The Washington State Liquor and Cannabis Board recently released sales and tax data from fiscal 2024 — July 1, 2023, through June 30, 2024.
These numbers help tell the story of Washington's recreational cannabis market in a way that cannot be seen by simply visiting your local dispensary. Here are two key takeaways.
CONTRACTION CONTINUES
Fiscal 2024 marks the sixth consecutive year to see more than $1 billion in consumer spending on recreational cannabis in the state. But since peaking in fiscal 2021, sales numbers have been steadily declining.In fiscal 2024, roughly $1.23 billion was spent by consumers on recreational cannabis in Washington, down $28.1 million from the previous year and nearly 17.9% from the peak of about $1.5 billion in fiscal 2021.
Data for Spokane County matches that trend. Fiscal 2024 saw more than $131 million spent on recreational cannabis in the county, down $3.4 million from the year before and 19.8% from the peak of $163.7 million in fiscal 2021.
Since the peak, the state saw excise tax on those sales decrease by more than $99 million.
Experts believe the 2021 peak was in part connected to the coronavirus pandemic. Cannabis stores were allowed to stay open during the shutdown, and there wasn't a whole lot to do, relative to normal times at least.
The downward trend could also be a sign that Washington, with a decade-old recreational market, could be settling into its proper size after years of expansion.
BORDER COUNTIES LEAD THE WAY
As has been the case since at least fiscal 2020, the four counties that share a border with Idaho — Pend Oreille, Spokane, Whitman and Asotin — far outpace the statewide average for cannabis spending per capita.Using the most recent population estimates from the U.S. Census Bureau, as of July 1, 2023, Washington's population sits at 7,812,880. Although only those who are over 21 can legally buy cannabis, if you were to split it out evenly, the fiscal 2024 spending on recreational cannabis comes out to $157.39 per Washingtonian.
Spokane County is once again well above that, with $238.20 spent per resident. Whitman County comes in at $229.94 spent per resident. Pend Oreille County recorded $422.08 per resident. Asotin County once again led the way at a whopping $585.46 per resident.
These numbers don't mean people living in those four counties are out-smoking everyone else, but rather that sharing a border with a state like Idaho, one of the few where cannabis remains illegal both medically and recreationally, is big business. ♦
