Michigan hashish gross sales hit report excessive in 2025, however income drops

Michigan hashish retailers offered extra merchandise in 2025 than in any yr because the launch of adult-use gross sales.

Nonetheless, declining costs imply general gross sales income within the nation’s second-biggest market dropped by about $113 million, in response to state knowledge.

Hashish shops reported about $3.17 billion in income in 2025, in response to the Michigan Hashish Regulatory Company.

Michigan remains to be the second-largest adult-use marijuana market within the nation, behind solely California.

How a lot hashish was offered in Michigan in 2025?

And Michigan hashish retailers offered practically 260,000 extra kilos of marijuana flower final yr than they did in 2024, in response to the CRA.

However by December, the typical value for an oz of flower was $58.22 – 16% decrease than a yr earlier. Costs for vaping merchandise really feel by practically 20% throughout the identical interval.

Worth compression led to retail closures. There have been 838 Michigan marijuana shops open for enterprise in 2025, down from 848 in 2024.

Together with oversupply, some business leaders say license saturation is hurting operators’ backside traces, with some asking for license caps to assist stabilize costs.

What’s the easiest way to repair the Michigan marijuana business?

Robin Schneider of the Michigan Hashish Business Affiliation instructed MLive.com too many licenses have compelled costs down and put strain on all elements of the provision chain.

Michigan permits municipalities to find out whether or not hashish companies can function of their jurisdictions and what number of licenses they may challenge.

“Limitless cultivation licenses have created oversupply, inflicting wholesale costs to plummet, financially harming companies all the best way down the provision chain,” she stated at an October state Senate Regulatory Affairs Committee listening to on cap laws.

One other change is a brand new 24% tax on hashish wholesalers, which began this month. Some fear it will result in extra enterprise closures and layoffs in an business that helps round 47,000 jobs.

Increased taxes additionally may ship prospects again to the unlawful market.