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Question on Yield

Hi all,

We just had a quick question on yield that we’d love to get some opinions on:

Do you see the yield increasing in the near future? If so, how much do you anticipate it increasing by and what would be the growth drivers behind it?

Thanks!

Regards,
Budsy team

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Yield is a complicated property to measure in a grow harvest.

If grow operations has the same square ft, water, and light, then yield could increase in two ways. One is that more pounds of sinsimilla (or buds or flower) will be produced by the same resources. This will mean that with the same expenses, the cultivation has more quantity of product to sell and therefore higher revenue and profits.

The second is that each pound will test a higher percent of THC or other cannabinoid of interest and therefore be worth more per pound. This will increase yield by a separate mechanism.

Both the first method and second can be achieved by making improvements to the cultivation procedure and any associated training of personnel performing any part of that procedure. In the old clandestine industry, these would fit under the term “grower skill” but as these operations expand the roles are becoming divided up. The author of the cultivation procedure is one avenue of increasing yield, and the manager who oversees the procedure’s execution and the staff training is the second avenue. These avenues are the twin fields of theory and practice of a cultivation operation, respectively.

In the end, its good to track your yield in a language of mathematics that combines these different avenues or mechanisms of improving yield. For example, tracking total THC in a warehouse is a good way to combine increased yield from increased weight with increased yield from increased potency. If a warehouse produces 1,000 pounds of flower testing at 20% THC, then that warehouse produced 200 pounds of THC. When a modification is made to the procedure, and the potency increases to 22% THC but only 800 pounds of flower were produced, some staff members may disagree whether this increased or decreased yield. Both answers are correct, depending on the methodology being used.

By measuring in total THC produced, it becomes very clear whether the yield increased or not. 800 pounds times 0.22 (22%) = 176 lbs. THC. So the physical amount of THC created decreased.

This may not be a financial loss for the company, though, as sometimes the premium on high potency buds can compensate for lower mass yields. Lets say 20% pounds are wholesaling for 1,000 $/lb and 22% pounds are wholesaling for 1300 $/lb. Well 1,000 lbs. x 1,000 $/lb = 1,000,000 $ is the total worth of the 20% crop. 800 lb x 1300 $/lb = 1,040,000 $ is the total value of the crop. So you can see a scenario where the yield, as measured by physical mass of THC decreased, but the yield, as measured in $ of revenue for the company, actually increased.

Using the proper framework to measure the property that is of interest to the company is critical in sorting out these nuances in optimizing the yield of such a procedure as cultivation.

Sincerely,

Marco Troiani
Digamma Consulting

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Thanks Marco for the incredibly detailed response! Fantastic information on yield for folk. Any chance we can pin it as a top post @nick?

To rephrase we mean the weight of the flower (as it is primarily sold to customers by weight). For example corn yields (i.e. tons/acre) have risen 5x over the last 70 years.

Is the weight of flower / acre expected to increase drastically over the next 5 years or do you think the optimizations in soil nutrition etc are beginning to level out the increases in yield year over year? Also on average do you see the average prices of cannabis flower falling (I believe it is at $180/oz right now) due to increases in yield?

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We have seen an increase with our own product Hydroponic Moonshine anywhere from 1/2 to 2 lbs. per plant Applying from clone to harvest Moonshine is applied to your feeding schedule in Hydroponics and reducing your base feed by 33%.
Gus

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Marco excellent article

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do you expect to see gain at such high levels for the next 5 years or so?

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There is a plugin that we had turned on to be able to mark a best answer in a topic, but we had temporarily turned it off when we were trying to troubleshoot an issue with the site. I can turn it back on again next time I reboot the community for upgrades and that should allow you to mark his answer as the best one and then it will be pinned to the top of the topic.

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I know one grower here in Denver is approaching 5lb/light, if we want to use that ruler.

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