Arizona marijuana gross sales surpass $1 billion in 2023

Hashish gross sales in Arizona handed the
$1 billion mark for the yr in September, because the medical and
leisure markets continued a well-known sample that seems to have
solidified over the previous a number of months.

Information from the Arizona Division of
Income for August and September studies that medical gross sales stay about
one-third that of adult-use leisure, a pattern that has continued
all year long — and led to the bottom medical use gross sales determine

Medical gross sales in September have been
barely lower than $27 million, a dip from August’s 28.7 million in
gross sales. The most recent complete represents the bottom in medical gross sales since
competitors with the leisure program started in January 2021, after
ADOR adjusted the earlier low of $26.1 million in July as much as $27.3

The final time medical gross sales have been
above $30 million was in June, and since June 2022, the medical market
has not surpassed $40 million. Medical gross sales have declined persistently
since a peak of $73.4 million in April 2021.

Leisure gross sales have been extra
than $80 million since dipping under $90 million in Might, following a
market document of $100 million in March. ADOR studies that leisure
gross sales have been $85.8 million in August and barely above $80 million in

Because the first time the leisure
market handed the $80 million threshold in March 2022, it has solely
failed to achieve that mark twice: as soon as in Might 2022 at $79.3 million and
June 2022 at $77.2 million.

These numbers could change, although, as
ADOR typically adjusts current months’ numbers with every new report. For
occasion, ADOR initially reported that medical gross sales in July have been $26.1
million, however the newest launch elevated that complete to $27.3
million, whereas leisure gross sales in July have been beforehand estimated to
be $77.4 million, however now are pegged at $80.5 million.

Up to now in 2023, medical hashish
gross sales general totaled $267 million and Arizonans have purchased practically $797
million in leisure marijuana, for a complete year-to-date of virtually
$1.1 billion by September. Since January 2021, when leisure
gross sales started, the hashish business has generated greater than $4 billion,
with about $2.5 billion coming from leisure gross sales.

The final time leisure and
medical gross sales have been wherever close to equal was October 2021, when adult-use
gross sales have been $65.8 million and medical gross sales have been $64.4 million. That was
the primary month that leisure gross sales outpaced medical gross sales.

The state has collected $2.4 million
and $2.2 million in taxes from medical gross sales in August and September,
respectively, and $13.7 million and $12.8 million from leisure
gross sales.

The state collects a 16% excise tax
on leisure gross sales along with the usual gross sales tax; medical
sufferers pay roughly 6% in state gross sales tax. Native jurisdictions cost
a further 2% or so for all marijuana gross sales.

The excise tax on adult-use marijuana
gross sales has yielded about $174.5 million thus far in 2023. In 2021,
leisure hashish generated $32.9 million for eleven months of
gross sales, and in 2022 that quantity jumped to $132.8 million. Because the
program launched, the state has collected greater than $391 million in
marijuana excise taxes.

One-third of these taxes are
devoted to group faculty and provisional group faculty
districts; 31% to public security, together with police, hearth departments,
hearth districts and first responders; 25% to the Arizona Freeway Person
Income Fund; and 10% to the justice reinvestment fund, which is
devoted to offering public well being companies, counseling, job coaching
and different social companies for communities which were adversely
affected and disproportionately impacted by marijuana arrests and

The Arizona Division of Well being
Providers studies on medical hashish program participation month-to-month and
is usually two to a few months forward of ADOR.

As of October, there have been 121,047
qualifying affected person cardholders, down from 123,796 in September. On the
top of the medical market, there have been 299,054 qualifying in January
2021 earlier than the appearance of leisure gross sales.

In October, Arizona medical hashish
customers bought 4,474.75 kilos of marijuana in varied kinds, down
from 4,621,28 reported in September. The yr thus far complete by
October, was 47,075.6 kilos.