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US (AZ): MMJ market has shrunk to just one-quarter the size of adult-use sales

After a slight uptick in March, the medical cannabis market continued its slow-moving free-fall and has dropped to one-quarter of the size of the adult-use market three years after recreational sales began. Following a third straight year of reaching $1.4 billion in total sales, Arizona's cannabis markets have fallen into a familiar pattern, leveling out at about $110 million monthly.

From March 2021, when the combined cannabis market reached nearly $134 million in monthly sales, totals have ranged from about $120 million to an apex of $140 million in March 2022. So far in 2024, those numbers have been below $113 million. January and April bottomed out at $104 million, the lowest total since the first full month of legal cannabis sales in February 2021 registered $96 million.

Since a record $103 million of sales in March 2023, adult-use sales have remained steady, fluctuating between $70 million and $90 million monthly, following a trend that began in December 2021. The most recent report for the month of April was $83.7 million. March had the highest total recreational sales so far in 2024, reaching $89.5 million.

After the medical side recorded consecutive lows in December 2023 and January 2024 at $25.4 million and $21.5 million, respectively, the bottom keeps dropping for a program that has been in existence for more than a decade. After reaching a peak of $73.4 million in April 2021, the medical market has not topped $40 million since July 2022. In recent months, it has barely cracked $20 million. April's $20.6 million is the lowest total reported since recreational sales began.

Read more at azmirror.com

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