The Mississippi Legislature approved the Mississippi Medicinal Cannabis Act (SB 2095) on January 26th, 2022, restoring voters’ will by establishing a medical cannabis program. On February 2nd, 2022, Gov. Tate Reeves (R) signed the measure into law, making the state the 37th in the US to do so. For hands-on guidance, Cannaspire’s Cannabis consultants work with operators at every stage.
As it pertains to Mississippi medical cannabis businesses,
On January 25th, 2023, the state of Mississippi officially marked the start of its medical cannabis sales program.By 2024 and into 2025, Mississippi’s program began to evolve. Active patient enrollment rose quickly, with about 350 new cards issued per week. Registered patients climbed from roughly 40,000 in mid-2024 to nearly 50,000 by mid-2025. As of September 2025, there are 193 dispensaries in the state.
In August 2025, a legislative advisory committee considered proposals to ease burdens on patients and providers, such as extending practitioner follow-up visits beyond six months and expanding qualifying conditions.
According to the Mississippi Medical Cannabis Program’s 2025 Annual Report, Mississippi’s medical cannabis market continues to demonstrate steady growth and long-term stability. In 2025, the program generated approximately $138.9 million in retail cannabis sales, reflecting consistent patient demand throughout the year . Active patient participation increased significantly, rising from 49,626 patients in 2024 to more than 66,000 active patients in 2025, signaling expanding access and utilization statewide
Mississippi’s medical cannabis market is still developing, with 62,967 patients already approved in the state program as of September 2025. It’s projected that Mississippi’s medical marijuana industry will reach $300 million in revenue by 2026. Enrollment has continued to expand since sales began in January 2023, highlighting the rapid growth of the program. For entrepreneurs, this represents an early opportunity to establish a dispensary in a market that is less saturated than larger states, while benefiting from increasing patient demand.
Are you looking to open a cannabis business in Mississippi? You must consider what is allowed in the town or municipality in which you intend on starting your marijuana business. Under the Mississippi Medical Cannabis Act, localities can determine hours, implement zoning laws, regulate the operations of medical cannabis businesses, and opt out by voter referendum.
Local governments had until May 3, 2022 to make a decision on whether or not to allow medical cannabis businesses to operate inside their borders; ten counties and seventeen cities eventually declined to participate.
Before submitting a dispensary application, applicants should review the Public Registry of Medical Cannabis Dispensaries to confirm that their proposed location is at least 1,500 feet from the main entrance of any already licensed dispensary. Failure to meet this requirement may result in denial of the application.
When the time comes for you to start a cannabis company in the state of Mississippi, the various regulations across the state may pose a challenge. The following section will be updated with any new information on local restrictions and challenges that come to light when the market opens up.
In November 2020, a medical marijuana proposal (Initiative 65) to legalize medical marijuana was passed by a majority of voters in the state of Mississippi. Six months later, the state’s Supreme Court nullified it, asserting that the state’s initiative procedure was outdated and unworkable.
As mentioned above, the Mississippi Medical Cannabis Act (SB 2095), an act to authorize medical cannabis use by qualified patients, was signed into law by Mississippi Governor Tate Reeves on February 2th, 2022. Patients may now purchase up to 3.5 grams of cannabis up to six days a week.
Patients who have been diagnosed with specific medical conditions or whose treatment qualifies for enrollment in the Mississippi Medical Cannabis Program may be eligible for medical cannabis. Qualifying conditions include Parkinson’s, Huntington’s, HIV, and AIDS. A complete list of conditions can be found here.
Under SB 2095, the Mississippi State Department of Health (MDOH) has primary regulatory responsibility for medical marijuana, which includes the authority to issue most cannabis business licenses. The Mississippi Department of Revenue (MDOR) is responsible for issuing licenses to medicinal cannabis dispensaries.
Any company that wants to get licensed by the MDOH for any part of the state’s Medical Marijuana Program should register with the Secretary of State’s Office first.
Not every regulation has been finalized yet, but you can get a clear idea of the requirements for securing a business license to sell cannabis in Mississippi by reading the full Mississippi medical cannabis legislative overview.
If you are planning to open a medical cannabis dispensary in Mississippi, the process involves registering your business, securing permits, preparing documents, and completing inspections before serving patients. The Mississippi Department of Revenue (MDOR) provides a clear checklist to help applicants navigate each requirement. Below is a step-by-step outline based on official state guidance:
While the Mississippi Department of Revenue and Department of Health provide checklists and guidance, many applicants choose to work with experienced cannabis consultants providing licensing services to ensure their applications, operational plans, and compliance strategies meet state and local requirements.
Mississippi Cannabis Consultants supports dispensary applicants with licensing preparation, compliance planning, and operational readiness, helping businesses move through the application process with clarity and confidence.
A strong application requires more than just paperwork — Mississippi expects dispensary applicants to submit clear, detailed plans showing how the business will operate responsibly and in compliance with regulations. The following plans are typically required:
Preparing these plans not only improves your chance of license approval but also strengthens your ability to attract investors, manage risk, and scale successfully.
Licensing will be granted to the following types of medicinal marijuana businesses:
There is no limit on the number of business licenses that may be issued. Individuals or businesses may not possess more than a ten percent ownership stake in more than 1 processing license, 1 cultivation license, and up to 4 dispensaries.
The MDOR and the MDOH will receive applications for licenses and grant licenses in accordance with their respective responsibilities, subject to the following:
The cost to open and operate a cannabis business in Mississippi depends on the license type and tier. Below is a breakdown of the required application and annual license fees for each category.
The first-year cost to obtain a medical cannabis dispensary license in Mississippi is $40,000, which includes a $15,000 non-refundable application fee and a $25,000 annual license fee.
License Type | Application Fee | Annual License Fee |
Micro-Cultivator – Tier 1 | $1,500 | $2,000 |
Micro-Cultivator – Tier 2 | $2,500 | $3,500 |
Cultivator – Tier 1 | $5,000 | $15,000 |
Cultivator – Tier 2 | $10,000 | $25,000 |
Cultivator – Tier 3 | $20,000 | $50,000 |
Cultivator – Tier 4 | $30,000 | $75,000 |
Cultivator – Tier 5 | $40,000 | $100,000 |
Cultivator – Tier 6 | $60,000 | $150,000 |
Micro-Processor – Tier 1 | $2,000 | $3,500 |
Micro-Processor – Tier 2 | $2,500 | $5,000 |
Processor | $15,000 | $20,000 |
Dispensary | $15,000 | $25,000 |
Transportation | $5,000 | $7,500 |
Disposal | $5,000 | $7,500 |
Testing Facility | $10,000 | $15,000 |
Research Facility | $10,000 | $15,000 |
To open a cannabis dispensary in Mississippi, the applicant must submit:
Before applying for a cannabis dispensary license, you should:
Momentum is building for updates to the state’s medical cannabis program. In September 2025, the Mississippi Medical Marijuana Association urged lawmakers to relax potency caps, broaden qualifying conditions, and extend patient-card validity from 12 to 24 months. Earlier in the year, lawmakers introduced several reform bills during the 2025 legislative session, though most failed to advance. HB 611, introduced on January 15, 2025, proposed technical adjustments to the state’s Medical Cannabis Act but died in committee by March 4, 2025. Broader measures such as SB 2351 (to deschedule marijuana and remove penalties, introduced January 20, 2025) and HB 518 (to reduce possession of small amounts to a civil penalty, introduced January 10, 2025) also stalled by February 4, 2025.
These developments show that while full legalization remains elusive, active debate and incremental policy proposals continue to shape Mississippi’s cannabis landscape.
At this time, Mississippi does not have a cannabis-specific social equity program or dedicated grant funding. Future legislative changes may introduce equity-focused opportunities, so entrepreneurs should remain informed about new policies.
Cannabis businesses in Mississippi must comply with strict advertising regulations set by the Department of Health. Dispensaries and other licensees are prohibited from advertising in broadcast, electronic, print, or mass messaging media, as well as displaying cannabis products in windows or public view. Advertising in public spaces, such as highway or electronic interstate signs, is also banned.
Licensees may not use images or content that appeal to minors, including cartoons, toys, animals, or child-like characters. In addition, advertisements cannot depict cannabis consumption, make health or safety claims, or promote overconsumption. Business owners should review Mississippi’s official advertising rules before developing any marketing strategy.
For compliant strategy and examples that avoid restricted claims and placements, review our cannabis dispensary advertising guide.
Mississippi’s medical cannabis program is still developing, and while recreational legalization has not yet been approved, the state’s medical market continues to grow rapidly. For entrepreneurs, this creates an important window of opportunity to establish a dispensary before the market becomes more competitive. By understanding license requirements, preparing detailed plans, and staying compliant with state and local regulations, you can position your business for long-term success.
Applicants should confirm that their proposed dispensary location is not in a city or county that has opted out of the Medical Cannabis Program before submitting an application. Applications submitted in restricted jurisdictions may be denied, and application fees are non-refundable.
As laws evolve and new opportunities emerge, staying informed will be key. If you are planning to open a dispensary in Mississippi, now is the right time to take the first steps and prepare for the future of the industry.
How long does it take to get a dispensary license in Mississippi?
Most applications are reviewed within 30 days, though delays may occur if additional information is required.
Can one owner operate multiple dispensaries?
Yes, but ownership is capped at up to four dispensary licenses.
How much does it cost to open a dispensary in Mississippi?
The application fee is $15,000 with an annual license fee of $25,000. Additional costs include property expenses, staffing, and compliance requirements.
Does Mississippi have a social equity program?
Currently, Mississippi does not have a formal social equity program, though new legislative updates may change this in the future.
Do dispensaries in Mississippi pay taxes?
Yes, medical cannabis sales are subject to state sales tax in addition to license fees.
In the upcoming weeks and through 2026, we anticipate many new events going on in Mississippi that could change when and how recreational marijuana is legalized. We will keep you up to date on how to open a dispensary in Mississippi and all the important news, including the news that isn’t so easy to find. You can sign up for our Mississippi Cannabis Mailing List by filling out the form below. Our cannabis compliance experts turn day-one compliance into a lasting advantage.
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