Minnesota’s marijuana market is still taking shape, and state officials say a significant expansion in cultivation will be necessary to meet demand.
According to Office of Cannabis Management (OCM) interim director Eric Taubel, the state needs between 1.5 and 2 million square feet of canopy to supply the market, according to a demand study commissioned by the OCM. Currently, Minnesota has only about 60,000 square feet of active cultivation space—roughly 3% of what is required.
To bridge the gap, Taubel says the state will need to issue a large number of cultivation licenses, somewhere between 100 and 150. Some of the shortfall is expected to be covered by tribal growers, with the governor’s office negotiating agreements that would allow tribes to open cannabis businesses beyond reservation land.
Minnesota legalized adult-use marijuana in May 2023 when Governor Tim Walz signed House Bill 100 into law. The legislation allows those 21 and older to possess, use, and cultivate marijuana, with licensed retail sales expected to begin later this year, possibly as soon as summer. The law also created the Office of Cannabis Management to oversee the market and established a framework for expunging certain marijuana-related convictions.
Earlier this month the Department of Employment and Economic Development announced the launch of new grant programs designed to support the cannabis industry.
