New Jersey Cannabis Sales Hit Record High Despite Slowing Growth

NEW YORK- Cannabis retailers in New Jersey have achieved a new quarterly sales record of $201 million in the first three months of 2024. This represents a notable 38% increase in year-over-year growth and sets a new high for the state’s burgeoning adult-use cannabis market. Despite this milestone, the New Jersey Monitor points out that the growth rate has decelerated, with a modest 4.4% increase from the previous quarter—marking the lowest sequential growth rate since the market’s inception.

The New Jersey CannaBusiness Association suggests that the slowdown in first-quarter sales is typical post-holidays, with expectations for sales to rebound in the warmer months, particularly around the 4/20 cannabis holiday.

Jeff Brown, the executive director of the Cannabis Regulatory Commission (CRC), remains optimistic about the future of the market. He predicts continued growth as more dispensaries open, new brands enter the market, and cannabis becomes increasingly destigmatized.

Despite initial struggles with high product prices, which have impacted competitiveness against illicit markets and hemp-based products, CRC Chair Dianna Houenou emphasizes that the ongoing market expansion indicates successful efforts in curtailing the unregulated market. The state anticipates further growth and stabilization as the legal framework matures and market conditions evolve.