The all-cities index price is $11.10 per gram, down a penny compared with the prior week. The overall average price for a gram of marijuana (all strains) in Arizona is currently $8.98, ranging from a high of $15.00 a gram to a low of $6.00. In California the average price is $13.81 per gram, ranging from $15.00 down to $11.00 per gram. And in Oregon, the average is $11.05 per gram in a range of $20.00 to $4.00.