Exclusive | Cost of weed products in NY drops as legal marijuana industry booms
When they get high, prices go low.The price of marijuana products in the Empire State is dropping as the legal weed industry booms, spurring more competition while more outlets open.Concentrates and vapes are each down 15% over the last year, while edibles and flowered cannabis decreased by 14% and 5%, respectively, according to an analysis by the state Office of Cannabis Management.“As the market has grown to over 500 brands and nearly 370 stores open, we have begun to see average retail prices fall in several leading categories, including Flower, Edibles, Concentrates and Vaporizers,” John Kagia, OCM’s executive director of market policy, innovation and analytics, told The Post.The decline in prices, he said, is likely due to an increase in the number of brands with value pricing and lowering costs as they compete for shelf space and market share.There are now 368-licensed weed dispensaries in the Empire State, up from 245 licensed retail weed outlets in November and just 41 stores at the end of 2023.“Retailers are adjusting their prices as part of their competitive strategy as more locations have opened,” Kagia said.
“While it remains a little early to determine all the factors driving the retail price compression, it is common to see price compression as new markets mature and competition intensifies.”The average price of 3.5 grams of flowered cannabis dropped from $41.13 to $38.96, the analysis showed.Meanwhile, one gram of concentrates plunged from $58.92 to $50.30 and one gram of vapes decreased from $64.89 to $55.35, according to the analysis.And the price of edibles such as gummies and chocolate bars plummeted from $29.58 to $25.46, according to the data.Kagia said the price drops are good news for consumers and the markets — and bad news for illegal weed sellers.“Lower prices indicate a growing diversity of products available in the market,” Kagia said.“They increase affordability for consumers, and they enable the legal market to c...