MJ Ranked Fifth Among Most Profitable Crops in the US in 2020
The publication Leafly released a report on the performance of the American recreational cannabis industry in 2020. According to the document, MJ ranked fifth among the most profitable agricultural crops in the United States.
Farmers Earned $6.18 Billion from Cannabis
Leafly analysts considered data from 11 states that had legalized recreational MJ. In these regions, 13,042 farms received licenses to cultivate cannabis. Last year, these farms produced 2,278 tons of MJ. Farmers sold wholesale cannabis at prices ranging from $1,025 to $6,150 per kilogram, earning a total of $6.18 billion. Meanwhile, retail stores made $17.5 billion from recreational MJ sales.
In terms of farmer revenue, cannabis took fifth place. Corn topped the list with $61 billion, followed by soybeans at $46 billion, and wheat at $9.3 billion. MJ would have surpassed wheat and entered the top three if the report had included revenue from farmers growing industrial and medical cannabis.
California Leads in MJ Production
Cannabis was the most profitable crop in five states:
- Alaska
- Colorado
- Massachusetts
- Nevada
- Oregon
In Alaska, cannabis growers earned 104 times more than their closest competitors, barley farmers: $104 million versus $1 million. In Colorado, cannabis brought in nearly twice as much revenue as corn: $1.03 billion compared to $578 million. In Massachusetts, the main competitor for MJ was cranberries. Berry farmers sold their harvest for $71 million, while cannabis growers earned $252 million.
Top States by MJ Revenue
California maintained its status as the largest MJ producer in the US. Farmers in the state grew cannabis worth $1.66 billion. Colorado farmers earned $1.03 billion, taking second place. Michigan cannabis growers rounded out the top three with $736 million in revenue.