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How can Home Cultivation save you thousands of dollars every year? Let's see how the NYS market has already started to position a costly cannabis flower market - pushing New Yorkers to grow on their own in order to save money.
Indoor Home Cultivation Economics
Indoor Home Cultivation (6' x 6' Room)
For indoor cannabis grow cost estimates, we estimated costs for a 6′ x 6′ grow space, using living soil as the growing medium, and only one room for both vegetative growing and flowering. Not included in the price estimates are the cannabis plants themselves.
For this exercise, we’ll use six clones to save space and reduce our vegetative growth time. A single clone can cost between $10-$30, but higher-quality clones can be more expensive. Our plants will spend around a month in vegetative growth and around 8-10 weeks flowering. With a 1000-watt bulb, ideally, you will produce up to a gram of flower per watt. Realistically, when starting out, you might get anywhere between half a gram and a gram per watt.
Total Cost Range = $1,575 - $2,320
Indoor Home Cultivation (Closet/Tent Grow)
If a 6′ x 6′ ft space is unrealistic, consider growing in a much smaller space using a grow tent. Grow tent dimensions start at 2′ x 2′ x 5′ for under $1,000, which includes everything you’ll need to grow cannabis except for soil and the plants. You can usually grow two to four plants in 1- to 3-gallon pots, and you’ll most likely use a 400-600 watt light.
Total Estimated Cost = $940
Outdoor Home Cultivation Economics
Outdoor Cultivation (Not In A Greenhouse)
The biggest factor to take into account is the climate where you live. It needs to be sunny and dry enough to promote growth and prevent rot, and it needs to stay sunny and warm long enough into the fall to allow the plants to finish flowering. Growing in a greenhouse can help regulate temperature and moisture-related issues.
For this estimate, we are growing in a climate where plants can be outside from the start of the season (July) to the end of the season (October). Again, we assume using clones to start, which aren’t included in our cost estimates. You can get high yields of quality product growing outdoors. A plant grown in a 10-gallon pot should net you between 1-2 lbs of flower. You’ll need to consider the amount of time you will put into your garden—a couple of hours every couple of days on average should be enough to take care of your plants. Some days won’t require any work while others will require a bit.
Total Cost Range = $1,830 - $2,940
Retail Dispensary Economics | Price Per Gram
Let's start this section by looking at current prices across NYS cannabis dispensaries. It's a tough one to review - but we do this for the culture!
Locations | 1/8oz | 1/4oz | 1/2oz | 1oz | 56g |
Westchester | $30-$55 | $80-$90 | $120-$130 | $200-$300 | $300-$330 |
Manhattan | $32-$65 | $88-$100 | $110-$130 | $200-$300 | $325-$350 |
Queens | $25-$65 | $70-$90 | $90-$120 | $200-$300 | $300-$350 |
Brooklyn | $30-$65 | $85-$100 | $150-$188 | $170-$285 | $300-$350 |
Long Island | $30-$60 | $80-$90 | $110-$150 | $200-$300 | $300-$350 |
Upstate NY | $33-$65 | $85-$92 | $125-$155 | $215-$280 | $300-$330 |
Add In NYS Taxes:
Cannabis flower (e.g. loose flower or pre-rolls) are taxed at $0.005 per mg total THC
Cannabis Sales Tax of 9%
Local excise tax imposed on the sale of cannabis products of 4%
When you factor everything in - we're looking at a staggering high number for purchasing flower legally in New York State:
At LARGER quantities (56g) = $5.36/g - $6.25/g (before taxes)
At SMALLER quantities (1/8oz) = $7.06/g - $18.36/g (before taxes)
Home Grow Economics | Price Per Gram
Now, let's look at home grow costs and how much you'd have to pay per gram if you started your own home cultivation setup. Keep in mind that some of these costs are also one-time fees for equipment that can be re-used for years!
Cannabis Price Per Gram (Indoor & Outdoor)
Indoor Grow = $1.95/g - $4.70/g (no taxes)
Outdoor Grow = $0.60/g - $1.19/g (no taxes)
Analyzing The Data
Looking at these totals, you’ll find that growing can be done for a much lower price than purchasing your product at a store. However, labor and property aren’t included in these costs. Someone (if not YOU) will have to check in on the garden daily and spend time pruning, trimming, feeding, watering, and monitoring the plants for signs of disease, rot, or mold. Growing cannabis is labor-intensive and can be difficult, but if you’re looking for a new hobby and have the time to dedicate to it, you will save money and enjoy yourself!
We'll continue this conversation as we do a DEEP DIVE into equipment costs and overall cultivation costs in the next post(s)!
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