In the first quarter of this year, the legal cannabis market in Colorado has experienced a booming demand for marijuana concentrates that is estimated at a 125% growth compared to the same period in 2015.
Cannabis concentrates are produced through extraction from raw marijuana flowers with the help of such solvents as CO2, butane, and ethanol. Weed extracts are popular with marijuana users in Colorado and nationwide for their high potency that can reach up to 80% of THC. In comparison, even the strongest strains of marijuana usually contain nearly 20% of THC in their flowers.
Moreover, cannabis concentrates are widely used for non-smoking methods of marijuana consumption like vaping or dabbing, which are considered healthier than smoking.
Based on the data gathered from the industry retailers, BDS Analytics has recently reported a 152% growth in retail sales of pot concentrates in Colorado’s recreational and medical marijuana markets in the first quarter of 2016 comparing to the same period in 2015. As for other segments of the state's legal marijuana market, sales of weed edibles have increased by 53%, while cannabis flowers sales rose by just 11% during the same time in Colorado. Despite such a slow growth, marijuana flowers still bring the most revenue in legal cannabis sales in the state.
According to the BDS Analytics' data, the state sales of weed flowers are estimated at approximately $161.7 million in the first quarter of the current year, while pot concentrates sales reached $60.5 million, and retail sales of cannabis edibles totaled $28.7 million.
The experts of the BDS Analytics see a great potential in marijuana edibles and concentrates segments of the market and suggest that these cannabis derivatives will soon surpass revenues from marijuana flowers both in the state and nationwide.