The cannabis industry is in the midst of fall harvest, which has market watchers bracing for a price decline in the fourth quarter. While U.S. spot wholesale flower prices “has been holding steady for the last three weeks,” according to the most recent report from Cannabis Benchmarks, the firm forecasts a discount of 6.2% heading into November.
The report noted that the November 2023 Implied Forward is expected to dip to $960 per pound, down from the $1,023 per pound this week.
Wholesale Prices Fall
Prices declines are not uncommon in the fourth quarter, as product from outdoor grows flood the market, but this year’s affect may not be as traumatic as some, according to Cannabis Benchmarks.
“It’s likely markets in which outdoor growing takes place are waiting to gauge the size and quality of this year’s crop, which available data and anecdotal reports have indicated will be significantly smaller than those in recent years,” Cannabis Benchmarks wrote. “While outdoor harvests have been occurring already, it will take several weeks for the product to be dried and make its way to market.”
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