Although Ohio legalized medical cannabis in 2016, sales did not begin until 3 years later in 2019 with a bumpy start. Ohio’s market has not yet met maturity, so there is projected growth in this state.
Medical Use: Yes
Adult Use: No
Market Potential
B+
There is potential for manufacturers and testing labs in the Ohio medical cannabis market. Other types of licenses are capped and near capacity.
Licensing
B
The licensing fees are expensive with annual renewal fees. Dispensaries are subject to a biennial renewal fee.
Competition
B
Competition in Ohio is fair, although it is expected to increase in the upcoming years as the market matures.
Tax/Regulatory Structure
A
Ohio has a low state tax.
Ohio Cannabis Details
Population (Rank)
11,690,000
#7
Size/Density
286.1 sq. miles
#10
Medical Cannabis?
Yes
2016
Adult-Use Cannabis?
No
NA
2020 Medical Sales
2022 Projected Medical Sales
$21,000,000
$298,000,000
+132%
2020 Adult Use Sales
2022 Projected Adult Use Sales
NA
NA
NA
Regulatory Agency
Ohio Department of Commerce and Board of Pharmacy. The Department of Commerce will oversee growers, processors, and labs. The Board of Pharmacy will oversee dispensaries
https://www.pharmacy.ohio.gov
# of Dispensaries (allowed/issued)
60
57
# of Cultivators (allowed/issued)
29
24
# of Manufacturers (allowed/issued)
40
14
# of Testing Labs (allowed/issued)
No limit
5
Vertical Integration?
Allowed with limitations
Residency Requirements?
NA
Social Equity?
No – possibly this year
Cannabis Taxes
Combined Tax Rate
6.5-7.25%
Excise Tax
NA
Retail Sales Tax
NA
Local Sales Tax
NA
State Sales Tax
6.5-7.25%
Cultivation Tax
NA
Licensing Fees (per year)
*Varies based on gross revenue
Cultivation Certificate of Operation Fee
$20,000-$200,000
Processor Certificate of Operation Fee | Annual
$90,000 | $100,000
Laboratory Certificate of Operation Fee | Annual
$18,000 | $20,000
Dispensary Certificate of Operation Fee | Biennial
