Average cannabis prices in the state have dropped 17% since legalization, a sign of a rapidly maturing market marked by soaring store openings, growing product variety and intensifying competition. According to newly released data from the state Office of Cannabis Management (OCM), the average “unit price” for cannabis products has fallen from $38.61 in 2023 to $32.15 today.

The steep decline comes as the number of licensed retailers statewide surpasses 500, a milestone that has dramatically reshaped the landscape for consumers and businesses. More farmers are now cultivating marijuana, and an expanding cohort of processors is manufacturing gummies, vapes, beverages and traditional flower—creating downward pressure on prices.

Regulators say the trend is expected. Other states that legalized marijuana saw similar dips as supply expanded and competition tightened.

“Competition is high. We have all these brands fighting for shelf space,” said Britni Tantalo, president of the New York Cannabis Retail Association. “We are seeing more doors open,” she added, pointing to the latest wave of dispensaries launching across the state.

Retailers say the increased availability of product has made a noticeable difference. Osbert Orduna, CEO of The Cannabis Place in Queens, said wholesale price drops allow shops to pass along savings. “It’s a good thing. It makes us more competitive with the illicit market,” he said, noting that unlicensed sellers avoid overhead costs and the state’s 13% cannabis tax.

Consumers are seeing a wide range of prices across product types. A single joint can run about $10, a five-pack of pre-rolls roughly $25, and a one-gram vape about $30. An ounce of flower typically costs between $100 and $125, about a 50% markup from wholesale rates.

Prices may fall further now that the state has approved promotional discounts for veterans, seniors, teachers and first responders—an incentive retailers expect to use heavily.

Still, New York remains pricier than many other legal markets. Cannabis purchases average $33.15 in New York City, compared to $26.39 in Buffalo, the lowest in the state. Long Island, where many municipalities opted out of allowing pot shops, remains the most expensive at $41.41 per sale.

Despite early setbacks—including lawsuits that delayed store openings—New York’s legal cannabis sector is gaining momentum. Through October, licensed shops reported $1.4 billion in sales this calendar year, though OCM says incomplete reporting means the real total is likely higher. Analysts now expect the market could approach $2 billion in sales by year’s end, with $2.44 billion generated since legal sales began nearly three years ago.

Read the whole article from the NYPost here.

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