Some pupils are understood to have handed over their weekly pocket money to pay for the Class B drug.
The boys were caught at Cherry Fold Community Primary School in Burnley last Friday.
The case highlights the rising number of children experimenting with drink and drugs at an increasingly young age.
Doctors warn that cannabis, which can lead to depression and schizophrenia, may be particularly harmful for this age group.
Prince Charles visited the school earlier this year and was told about the work of a charity to improve the emotional well-being of pupils.
The boys’ parents are waiting to see if their suspension will be turned into expulsion. The mother of one of the boys claimed their behaviour was a symptom of broken Britain and the levels of crime and disorder on her housing estate.
The woman, who cannot be named, said her son had told her he had sold the cannabis for another boy.
‘I’ve questioned my son and he’s told me that he felt like he was being pressured to collect money and hand out drugs,’ she said.
‘He told me there was an operation where one child would take the money and another would hand out the drugs. It’s shocking and unbelievable.
Children should be able to go to school without feeling pressured into selling drugs.’
The single mother, who has five children and lives in a terraced house, said: ‘My feelings are mixed because my son says he felt like he was pushed into it, but at the same time I teach my children right and wrong.
‘I’m disappointed in him and he has promised me it won’t happen again.’
The family, who live on the edge of the notorious Stoops Estate in Burnley, claim the area has seen a rise in anti-social behaviour among young children withmany drinking, smoking drugs and starting fires in empty houses.
The drug dealing incident was uncovered by teachers and police were immediately called in to speak to the pupils and their parents.
Each boy is below the age of criminal responsibility and has instead been told to complete a youth referral order.
This means they will have to agree a contract – between three and 12 months – and their behaviour will be monitored by a panel of community volunteers and experts to ensure no repeat of the offence. The boys will not have to disclose the incident to any future employer.
Outside the school gates parents were horrified that children so young could be caught up in drug dealing.
Pete Young, whose three-year-old daughter attends the school, said: ‘It is disgusting but in a way I’m not surprised. Sadly, it is the way this town is going. It’s terrible.’
Deanne Marsh, acting head at the school, said: ‘It would not be appropriate for me to comment further as we take our pupils’ confidentiality and safety very seriously and we are still looking into all the circumstances.’
By JAYA NARAIN
Last updated at 7:39 AM on 6th October 2010