Throughout the nation, cannabis laws are in continuous flux. The laws that govern cannabis business licensing in North Dakota and other Midwestern states are no exception. Although this region of the country is a bit behind the coasts when it comes to cannabis legalization, progress is happening here, and it’s playing out differently from state to state. Read on to get caught up on cannabis business licensing in Nebraska, Kansas, North Dakota and South Dakota.
North Dakota Cannabis Business Licensing Updates
North Dakota has rather strict and limited cannabis business licensing regulations. Manufacturing facilities are capped at a maximum of two licenses statewide, and retail dispensary licenses are capped at eight statewide. As of August 2026, no cannabis business licenses in North Dakota are open for applications. As for current medical marijuana license holders, new reforms to cannabis law took effect on Aug 1, 2026. As of publication, low-dose edibles may be sold. Permitted edibles now allowed under the medical program may contain no more than 5 milligrams of THC and no more than 50 milligrams per package. This type of product can be in the form of a lozenge or a square shape; however, other foods or beverages are not allowed. For those looking to open a hemp business in North Dakota, however, a separate legal framework is managed by the North Dakota Department of Agriculture. As of 2026, applications for hemp-related business licenses in ND are open. Applicants should plan to submit various forms, pay a non-refundable background check fee and state licensing fee, and receive formal approval from the state before acquiring materials.South Dakota Cannabis Business License Updates
As of August 2026, cannabis business licensing in South Dakota is open to some applications. This includes Dispensary licenses, Manufacturing licenses, Cultivation licenses, and Testing licenses. The South Dakota Department of Health website provides checklists to help you prepare and gather all required documents. Those applying for cannabis business licensing in South Dakota for manufacturing must first obtain a food service license. Further, the annual registration fee for a South Dakota medical cannabis establishment is $9,000, and at least one principal officer must be an SD resident. The application process may take months to complete depending on inspections, local approval and state review. As for prospective hemp businesses in South Dakota, legislation is shifting to the USDA Hemp Program, which will reduce license fees and cut state costs. You can find the complete process for South Dakota hemp business licensing here.Nebraska Cannabis Business Licensing Updates
As of August 2026, no cannabis business licensing in Nebraska is open to applications. The Nebraska Medical Cannabis Commission is moving forward with updated application and licensing fees proposals. Commissioners recently released the first draft of updated regulations; the proposal would create a $5,000 application fee, license and renewal fees based on license type, a $1,500 relocation fee, and a $13,000 fee for participation in the state's seed-to-sale inventory tracking system. There would also be a $250 fee to license a new product, plus a $100 renewal fee. Transporters would no longer need a specific license type. Instead, manufacturers could apply for a transporter certification as part of their business. Proposed Nebraska Cannabis Business Licensing Fees:- Initial and renewal fees per license type would be as follows:
- Cultivators - $20,000 for a new license; $23,500 annual renewal fee.
- Transporter - $10,000 for a new certification.
- Product manufacturers - $20,000 for a new license; $23,500 annual renewal fee if the licensee does not have a transporter certification or $28,500 if the licensee does.
- Dispensary - $15,000 for a new license; $18,000 annual renewal fee.