Arkansas medical marijuana sales down almost 3%, but pounds sold up 23.2%

Arkansas medical marijuana sales through October total $227.8 million, down 2.65% compared with $234 million in the same period of 2023, according to information provided Wednesday (Nov. 20) by the Arkansas Department of Finance and Administration (DFA).

The sales decline has moderated from the 3.7% dip through July.

Taxes collected through October total $25.8 million, just below the $25.9 million in the same period of 2023. However, DFA spokesman Scott Hardin said tax revenue “rarely corresponds to sales in the same period due to audit payments, delays,” and other factors.

DFA figures show that the 6.5% state sales tax generated $13.2 million through October, and the 4% privilege tax generated $12.6 million. The 6.5% state sales tax and the 4% privilege tax apply to every purchase at a dispensary, but only the privilege tax applies when a cultivator sells product to a dispensary, according to the DFA.

“While the overall spend is down this year, there is a significant year to year increase in total pounds purchased, reflecting lower prices,” Hardin said. “We will have to see two extremely strong months in November and December to surpass the 2023 sales record of $283 million. Since Arkansas’ first dispensary opened in May 2019, medical marijuana purchases total more than $1.265 billion.”

Medical marijuana pounds sold in the first 10 months of 2024 totaled 62,118, up 23.2% compared with the 50,406 pounds sold during the same period of 2023, according to the DFA.

According to the DFA, sales from the state’s 37 dispensaries totaled $23.9 million in August, $21.9 million in September, and $23.4 million in October. Following are the top five dispensaries for pounds sold in October.
Suite 443 (Hot Springs): 726.93 pounds
Natural Relief Dispensary (Sherwood): 565.03 pounds
CROP (Jonesboro): 408.58 pounds
Harvest (Conway): 384.3 pounds
High Bank (Pine Bluff): 306.55pounds

The Arkansas Department of Health reported 106,937 active patient cards as of Wednesday, according to the DFA, which is up 9.8% compared to 97,374 as of Jan. 9.

Arkansas medical marijuana sales set a new record in 2023 with a 2.53% increase over 2022. Following are the annual sales since 2019.
2023: $283 million
2022: $276.3 million
2021: $264.9 million
2020: $181.8 million
2019: $31.32 million

The constitutional amendment legalizing medical marijuana for 17 qualifying conditions and creating a state medical marijuana commission was approved by Arkansas voters 53% to 47% in November 2016.