According to local reporting, the Ohio Division of Cannabis Control has received 244 applications so far to convert active medical cannabis licensees to dual-use cannabis licenses. Dual-use licenses permit dispensaries to sell both medical and recreational cannabis.
“The agency notified 182 facilities that they have qualified for a provisional license.” stated WVXU in its local coverage. The provisional licenses include:
- 6 testing labs
- 33 cultivators
- 39 processors
- 104 dispensaries
Provisional licenses do not automatically permit the businesses to start operations geared towards adult-use cannabis sales. Recreational cannabis sales cannot begin in Ohio until the Division of Cannabis Control gives the green light to licensees, which it has refrained from doing so far.
“It’s important to keep in mind that, based on the criteria above, there will be no one singular day when sales begin. We will start issuing licenses and it will be up to the retailer based on staffing, stock and other considerations as to which day they will begin sales,” stated division spokesperson James Crawford according to local reporting by FOX8. “Given the foundation already laid through the Medical Marijuana Control Program, current medical permit holders positioned to apply for dual-use status who have already undergone many of the comprehensive checks are anticipated to have a much quicker turnaround for issuance of licenses over the summer.”
“Ohio is estimated to have 254 dispensaries by mid-2025, according to new equity research by a marijuana financial analyst, putting it in the middle of the density pack among states where recreational marijuana is sold.” Cleveland.com stated in its original reporting.
According to cannabis industry data company Headset, “Ohio has been averaging $40 million in monthly sales over the past year. Generally, we see a 2 to 3X increase in sales with adult-use conversion, which would put Ohio at an $85 million monthly run rate right out of the gate. This is conservative; we anticipate even higher sales due to Ohio’s unique market dynamics and large population.”
The pre-roll sector in Ohio is assumed to experience the most dramatic change, with Headset pointing out that, “Ohio’s medical market prohibits smoking, banning Pre-Rolls, a category that captures 13.4% of national sales. Expect this to change with adult use, leading to significant opportunities in the Pre-Roll category.”
Per initial reporting by Marijuana Moment, Ohio recreational sales are anticipated to generate between $276.2 million and $403.6 million in annual cannabis tax dollars within five years.