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Marijuana Price Wars: Colorado Recreational Pot Prices Expected To Fall Fast This Year


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Colorado is on the verge of a marijuana price war. As competition heats up in a market where demand is particularly sensitive to low prices, analysts are expecting a drop this year in prices for the state’s recreational pot.

As the number of retailers increases, the competition is only getting tougher. Analysts at New Frontier Financials say that "the rate with which new cultivators are entering the market is accelerating, greatly increasing the market's capacity and creating more competition on price."

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A decline in the price per pound of recreational marijuana, even from just $1,900 per pound to $1,800 per pound, could increase sales by as much as 20 times, New Frontier's analysts wrote in a report this week.

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