- The demand for legal cannabis products in the U.S. increased by 0.5% in October.
- Cannabis product demand is up 13.0% from October 2017.
- The AndCan Index is constructed using calculations for all 50 states.
FOR IMMEDIATE RELEASE
EAST LANSING, MI—January 7, 2019—The demand for legal cannabis products in the United States increased by 0.5% in October 2018, according to the monthly AndCan Index, which closely monitors demand across every U.S. state. This negligible increase marks the third month in a row with less than 1.0% growth.
Though the AndCan Index is reporting stalled growth over the last three months, analysts at Anderson Economic Group expect future increases in consumer demand for cannabis products. “Three states voted to legalize marijuana in some form during the November 2018 election; as such, we expect the AndCan Index to reflect further growth in consumer demand as states develop new regulatory structures and businesses begin to be licensed,” said AEG Senior Consultant, Jason Horwitz, who oversees the AndCan Index.
AndCan Index data shows that the demand for legal cannabis products has grown by 40.3% nationwide since the start of 2015. Since the November 2016 election, when four states—Nevada, California, Massachusetts, and Maine—voted to legalize recreational use of marijuana, overall U.S. demand has increased by 25.2%.
Launched in June 2017, the AndCan Index reflects observed demand from states that have legalized cannabis and estimates for latent demand for states in which data on observed demand are unavailable. It builds from three years of comprehensive coverage of the U.S. cannabis market and assessments of demand by Anderson Economic Group; a rigorous methodology that has been presented in technical papers at two conferences of professional economists; and more than two decades of business consulting experience worldwide. Comments from other economists from these conferences, as well as additional research by Anderson Economic Group consultants, have been incorporated into the AndCan Index.
Editorial note: Anderson Economic Group expects to issue a benchmark revision to the AndCan Index in early 2019.
About Anderson Economic Group
Since its founding in 1996, Anderson Economic Group has become one of the nation’s premier boutique consulting firms, specializing in business valuation, expert testimony, and public policy. AEG has assisted governments, universities, large corporations, and businesses across the U.S. and abroad. All of the firm’s work is based on its core values of Professionalism, Integrity, and Expertise.
AEG has offices in East Lansing, Michigan and Chicago.
AEG—East Lansing, Michigan