Oklahoma’s Medical Cannabis Industry Faces Major Downturn
Oklahoma’s once high-flying medical cannabis industry has experienced a sharp decline in the past three years. Some new insights reported by Tulsa World show the results of consolidation and they’re not pretty.
Adria Berry, director of the Oklahoma Medical Marijuana Authority (OMMA) since May 2021, noted, “I think it’s still really painful in the industry right now. I don’t know when we’re going to see the end of it.” Licensees are struggling, borrowing money, and investing capital to stay afloat in the state medical cannabis industry.
Industry Contraction
The OMMA reports a significant reduction in licensed marijuana growers and dispensaries:
July 2021: 8,247 growers and 2,274 dispensaries.
July 2023: 3,471 growers and 2,023 dispensaries.
Tax revenues followed a similar trajectory, peaking in FY 2021 but steadily declining since:
FY 2021: Excise taxes at over $66 million, state and local sales taxes at $82.75 million.
FY 2024: Excise taxes dropped to $46.5 million (first 11 months), state and local sales taxes to just over $60 million (first 11 months).
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