Cannabis Business in Wisconsin

Cannabis is illegal for recreational use in Wisconsin. However, limited use of cannabidiol (CBD) is permitted for medical reasons, with a physician's certification. Public support for cannabis legalization is growing, with many residents driving to neighboring states like Michigan and Illinois to legally buy it. This has created a strong demand in Wisconsin, leading to a significant illicit market.

CBD in Wisconsin

Wisconsin allows the use of non-psychoactive CBD for medical conditions with a physician's recommendation, but it does not have a medical cannabis program or issue medical cannabis cards. While there are no possession limits for CBD derived from either cannabis or hemp, most stores will not sell to those under 18. Non-psychoactive, cannabis-derived CBD is limited to adults with a doctor's certification.

Hemp

Hemp cultivation and processing in Wisconsin are legal and regulated by the United States Department of Agriculture (USDA). Previously, the Wisconsin Department of Agriculture, Trade and Consumer Protection (DATCP) oversaw the state's hemp program, but this transitioned to the USDA in 2022. Individuals can grow and process hemp, but they must comply with USDA licensing requirements. The transport of hemp and hemp-derived products across state lines is allowed. While smokable hemp flower is legal at the federal level, it can be difficult to distinguish from illegal cannabis, potentially leading to legal issues. Driving after consuming hemp-derived products could also lead to an OWI (operating while intoxicated) charge, as even legal hemp can contain trace amounts of THC.

Anyone looking to start a cannabis business for sale or purchase an existing cannabis business in Wisconsin should be aware of these regulations. The DATCP provides labeling guidelines for all hemp products, including:

• Product content displayed on the main label panel
• Name and business address of the manufacturer, processor, or distributor
• Net quantity of contents in the appropriate unit of measure

Hemp Business Licensing in Wisconsin

To cultivate or process hemp in Wisconsin, individuals need to obtain a hemp production license from the USDA. Those with felony convictions involving controlled substances within the past decade are ineligible. The application process involves:

• Creating a USDA Hemp eManagement Platform (HeMP) account
• Submitting an application through HeMP, including FBI criminal history reports for all key participants, dated within 60 days of application
• Submitting hemp acreage details, including the USDA license number, GPS location of the cultivation site, and a land/facility description to the Farm Service Agency (FSA)

The USDA hemp production license is valid for three years and has no application or renewal fees. However, applicants will need to pay for the FBI Identity History Summary Check.