Legal marijuana is one of the fastest-growing industries in America, with an annual growth rate of 30 percent, according to a report released Tuesday.
Legal cannabis was an estimated $5.4 billion industry in 2015, according to ArcView Market Research and New Frontier, a cannabis analytics and data authority. The estimate for sales in 2014 was $4.6 billion.
Medical marijuana sales are permitted in 23 states. Four states, including Washington, have legalized recreational marijuana.
In Washington, $70 million in tax revenue was generated on $257 million in sales during the first year of recreational sales.
The report predicted that retail prices would continue to fall in 2016 from competition among growers and retailers.
The report noted that cannabis, often grown with artificial lighting, uses an inordinate amount of energy. It is the most energy intensive agricultural product grown in the U.S., consuming 1 percent of the country’s electrical output, according to the report.