Cultivation sales fall as D.C. medical cannabis market shows signs of slowdown

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D.C.’s medical cannabis market brought in just over $8.2 million in sales in August, continuing a gradual decline that began in July despite a record-setting year overall, according to The Alcoholic Beverage and Cannabis Administration’s monthly report. The slowdown comes after months of steady growth driven by a rapid expansion in the number of licensed dispensaries across the District.

While August sales were up more than 82% compared to the same month last year, total revenue fell by over 8% from May’s peak of $8.9 million—the program’s highest month to date. According to The Outlaw Report’s analysis, 54 dispensaries were open in August, generating an average of $100,871 per store. Three stores have since closed, including one shut down by the Alcoholic Beverage and Cannabis Administration (ABCA).

The federal government’s mid-August takeover of D.C., which reduced local restaurant sales and tourism activity, may have contributed to the recent dip. September figures are expected to offer a clearer view of how the federal presence affected the city’s cannabis economy.

On the production side, cultivation sales fell to $588,546, the second-lowest total of 2025. Manufacturing revenue also dropped to its lowest level since April, though it remained strong at over $2.2 million.

Dispensary sales, meanwhile, rose slightly to nearly $4.5 million, the highest in three months but still below May’s peak. Market data shows shifting consumer preferences: THC vape cartridges surpassed $1 million in monthly sales for the first time, with more than 20,000 units sold, while concentrate sales surged by over 78% from the previous month. Infused edibles, a consistent top performer, continued to lead the product mix despite modest declines over the past two months.

August in short

  • Total sales: $8.2 million — continuing a gradual decline since July.
  • Year-over-year growth: Up 82% from August 2024.
  • Monthly decline: Down 8% from May 2025’s record $8.9 million.
  • Dispensaries: 54 open in August (3 have since closed, including 1 closed by ABCA).
  • Average revenue per store: $100,871.
  • Federal impact: Trump administration’s mid-August federal takeover likely reduced sales due to lower tourism and restaurant activity.
  • Cultivation sales: $588,546, the second-lowest of 2025.
  • Manufacturing sales: $2.2 million, lowest since April but still outperforming cultivation.
  • Dispensary sales: ~$4.5 million, highest in three months but below May’s record.
  • Product trends:
    • THC vape cartridges: Over $1 million in sales, more than 20,000 units sold — market leader.
    • Concentrates: Sales up 78% month-over-month.
    • Infused edibles: Continued strong category despite two months of decline.

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