Rhode Island Disqualifies 62% Of Social Equity Cannabis Applicants As Hemp Rules Finalized

18 November 2025

Rhode Island’s cannabis industry is moving into a new stage, and early signs suggest the path into the market may be narrower than many expected. The state’s Cannabis Control Commission said 36 of 94 social-equity pre-applicants met eligibility requirements for adult-use retail licenses. About 62 percent did not clear the first screen.

The 2022 legalization law allows 24 new Rhode Island cannabis retail licenses, with six set aside for social-equity businesses and six for worker-owned cooperatives. All applicants, both social-equity and standard, must submit full applications by December 29. Qualified social-equity candidates will enter a lottery for their six reserved licenses. Others may still compete in the general lottery. Each of the state’s six regions can have up to four licensed stores, which may shape how cannabis access spreads across Rhode Island.

Social-equity status depends on meeting at least one condition. These conditions may include living in a disproportionately impacted area for five of the last ten years, having a personal or family history of drug charges now decriminalized, hiring full-time workers from targeted census tracts or earning below a defined income level. These areas include parts of Providence, Pawtucket, Central Falls, Newport and Woonsocket. Screening was carried out by Creative Services, Inc.

The state’s timeline continues into 2026. Starting January 1, the new Rhode Island Cannabis Office will have 90 days to verify eligibility. Local approvals must follow. Lottery drawings are expected in May 2026, which means new adult-use cannabis stores could open later that year.

At the same meeting, the commission adopted permanent regulations for Rhode Island hemp products. These rules require testing, restrict youth-oriented labeling and limit sales to adults 21 and older. They place THC caps at 1 milligram per serving and 5 milligrams per package, which affects a growing market for intoxicating hemp drinks and low-dose THC edibles. Rhode Island began allowing hemp beverages in August 2024, a policy that has divided cannabis businesses and the liquor industry. Regulators say shifting federal standards may require later revisions.

Lawmakers have also asked the commission to study dosage limits, packaging and licensing for hemp drinks. The final report is due March 1, 2026, and public listening sessions are planned for early next year.

One seat on the Rhode Island Cannabis Control Commission remains open while the governor selects a replacement. The remaining commissioners continue to oversee licensing, hemp regulations and the required study.

For residents following Rhode Island marijuana news, the impact varies. Social-equity applicants face a demanding process. Those who did not qualify still have a route into the general pool. Consumers may see new cannabis stores open across the state in 2026, along with clearer labeling on hemp-derived THC products. Taken together, these steps suggest Rhode Island is shaping a controlled and gradual expansion of its legal cannabis market.