The milk industry in California brings in $6.28 billions dollars, Almonds $5.33 billion, Grapes $4.95 billion, Cattle/calves $3.39 billion, and Lettuce $2.25 billion. All of those combined still do not top California’s cash crop, marijuana. Marijuana brings in $23.3 billion on average per year, as reported by AlterNet. However, these numbers were put together off of statistics that were based on seizures of illegal marijuana operations. The average price per pound in the market was estimated to be $1,765 per unit.
If you have ever been in the marijuana industry, you will understand why some of these numbers seem a bit skewed. There are so many more factors that would actually determine the price per pound. For example, if a grower is vending to a dispensary at a single unit price the price would probably be around $1,700 on average but the same grower trying to vend multiple pounds/units must factor in a wholesale price because of the amount that the dispensary is purchasing.
The numbers may be a bit optimistic but you have to take into consideration that California marijuana farmers are producing hundreds, if not thousands, of pounds per year that are not accounted for in the legal market. This clearly shows that the demand of the black market from states that don’t allow legal marijuana has remained high even as recreational marijuana spreads across the United States.
We believe that the demand will continue to stay steady as long as people in states like Illinois, Florida, New York and North Carolina aren’t allowed to grow their own marijuana. For right now as long as the risk is worth the reward, California farmers will continue to chase the green rush. Meanwhile, the interstates will remain lucrative cash traps for the state troopers who patrol them.