Michigan Cannabis Market

The cannabis consultants at Point Seven Group are experts in the Michigan cannabis market. We have successfully helped our clients obtain cannabis licenses, design dispensaries, build identifiable cannabis brands, and operate compliant cannabis businesses. Our team of cannabis experts can help you reach your business goals in the Michigan marijuana market!


MICHIGAN CANNABIS MARKET STATUS

Michigan became the first Midwest state to legalize the possession and use of recreational cannabis for adults age 21 years or older through the Michigan Regulation and Taxation of Marijuana Act, also known as Proposal 1, in 2018. Within one year of legalization, Michigan sold more than $1.6 million worth of cannabis products. 

There is currently no licensing cap on the state level and applications are on an open enrollment basis. The cannabis consultants at Point7 are ready to support your team as you prepare for cannabis licensure in Michigan. Contact Point7 to discuss the fully customizable products and service packages available that have proved successful for operators around the country.

ADULT-USE CANNABIS IN MICHIGAN

In November 2017, activists pushing for adult-use cannabis legalization submitted 365,000 signatures to put a measure on the 2018 ballot. In June 2018 state lawmakers declined the option to pass the measure, and instead placed it on the November 2018 ballot. In November 2018, voters approved the Michigan Regulation and Taxation of Marijuana Act making Michigan the tenth state in the US and the first in the Midwest to legalize cannabis for recreational use.

Under current law, anyone age 21 or older may possess and consume marijuana. Where marijuana sales are legal, an individual can purchase up to 2.5 ounces, however an individual cannot have more than 15 grams of marijuana concentrate at one time. At home, an individual may keep up to 10 ounces of marijuana flower in a secured location.

MEDICAL MARIJUANA IN MICHIGAN

In November 2008 Michigan voters approved the Michigan Medical Marijuana Initiative, also known as Proposal 1. This groundbreaking measure allows for qualifying medical cannabis patients with a physician's recommendation to possess up to two and one-half ounces of cannabis. Patients can receive a physician’s recommendation for treatment of a limited list of qualifying medical conditions. The measure also allows patients/caregivers to grow up to 12 cannabis plants at home, but does not explicitly allow for dispensaries to operate. The passage of Proposal 1 made Michigan the 13th state to legalize the use of medical cannabis, and was the first Midwestern state to do so.

In September 2016, Governor Rick Snyder signed a package of bills, which among other reforms, allowed the operation and regulation of medical cannabis dispensaries, and set a taxation rate of 3% on medical cannabis sales. This package of bills also explicitly approved the use of non-smokable forms of cannabis, such as topicals and edibles.

OUR SERVICES IN THE MICHIGAN CANNABIS MARKET

ADULT-USE CANNABIS MARKET PROJECTIONS IN MICHIGAN

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in cannabis sales in 2022

According to the Michigan Department of Treasury, the state generated more than $1.8 billion in adult-use marijuana sales for the 2022 Fiscal Year. Now in 2023, licensed dispensaries have already reported a record-breaking $249.7 million in cannabis sales for the month of March. 

MICHIGAN CANNABIS LAWS


Michigan marijuana consulting

Michigan voters approved Proposal 1 in 2018 to end cannabis prohibition and effectively legalize adult-use cannabis. Governor Whitmer established the Marijuana Regulatory Agency within the Michigan Department of Licensing and Regulatory Affairs to oversee and implement the Michigan cannabis license process, as well as the regulation of cannabis businesses. The Marijuana Regulatory Agency released adult-use regulations for grower, processor, and retailer licenses. 

In 2022, legislation was passed which renamed the Marijuana Regulatory Agency to the Cannabis Regulatory Agency (CRA). The law also consolidated processing, distributing, and selling hemp under the newly formed CRA. Additionally, 2022 also saw the opening of the state’s first licensed consumption lounges. 

In addition to these provisions, Michigan continues to support communities that have been disproportionately harmed by cannabis prohibition through business education and licensing support. The state has also implemented a Social Equity Program that offers qualifying individuals and businesses with fee reductions, outreach, educational sessions, and a business resource directory to support potential business owners in the Program.

MICHIGAN HEMP LAWS

In January 2019 the Michigan Industrial Hemp Research and Development Act, also known as Public Act 641, established a licensing program for persons engaged in the growing, processing, and handling of industrial hemp. Under this Act anyone who grew industrial hemp or processed, handled, brokered, or marketed industrial hemp in Michigan, obtained a registration or license from the Michigan Department of Agriculture and Rural Development (MDARD). 

In October, 2020, MDARD received federal approval of the state’s Industrial Hemp Plan. This plan established regulatory requirements for cultivating industrial hemp, and gave MDARD primary oversight of industrial hemp production in Michigan. USDA approval signifies the Industrial Hemp Plan complies with the 2018 Farm Bill requirements and the USDA’s Interim Final Rule. 

As of April 13, 2022, the Cannabis Regulatory Agency (CRA) regulates hemp processing and Hemp Processor-Handler Licenses. Though originally the Michigan Department of Agriculture and Rural Development (MDARD) regulated hemp and the Marijuana Regulatory Agency regulated marijuana, Governor Whitmer's Executive Order 2022-1 renamed the Marijuana Regulatory Agency as the Cannabis Regulatory Agency. This new consolidated agency is tasked with regulating the processing, distribution, and sale of both hemp and marijuana going forward. Oversight of hemp cultivation will remain with MDARD. This restructuring will allow for a more effective, efficient administration and enforcement of Michigan laws regulating cannabis in all its forms.

Michigan hemp consulting