Connecticut

Market Map

Connecticut
Cannabis Market

Connecticut Cannabis Market At-A-Glance

Overall Rating: A-

Medical use was legalized through legislation passed in 2012. Possession of cannabis among adults age 21 and over became legal in Connecticut on July 1, 2021. Adults cannot have more than 1.5 ounces of cannabis on their person and no more than 5 ounces in their homes or locked in their car trunk or glove box.

Medical Use: Yes

Adult Use: Yes

Market Potential

A-

Although possession of small amounts of cannabis is now legal, retail stores will not open in Connecticut until May 2022. Some lawmakers believe the date might be pushed back even further as the state undergoes the process of licensing retailers and cultivators.

Licensing

To get into the business, a lottery will be held to award licenses. Fees to enter the lottery will range from $250 for a food and beverage manufacturer or delivery license to $1,000 for a cultivator license. If an applicant is chosen in the lottery, then additional licensing fees must be paid. Businesses currently involved in the state’s existing medical cannabis program can pay to enter the recreational market, but the fees will range between $1 million and $3 million for a license. More information on starting cannabis businesses will be coming soon from the Department of Consumer Protection, which will be responsible for licensing the new companies.

Competition

B+

Each county has limits on the amount of licenses allowed.

Tax/Regulatory Structure

A-

1 excise tax per vertical.

Connecticut Cannabis Details

Population (Rank)

3.61

#29

Size/Density

5.5

#48

Medical Cannabis?

Yes

2012

Adult-Use Cannabis?

Yes

2021

2020 Medical Sales

2022 Projected Medical Sales

$125,000,000

$150,000,000

+25%

NA Adult Use Sales

2023 Projected Adult Use Sales

$250,000,000

+100%

Regulatory Agency

Connecticut's Official State Website

https://portal.ct.gov/

# of Dispensaries (allowed/issued)

No limit

# of Cultivators (allowed/issued)

No limit

# of Manufacturers (allowed/issued)

Integrated with cultivation

# of Testing Labs (allowed/issued)

No limit

Vertical Integration?

Allowed

Residency Requirements?

Yes

Social Equity?

Yes

Cannabis Taxes

Combined Tax Rate

9.35%

Excise Tax

Retail Sales Tax

6.35%

Local Sales Tax

Up to 3%

State Sales Tax

Connecticut

Cultivation Tax

Licensing Fees (per year)
^{*Varies based on gross revenue}

Cultivator

$75,000

Retailer (Adult-use | Medical)

$25,000

Manufacturer

$25,000

Retailer Transporter

$5,000

Packager

$25,000

Application Fees

Cultivator

$25,000

Retailers

$5,000

Manufacturer

$1,000

Retail Transporter

$5,000

Packager

$5,000

30/09/2021

Market Map

Connecticut Cannabis Market At-A-Glance

Connecticut Cannabis Details

Cannabis Taxes

Licensing Fees (per year) *Varies based on gross revenue

Application Fees

Licensing Fees (per year)
^{*Varies based on gross revenue}