Since launching in August this year, Ohio’s adult-use cannabis sales have eclipsed $140m. And while medical sales remain reasonably strong, registered patient numbers are dropping.
Medical cannabis sales began in Ohio on January 14, 2019, while non-medical sales commenced August 6, 2024. According to Ohio’s Division of Cannabis Control (DCC), there’s been a total of $2,147,099,847 in medical and non-medical product sales.
On the adult-use/recreational front, there have been $143,371,287 in sales over the last three months, and in the week ending November 4, $11,558,157 in product sales occurred. With regard to medical sales, $2,003,728,609 was recorded to November 4 and since those sales began. The week ending November 4 saw $18,259,541 in sales.
The introduction of legal recreational marijuana usually negatively impacts medical cannabis schemes. Hoping to head off some of the exodus, in March this year the DCC slashed patient and caregiver registration fees from $50 and $25 respectively annually to just one cent. Something else encouraging patients to not gravitate to the recreational market is medical cannabis is free of any special taxes.
Ohio imposes a 10% tax on non-medical marijuana sales on top of a state sales tax of 5.75%, and local variable sales taxes can be as much as 2.25%. And there are moves to increase the 10% tax to 15%.
A wide range of medical marijuana products are available in the state, from dry flower to topicals. But despite high levels of patient satisfaction as indicated by a Moritz College of Law Drug and Policy Center survey, 2024 was the first year the state’s medical program saw a drop in active patients – down from its peak in October 2023 of 184,958 to 159,997 active patients in September.
“This is not surprising given similar experiences of all other states that have transitioned to adult-use market,” states the Center. “Their experience also shows that the extent of the decline will depend on the degree to which regulators and policymakers are willing to make changes to policies that affect patients’ access to marijuana products and their satisfaction levels.”
One of the factors driving dissatisfaction is cost, with prices in Ohio dispensaries continuing to be approximately 70% higher than in dispensaries over the state border in Michigan.
Also seeing a drop-off is the number of Ohio physicians with certificates to recommend cannabis; down from 648 in June 2023 to 605 in June 2024.
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