Beginning on August 26, Oklahoma will impose a nearly two-year freeze on issuing new licenses for medical marijuana Oklahoma producers, processors, and dispensaries to catch up on unfinished business and improve company compliance.
Numerous licensed operators have benefited from the state’s one of the most business-friendly medicinal cannabis systems in the nation.
Regulators have had difficulty reducing illegal marijuana activities and enforcing industry restrictions, including stricter rules, on enterprises.
When the moratorium was first declared to begin on August 1, the Oklahoma Medical Marijuana Authority (OMMA) later stated that it had misinterpreted the start date of House Bill 3208. This law initiated the licensing freeze.
Thus, prospective MMJ enterprises have a few more weeks to submit licensing applications before the moratorium begins.
The suspension won’t impact current licenses for growers, processors, and dispensaries or their renewals.
According to the OMMA, there were 1,433 processors, 2,286 dispensaries, and 7,348 growers in Oklahoma as of July.
If the executive director of OMMA judges that all ongoing license evaluations, inspections, or investigations are finished by August 1, 2024, the moratorium will end earlier.
Medical marijuana sales in Oklahoma are expected to reach $875 million to $1.1 billion this year, according to the 2022 MJBiz Factbook.
The booming cannabis industry in Oklahoma has a far-reaching economic impact on thousands of workers, packaging and banking partners, storefront landlords, and cannabis business owners.
However, officials are hesitant to describe the cannabis sector as a panacea for the state’s financial problems regarding state and municipal tax collection.
Another law in Oklahoma, with fewer restrictions, encourages cannabis business ventures. In places like Colorado, recreational marijuana cannot be bought or sold in areas where it is forbidden.
In total, Arkansas only permits 40 dispensaries to be open for business. However, in the nearly four years after legalization, Oklahoma has doubled the amount of recreational and medical shops in Colorado.
The market accessibility of Oklahoma, however, is not appreciated by everyone. The state has experienced several things.
The state has seen its fair share of marijuana trafficking busts. The licensing procedure in Oklahoma is being strengthened by lawmakers this legislative session by adding extra costs
Oklahoma has made it very simple for aspiring entrepreneurs without much start-up money to enter the marijuana industry. However, opponents of the measure claim that attempts to increase entrance hurdles may disproportionately harm non-white business owners.
Less than 10% of business owners are Black or Latino, according to a Marijuana Business Daily survey from 2017. By establishing equity rules that are intended to encourage persons from underprivileged backgrounds to launch enterprises in the sector, several governments have made an effort to address this problem.
Results, in reality, have been mixed.
The state’s expanding cannabis industry has a positive economic impact on both the firms and their partners, as well as the state and local governments, who benefit from increased tax income.
Due to the passage of SQ640, which raised the bar for revenue legislation, medical cannabis has been one of the state’s few tax-raising initiatives in the last 30 years. However, it’s debatable if the funding will make a big difference.