How to open a dispensary in Mississippi: apply to the Department of Revenue, which takes dispensary applications year round and issues a license within 30 days of a complete file. The medical-only program had 171 dispensaries and 110 cultivators at the end of 2025. No license cap or application deadline exists as of Nov. 2026.
Rolling applications open; 171 dispensaries and 66,041 patients at Dec. 2025; HB 895 vetoed March 2026
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Mississippi is medical only with two regulators. The Mississippi State Department of Health Medical Cannabis Program licenses cultivation, processing, testing and transport; the Department of Revenue licenses dispensaries. Both take applications year round with no cap and decide within 30 days.
Dispensaries fell from 200 to 171 in 2025 while patients rose to 66,041. The governor vetoed HB 895 in March 2026, so the 60% THC cap on concentrates stands. Compare cannabis licensing in every state.
Size the grow to the tier you can fill. A Tier 2 building with 15,000 sq ft of canopy needs about 25,000 sq ft of floor area, which at $150 to $500+ per sq ft runs $3.75 million to $12.5 million or more before $35,000 in fees for year one. Design takes 30 to 60 days and the build 3 to 6 months after permits, so a dispensary on its 18 month clock needs zoning and the 1,000 foot survey cleared before the lease.
Power: Mississippi's average commercial electricity price was 13.20 cents per kWh in 2025 against a U.S. average of 13.37 cents, per EIA Electric Power Annual, Table 2.10. Indoor cultivation is mandatory in a humid subtropical climate, so dehumidification is the largest load after lighting; model it per room with Urban Farms HVAC. 80 cities and 17 counties had opted out of dispensaries on MDOR's map as of April 1, 2024; grow sites carry the same 1,000 foot setback (Rule 5.4.3).
Testing. Every batch (25 lb cap) is tested for potency, pesticides, heavy metals, mycotoxins, microbials and foreign material, plus residual solvents on concentrates. Flower fails above 30% total THC, concentrates above 60%, water activity above 0.65 (Rules 1.7.6 and 1.7.7).
Security. Grow and processing sites need 24/7 alarms that run through a power outage, lighting for continuous video, commercial grade locks and 120 days of video archive (Rules 5.10.6 to 5.10.9). Dispensaries record at 1080p (Rule 35.XI.11).
Tracking. Metrc is the state seed-to-sale system; labs upload results within one business day.
Packaging and edibles. Child-resistant and resealable for multi-serving products (16 CFR 1700.15). Labels state THC per serving and per package; above 30% total THC the label reads extremely potent. One MMCEU equals 100 mg THC in an infused product.
| Topic | Mississippi rule | Design response |
|---|---|---|
| Indoor cultivation | Rule 5.10.5: all cultivation indoors in enclosed, locked facilities | Sealed rooms with HVAC sized for Gulf humidity and Anden dehumidifiers |
| Canopy tiers | Fees step from 1,000 sq ft micro to 150,000 sq ft Tier 6 | NextGen rolling benches planned to land under the tier line |
| Solvent extraction | Rules 6.11.8 to 6.11.14: 99% pure hydrocarbon, ventilation, ignition control, gas detection | C1D1 room in the MEP set (C1D1 room requirements), used Precision Extraction systems |
| Potency and edibles | Concentrates capped at 60% total THC; edibles need a food permit | Dilution and dosing in a food grade kitchen (edibles equipment), Coldelite confection lines |
Apply to the Department of Revenue online with a sales tax permit, owner background checks, a premises diagram, an operations plan and a security plan. The site must be zoned commercial, 1,000 feet from schools, churches and child care, and 1,500 feet from another dispensary. MDOR decides within 30 days.
$40,000 in the first year: a $15,000 nonrefundable application fee and a $25,000 annual license fee, then $25,000 a year to renew. A dispensary under construction must pass final inspection within 18 months of licensure.
Two micro tiers (up to 1,000 and 2,000 sq ft of canopy, $2,000 and $3,500 a year) for owners with three years of state residency, and six standard tiers from 2,000 to 150,000 sq ft at $15,000 to $150,000 a year. All cultivation must be indoors in an enclosed, locked building.
No. The Act sets no limit on dispensaries, cultivators or processors, and both regulators accept applications year round. Dispensaries fell from 200 to 171 in 2025 while patients grew to 66,041, so new entrants compete on location and cost.
No. Gov. Reeves vetoed HB 895, which would have removed the 60% THC potency limit on tinctures, oils and concentrates, and the 60% cap still appears in the testing and dispensary rules. For a neighboring adult use market, see Missouri cannabis licensing.
Regulator: Mississippi State Department of Health, Medical Cannabis Program. Last reviewed November 7, 2026.