Average rate of Marijuana drops in Colorado
The average market rate for unprocessed marijuana dropped as of July 1, according to the latest rates set by the Colorado Department of Revenue.
New market rates, which went into effect July 1, dropped for nearly all areas of the market, including unprocessed buds, bud allocated for extraction, trim allocated for extraction processes and a whole wet plant.
Rates are set quarterly by state regulators. The rates are effective until September 1.
The new average market rate for a pound of bud is $699 – a decrease of $50 per pound. The drop follows decreases seen in April, January and October 2023.
July’s average market rate for bud is just $10 less than July last year.
The rate for a pound of trim, which generally sells for less at marijuana shops, increased just $2 per pound to $289.
Extraction bud dropped $14, trim extraction $16 and wet plants $10.
The department, according to a fact sheet on its methodology, calculates each category based on the median rates using data sent from marijuana dispensaries statewide.
The rate is used to assist in levying the 15% excise tax by the state. It also takes 2.9% in sales tax per transaction.
Colorado saw over $15.5 million in marijuana taxes in May, the latest data available.
This year alone, it has collected over $81.6 million in taxes from marijuana — a sharp decline from the first five months of last year when it saw $87.9 million in taxes.
It was not immediately clear how the new rates would impact Trinidad marijuana producers and sellers. The rate impacts both cultivators and dispensaries.
Trinidad marijuana shops have previously lamented to Trinidad City Council that local tax rates made it difficult to do business within city limits due to the AMR. The council then adjusted how it levies taxes in a bid to assist the local market.
