In July, there was around $350 million worth of legal marijuana sales in California.
According to state data, there was $344 million in recreational marijuana sold in July, along with approximately $6 million worth of medical marijuana. This marks a slight increase from the $339 million sold in June and aligns with the $350 million sold in May. Despite sales remaining steady, July’s marijuana sales were about 7% lower than those in July 2023.
The average price per gram of dried marijuana flower increased slightly to $10 from $9.50. The average price of marijuana concentrates remained steady at $17.
The year-to-date total for marijuana sales in California is now $2.4 billion.
In July, the plurality of marijuana sales was attributed to marijuana flower at $117 million, followed by vape products at $97 million, pre-rolls at $62 million, edibles at $40 million, concentrates at $20 million, and all other products (such as beverages and capsules) at $18 million.
California legalized marijuana in 2016, following Colorado and Washington, which were the first states to do so in 2012. The law allows those 21 and older to purchase, possess, and use marijuana. It also allows for personal cultivation of marijuana at private residences.
California’s tax rate for recreational marijuana sales includes several components. The state imposes a 15% excise tax on the gross receipts from retail sales of cannabis and cannabis products. In addition, retail sales are subject to a state sales tax, which is generally 7.25% but can be as high as 10.75%.
Moreover, California previously had a cultivation tax on harvested cannabis entering the commercial market, but this tax was eliminated on July 1, 2022.
Last month the Senate’s Business, Professions and Economic Development Committee voted 9 to 2 to pass Assembly Bill 1775, which would legalize marijuana cafés. The committee’s approval comes roughly three weeks after it passed the Assembly by a vote of 58 to 6.
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