Michigan

Market Map

Michigan
Cannabis Market

Michigan Cannabis Market At-A-Glance

Overall Rating: B-

The Michigan cannabis market is on the rise since adult-use legalization took place 3 years ago. Medical cannabis establishments had a 2 year competitive advantage that many people expected to last until November 2021, but the regulation was lifted in November 2020, causing a huge rise in the competitiveness of the market. Previously to November 2020, the regulations required a business owner to have a medical cannabis license to apply for the recreational license. Since this has been lifted, more social equity opportunities have become available.

Medical Use: Yes

Adult Use: Yes

Market Potential

B-

Michigan is currently experiencing a boom in the cannabis industry, although competition is strong.

Licensing

There is no state cap, although the amount of each license is up to the local municipality. The annual fees are done on a tier basis for each different license type. See more information below.

Competition

The Michigan cannabis market is extremely competitive.

Tax/Regulatory Structure

1 excise tax and 1 state tax.

Michigan Cannabis Details

Population (Rank)

9,987,000

#10

Size/Density

177 sq. miles

#10

Medical Cannabis?

Yes

2008

Adult-Use Cannabis?

Yes

2018

2020 Medical Sales

2022 Projected Medical Sales

$869,000,000

$698,000,000

-19%

2020 Adult Use Sales

2022 Projected Adult Use Sales

$663,000,000

Regulatory Agency

Marijuana Regulatory Agency

https://www.michigan.gov/mra//olcc/marijuana/pages/default.aspx

# of Dispensaries (allowed/issued)

No limit – Up to local municipality

# of Cultivators (allowed/issued)

No limit – Up to local municipality

# of Manufacturers (allowed/issued)

No limit – Up to local municipality

# of Testing Labs (allowed/issued)

No limit – Up to local municipality

Vertical Integration?

Prohibited

Residency Requirements?

Social Equity?

Yes

Cannabis Taxes

Combined Tax Rate

16%

Excise Tax

10% (retail price)

Retail Sales Tax

Local Sales Tax

None

State Sales Tax

None

Cultivation Tax

None

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

Class A Marijuana Grower

Bottom 33% - $3,000 | Middle 33% - $4,000 | Top 33% - $5,000

Class B Marijuana Grower

Bottom 33% - $6,000 | Middle 33% - $8,000 | Top 33% - $10,000

Class C Marijuana Grower

Bottom 33% - $30,000 | Middle 33% - $40,000 | Top 33% - $50,000

Excess Marijuana Grower

Bottom 33% - $30,000 | Middle 33% - $40,000 | Top 33% - $50,000

Marijuana Microbusiness

Bottom 33% - $6,000 | Middle 33% - $8,000 | Top 33% - $10,000

Marijuana Retailer

Bottom 33% - $20,000 | Middle 33% - $25,000 | Top 33% - $30,000

Marijuana Secure Transporter

Bottom 33% - $20,000 | Middle 33% - $25,000 | Top 33% - $30,000

Marijuana Safety Compliance Facility

Bottom 33% - $20,000 | Middle 33% - $25,000 | Top 33% - $30,000

Designated Consumption Establishment

$1,000

Application Fees

Class A,B,C Marijuana Grwoer

$4,000 | $8,000 | $40,000

Excess Marijuana Grower

$40,000

Marijuana Microbusiness

$8,000

Marijuana Processor

$40,000

Marijuana Retailer

$25,000

Marijuana Secure Transporter

$25,000

Marijuana Safety Compliance Facility

$25,000

Designated Consumption Establishment

$1,000

10/09/2021

Market Map

Michigan Cannabis Market At-A-Glance

Michigan Cannabis Details

Cannabis Taxes

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

Application Fees

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