October cannabis sales in Michigan saw a slight decline of 4.3% compared to September but still recorded an impressive year-on-year increase of 25.5%.
This marks the third consecutive month of decline in the state.
Up in Smoke
• October cannabis sales in Michigan saw a 4.3% monthly decrease, but a 25.5% year-on-year increase.
• Medical cannabis revenues declined significantly (70%) compared to October 2022, and 10.2% compared to September.
• Adult-use market sales fell 4.2% month-on-month, despite rising 33% year-on-year.
• Prices for adult-use cannabis dropped 4.9%.
• MCRA fined 28 retailers in October, with infractions ranging from failing to retain video surveillance ($7000) to selling expired gummies ($3000).
• The industry in Michigan faces challenges and opportunities for improvement.
The drop in sales can be largely attributed to a significant decrease in medical cannabis sales, which saw revenues plummet over 70% to $4.9 million compared to October 2022, and a 10.2% decrease compared to September.
However, it’s important to note that this decline was mainly driven by a decrease in the adult-use market, which saw sales fall by 4.2% month-on-month, despite experiencing a 33% increase year-on-year.
The overall decline in revenues is also reflected in the decrease in prices for adult-use cannabis, dropping by 4.9% to $1562 on an annual basis.
In addition to this, the Michigan Cannabis Regulatory Agency (MCRA) has reported several fines issued against cannabis retailers. In October alone, 28 complaints were filed against different companies, with the regulator subsequently withdrawing some of these complaints.
These infractions varied from failing to retain 30 days of video surveillance, resulting in a $7000 fine for Aim High Meds, to selling expired gummies, which led to a $3000 fine for retailer Exclusive Kalamazoo.
With these new figures and regulatory actions, the cannabis industry in Michigan faces challenges and opportunities for improvement.