While legalization opened new doors for entrepreneurs, Minnesota cannabis dispensaries are facing an unexpected hurdle — a lack of product. Despite dozens of licenses issued, most stores can't yet stock their shelves with adult-use cannabis due to slow cultivation growth and limited supply chain infrastructure.
Over two years after legalization, nearly 60 businesses have received approval to operate, with more than 1,400 others awaiting clearance. Yet, only two cultivators have licenses to grow cannabis for Minnesota cannabis dispensaries, and their plants aren't mature enough to harvest. As a result, many retailers, including In-Dispensary in downtown Minneapolis, are stuck selling only hemp-derived THC edibles.
Owner Mark Eide says his store's sales have plummeted because of the delay. "We should be handling about 80 customers per day," he told WCCO, "but instead, we're serving two to four." His story mirrors that of many others trying to keep their doors open as Minnesota cannabis dispensaries struggle to obtain supply.
The Office of Cannabis Management's director, Eric Taubel, acknowledges that this rollout stage is the hardest. He expects supply to improve once more cultivators and tribal compacts come online. Minnesota currently has agreements with three tribal nations Prairie Island Indian Community, White Earth Nation, and the Mille Lacs Band of Ojibwe — allowing them to operate and sell cannabis to other businesses. These tribal partnerships could provide much-needed relief for Minnesota cannabis dispensaries waiting for wholesale access.
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