Blunt assessment: Maryland records over $1.1B in cannabis sales in first year of legalization

More than $1.1 billion in medical and recreational cannabis was sold in Maryland in the first year since it was legalized for adult recreational use.

The Maryland Cannabis Administration reported that monthly retail sales surpassed $95 million in June. The adult-use market accounted for more than $67 million in sales. Cannabis was legalized for adult consumers on July 1, 2023, and since then adult-use sales totaled more than $700 million. Medical sales totaled nearly $400 million.

“Our new adult-use cannabis market isn’t only generating extraordinary economic activity – it’s also helping us build new pathways to work, wages, and wealth for all,” Gov. Wes Moore said in a statement. “Making Maryland more competitive means ensuring that everyone can reap the benefits of Maryland’s economic growth. This important milestone proves how our administration continually – and repeatedly – honors our deep commitment to that mission.”

The state established the Office of Social Equity, an independent executive agency that serves to promote economic opportunity and equity in Maryland’s adult use cannabis market.

Over the course of the first year of sales, the Maryland Cannabis Administration worked with the Office of Social Equity and the cannabis industry in Maryland to develop policies, practices, and tools to help the industry safely grow and evolve.

Highlights touted by the governor’s office include establishing a first-in-the-nation state cannabis reference laboratory dedicated to cannabis oversight and managed by a state cannabis regulatory agency. Another first-in-the-nation step is the Cannabis Workforce Development Program, which will prioritize training individuals with a history of cannabis-related offenses. The program was developed in collaboration with the Maryland Department of Health.

Another achievement is that the state collected more than $40 million in fees from licensed cannabis businesses to support the Community Reinvestment and Repair Fund, which provides funding directly to local jurisdictions to support community-based initiatives that benefit low-income communities and communities that were disproportionately impacted by cannabis criminalization.

The state also launched a “Medical and Adult-Use Data Dashboard,” which provides public access to key program and industry metrics. Additionally, the Maryland Department of Health helped launch a comprehensive public health and safety campaign, “BeCannabisSmart,” promoting safe and responsible cannabis use and educating the public on topics such as the dangers of drugged driving, and the importance of smoke-free spaces and safe storage of cannabis products.

Maryland also administered the first cannabis business licensing round in the nation that was reserved exclusively for social equity applicants. In that round, 205 applicants were selected, 53.7% of them self-reported majority Black or African American ownership, and 76.2% of them self-reported majority minority ownership. These businesses will more than double the number of licensed cannabis businesses operating in the state.

“I am proud of the efforts of the Cannabis Administration staff who worked in collaboration with our governmental and industry partners to implement a safe and equitable market in Maryland, while simultaneously building a new regulatory agency,” said Will Tilburg, director of the Maryland Cannabis Administration, in a statement. “As exciting as the past year has been, we expect the year ahead to be even more so, as new social equity businesses bring their passion and innovation to the Maryland market.”

“This milestone reflects the dedication and hard work of countless individuals who believe in the transformative power of equitable cannabis policies,” said Audrey Johnson, executive director of the Office of Social Equity, in a statement. “Our focus on social equity has paved the way for a more inclusive industry, and we remain committed to ensuring that all Marylanders benefit from this growing market. I am incredibly grateful to the Office of Social Equity team for their remarkable efforts, in support of diverse individuals and businesses aspiring to participate in Maryland’s cannabis economy.”    

To learn more about the cannabis adult-use legalization timeline and notable milestones for the Maryland Cannabis Administration and cannabis industry, click this link.