In this article, we are going to discuss the 20 states with the highest weed consumption in the US. You can skip our detailed analysis of the cannabis industry in the United States and the rapidly expanding cannabis-infused beverages segment, and go directly to the 5 States with the Highest Weed Consumption in the US.

The history of cannabis cultivation in America dates back to the early colonists, who grew hemp for textiles and rope. The plant was also widely used as a patent medicine during the 19th and early 20th centuries, described in the United States Pharmacopeia for the first time in 1850. Several political and racial factors led to the criminalization of cannabis in 1937 with the passage of the Marijuana Tax Act, but its legal status is now finally changing in many places.

READ ALSO: 20 Best Weed Strains for Focus and Creativity and 20 Best Cannabis Strains for Anxiety and Stress Relief.

Cannabis Industry in the United States:

The United States of America is the country that smokes the most weed in the world. As we mentioned in our article – 20 Cities with the Highest Weed Consumption in the US – the American legal cannabis industry fared well in 2023 as legal sales across the 38 states that allow some form of regulated marijuana reached $28.8 billion, a 10.3% increase from the previous year. Meanwhile, the legal cannabis industry also added 22,952 new jobs last year – a sign that the national business climate has somewhat stabilized following the turmoil of the previous two years. According to the 2024 Vangst Jobs Report, there were over 440,445 jobs supported by legal cannabis nationwide as of early 2024, an increase of 5.4% from 2023. The increasing legalization of cannabis and rising acceptance of its use for medical purposes are the key factors driving the growth of the market.

Growth is also expected to come from new markets, as states like South Dakota, Florida, and Nebraska are expected to have marijuana legalization on November ballots. Even presidential candidate Donald Trump has recently expressed support for a ballot initiative in his home state of Florida that would legalize the use of cannabis for adults.

As of the writing of this article, 24 states have legalized recreational weed in America, in addition to the District of Columbia.

Cannabis-Infused Beverages

The cannabis beverages segment is one of the fastest-growing areas of the rapidly booming industry. According to Research and Markets, the global market for cannabis-infused drinks was estimated at $658.26 million in 2023, $726.63 million in 2024, and is expected to grow at a CAGR of 10.87% to reach over $1.35 billion by 2030.

The United States, being the Country that Consumes the Most Weed in the World, accounts for the lion’s share of the global cannabis market. However, the swiftly expanding cannabis beverages category still represents only a small portion of the overall weed market in the US, accounting for only 1% of total retail sales in Q2 2024, thus indicating its vast potential. More and more weed-infused potables are now popping up in America to fill in this space, with several major industry players already looking for their share of the sweet green ganja pie.

It was announced in September that Tilray Brands, Inc. (NASDAQ:TLRY) – one of the Biggest Marijuana Companies in the World – has entered the US THC beverage market with a range of Delta-9 THC mocktails and seltzers through its newly formed Tilray Alternative Beverages business unit. The range of Delta-9 THC beverages will be launched in ‘key markets’ across the country at the beginning of this month, with brands such as the seltzers 420 Fizz and Fizzy Jane’s, as well as the mocktails Herb & Bloom and Happy Flower. According to the company, the lineup is made with high-quality hemp extracts and ingredients that provide consumers with a familiar, convenient, and delicious way to relax and unwind.

Tilray Brands, Inc. (NASDAQ:TLRY) has a highly diversified global portfolio – operating in more than 20 countries across North America, Europe, Australia, and Latin America, with businesses in medical adult-use cannabis, beverages, spirits, wellness products, and a vast array of consumer-connected lifestyle brands. For its Q4 ended May 2024, the Canada-based company reported revenue of $229.9 million, up 24.8% over the same period last year and even beating analysts’ estimates by almost 1.9%. The net revenue for the entire fiscal year was reported at around $789 million, marking a 26% increase from the previous year. TLRY also managed to strengthen its balance sheet by significantly reducing its net convertible debt by approximately $300 million.

The core business of Tilray Brands is cannabis and it boasts the number one market share in Canada, as well as the leading cannabis market share by revenue in Germany. The company has lately been very active in acquiring other industry players to expand its presence and the strategy seems to be paying off. For example, its acquisition of Redecan in June 2023 has helped it gain a strong footing in categories like pre-rolls, oils, and capsules. As a result, Tilray is now the No. 1 player in the straight-edge pre-rolled category with a 46% market share, as well as a top player in the oils and capsules category combined with a 21.5% market share in the adult-use business in Canada. Another major development that could significantly benefit Tilray is the easing of federal restrictions on cannabis in the US.

With an ever-growing portfolio of brands also in the alcohol category, Tilray Brands, Inc. (NASDAQ:TLRY) was included in our list of the Best Alcohol Stocks To Own According to Hedge Funds.

While we acknowledge the potential of TLRY as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than TLRY but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

With that said, here are the States that Smoke the Most Weed in America.

Methodology:

To collect data for this article, we have referred to SAMHSA’s 2021-22 National Survey on Drug Use and Health, looking for the States that Consume the Most Weed in America. The following states have been ranked by their total percentage of residents aged 12 or older who reported consuming cannabis within the past 30 days before the survey.

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20. California

Prevalence of Marijuana Use: 15.17%

California is considered the state with the best weed in America in 2024. We reached this conclusion after extensively researching people’s experience with weeds in different states on Reddit and Cali stood out. It is also the Largest Cannabis Market in America by revenue, with $5.1 billion in recreational marijuana sales in 2023.

19. Minnesota

Prevalence of Marijuana Use: 15.42%

Weed is 100% legal in Minnesota after Gov. Tim Walz signed the bill last year but full-scale retail marijuana sales aren’t set to start until 2025, because of the time it will take to draft regulations and issue licenses. THC beverages have already become a $200 million industry in Minnesota, with over 4,000 retailers.

18. New York

Prevalence of Marijuana Use: 16.06%

The Empire State’s legal cannabis industry is finally beginning to show signs of life, with $260.6 million in sales from January through June, or roughly $43.4 million per month.

With an annual overall weed consumption of 62.3 metric tons, NYC is included among the Cities with the Highest Weed Consumption in the World.

17. Missouri

Prevalence of Marijuana Use: 16.08%

Missouri legalized adult-use cannabis in November 2022 and the state’s regulated weed industry has witnessed explosive growth ever since. The Show-Me State showed them all when it sold over $1.4 billion worth of legal cannabis during its first year of recreational sales, including around $1.13 billion in adult-use purchases.

16. Illinois

Prevalence of Marijuana Use: 16.12%

Governor JB Pritzker recently announced that Illinois had hit a major milestone this year, with $1 billion in marijuana retail sales achieved already on July 1, 2024. The state has 55 licensed dispensaries to sell medical cannabis and over 100 licensed dispensaries to sell weed to adults aged 21 and older.

15. Oklahoma

Prevalence of Marijuana Use: 17.96%

Medical cannabis was legalized in Oklahoma in 2018 but recreational weed is still illegal. Medical marijuana has become increasingly affordable in the Sooner State, thanks to its numerous cultivation licenses, reduced barriers for commercial growers, and heavy competition among dispensaries.

14. Rhode Island

Prevalence of Marijuana Use: 18.08%

Rhode Island became the 19th state to legalize recreational marijuana in 2022, when Gov. Dan McKee signed a bill into law that, in part, set up a framework for retail sales and taxation. The state’s combined sales of adult-use and medical cannabis totaled $105 million during the first year of the legalization.

13. Montana

Prevalence of Marijuana Use: 18.48%

Montana collected over $57.7 million from cannabis tax revenue in 2023, with $47.7 million from adult use sales, $3 million from the sales of medical cannabis, and the rest from licensing and other administration fees.

12. Michigan

Prevalence of Marijuana Use: 18.52%

Detroit is one of the US Cities with the Highest Weed Consumption per Capita, with an average annual per-head weed consumption of 5.22 grams. Meanwhile, Michigan is the state with the highest per capita sales of weed in America at $132.41, according to data provided by Headset – a cannabis market intelligence firm.

11. Arizona

Prevalence of Marijuana Use: 18.8%

The recreational cannabis market contributed $172.8 million in excise tax revenue for Arizona last year, with most of it going to community college and provisional community college districts.

10. Colorado

Prevalence of Marijuana Use: 19.32%

Colorado’s weed market has rapidly declined over the last few years, mostly due to the plummeting prices. According to the University of Colorado Boulder, the average price per gram of recreational marijuana flower fell from $4.83 in 2021 to $3.84 in 2022 to $3.43 in 2023.

Denver, the first city in America where adult-use cannabis retailers opened up in 2014, was named the ‘Weed Capital of the US’ in 2024. Denver is also included among the Cities with the Most Dispensaries per Capita, with 10.4 weed dispensaries per 100,000 residents.

9. Massachusetts

Prevalence of Marijuana Use: 19.71%

The legal marijuana industry in Massachusetts is showing signs of maturing. In five years since the first recreational dispensary in the state opened in Northampton in 2018, legal retailers have sold more than $7 billion in medical and recreational marijuana, according to data from the state’s Cannabis Control Commission.

8. Nevada

Prevalence of Marijuana Use: 20.32%

In February 2024, Smoke and Mirrors – the first regulated cannabis consumption lounge in Nevada – opened up in Las Vegas, giving visitors a place to legally enjoy their weed. The total cannabis demand in the Silver State is estimated to be between 3.2 million and 4.4 million pounds per year, putting it among the Top 10 Weed-Smoking States in America.

7. District of Columbia

Prevalence of Marijuana Use: 20.9%

For many years now, many grey market ‘gifting’ shops have operated in the capital that sell t-shirts or stickers, with marijuana given as a gift. The District’s Alcoholic Beverage and Cannabis Administration has identified more than 150 such businesses operating illegally within its borders and has recently started a stringent crackdown to shut them down.

6. Maine

Prevalence of Marijuana Use: 20.95%

Maine has 154 registered recreational shops that brought in $217 million in sales in 2023, while the state’s 65 medical dispensaries and an estimated 289 medical storefronts also reported sales of $280 million last year.

5. Washington

Prevalence of Marijuana Use: 21.07%

Reaffirming the importance of the medicinal benefits of marijuana, a new law recently took effect in Washington removing the requirement for patients with a medical cannabis card to pay the 37% excise tax, reportedly the highest cannabis tax in the country. The Evergreen State collected $465 million in excise taxes alone from the sale of weed products in fiscal year 2023.

With an average price per ounce of around $234 for high-quality weed, Washington is included among the States with the Cheapest Weed in America.

4. New Mexico

Prevalence of Marijuana Use: 21.33%

The first licensed sales of recreational cannabis in New Mexico began on April 1, 2022, and it was announced in March this year that the state’s cannabis industry has already crossed the billion-dollar mark. As one of the Best States to be A Stoner, NM’s cannabis industry also receives a massive boost from the huge influx of tourists coming in from the bordering state of Texas, where recreational weed is still outlawed.

3. Oregon

Prevalence of Marijuana Use: 21.84%

Weed prices have been reduced by more than half since adult-use marijuana became legal in Oregon back in 2015. Cannabis grows abundantly in the Beaver State, with farmers harvesting 9.6 million pounds in 2023, and since the drug remains prohibited under federal law and can’t be sold legally across state lines, the supply and demand of the product are far from balanced. Cannabis prices remained severely depressed in Oregon as a result of the oversupply issues, under $4 a gram for 11 consecutive months as of March 2024.

2. Alaska

Prevalence of Marijuana Use: 21.93%

Alaska’s marijuana tax, levied at the wholesale level, is the highest in the country. As a result, the black market still accounts for nearly 62% of the overall cannabis sales in The Last Frontier. The state’s cannabis industry is saying that a change in the tax rates is desperately needed to help legal marijuana businesses compete with the illicit market.

1. Vermont

Prevalence of Marijuana Use: 24.18%

With nearly a quarter of its residents aged 12-20 having used cannabis within the past month, Vermont takes the title of the Most Stoned State in America. Recreational sales of cannabis commenced in October 2022 and the industry had already reported just under $120 million in taxable sales by the end of 2023. In its first year of operation, the state’s Cannabis Control Board licensed over 300 cultivators, with a vast majority of them being small tier-one classifications.

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Disclosure: None. 20 States with the Highest Weed Consumption in the US is originally published on Insider Monkey.