Michigan launches program to promote social equity in cannabis industry

The Michigan Cannabis Regulatory Agency (CRA) launched a new initiative this week to encourage cannabis industry licensees to be proactive in their diversity, equity, and inclusion campaigns.

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The initiative is called the Social Equity All-Star Program, through which the CRA recognizes licensees who meet the qualifying criteria with bronze, silver, and gold social equity seals. Those awarded seals have met established goals to one extent, such as developing, publishing, and implementing social equity plans, corporate spending plans, and community reinvestment plans.

“Michigan’s cannabis industry is abounding with business owners who have invested their time and money in initiatives to help those who were disproportionately impacted by marijuana prohibition to have a real shot at success in this growing industry,” CRA Executive Director Andrew Brisbo said. “I’m excited that this new recognition program will help acknowledge the important work our licensees are doing to invest in people who deserve, at a minimum, a level playing field on which to work toward achieving their dreams.”

In short, those awarded a bronze medal must publish their social equity plan on the CRA website and attest to its implementation. Silver medal winners must meet the bronze level requirements and publish their corporate spend plan on the CRA website. Those that earn the gold medal must meet the silver level requirements and publish their community reinvestment plan on the CRA website.

Various promotions and recognition events will occur throughout the year, highlighting the licensees who meet the criteria for each tier. Also, the Social Equity All-Star Program licensees will be listed on the CRA website and in periodic communications to the public.

According to Brisbo, Michigan set a new monthly sales record for marijuana products in April 2022, with nearly $195 million in total sales. While the sale of medical marijuana was down 44 percent from April 2021 to $27 million, sales of adult-use marijuana were up 60 percent year over year to $168 million.

“This sales record is despite the fact that the average retail flower price (ounce) dropped from $203.91 in April 2021 to $123.54 in April 2022 for medical sales and from $245.99 to $133.19 for adult-use sales,” Brisbo tweeted on May 10.

There are currently 1,285 active licenses for medical marijuana sales in the state and 1,412 active adult-use licenses with 500 retailers, the CRA executive director added.