Every Step of the Cannabis Supply Chain in Las Vegas

Clark County’s legal cannabis industry follows a structured, tightly regulated “seed-to-sale” model, overseen by the Nevada Cannabis Compliance Board (CCB), ensuring every plant’s journey—from cultivation to consumer—is transparent, safe, and compliant.

Cultivation and Harvesting

Licensed cannabis growers cultivate plants in indoor or greenhouse facilities, particularly in areas like North Las Vegas. These facilities can generate $1.5 million to $5 million annually, depending on scale and operational efficiency. Cultivation licenses are issued and monitored by the CCB under strict guidelines from the Clark County Code (Chapter 8.65).

Testing and Quality Control

Post-harvest, cannabis enters licensed testing labs. They use the state’s METRC system—an RF‑tag and track‑and‑trace platform mandatory across Nevada—to log batch weights, potency levels, microbial activity, and pesticides. This system ensures products meet safety standards before reaching dispensaries.

Processing and Manufacturing

Certified production facilities convert raw flower into finished products: cartridges, edibles, tinctures, and concentrates. Strict regulations govern channels, labeling, and packaging to comply with state and county standards.

Distribution and Transportation

Licensed distributors act as the bridge between processors and dispensaries. They must follow state-mandated protocols—secured vehicles, sealed packaging, manifest logging—ensuring product integrity and compliance with the seed-to-sale tracking system.

Dispensaries and Retail

Clark County houses approximately 70 adult-use dispensaries—around 71% of Nevada’s total. Dispensaries receive shipments logged in METRC and must adhere to inventory rules, including point-of-sale reconciliation. They offer a variety of cannabis products to adult customers (21+) and medical patients.

Taxation and Sales Volume

In fiscal year 2022 (July 1, 2021–June 30, 2022), Nevada’s legal cannabis market generated $965 million in taxable sales—$754 million of which came from Clark County. Despite a slight decline from the prior fiscal year ($1 billion in FY 2021), Clark County remains the economic engine of the state’s cannabis retail sector.

Illicit Market Competition

The licensed industry coexists with a significant illicit market, valued at $242‑370 million annually, fueled by price sensitivity. Studies estimate cannabis price elasticity in Nevada at –0.74, indicating a mild decline in consumption despite price increases. This continues to challenge the regulated market’s growth.

Regulatory Oversight

The CCB plays a central role in licensing, compliance, and enforcement. It issues licenses for cultivation, manufacturing, testing, distribution, and retail, performs audits, investigates infractions, and maintains public trust. Local ordinances enforce buffer zones from gaming venues and restrict consumption lounges. In 2021, Assembly Bill 341 created social-equity focused licensing and authorized consumption lounges.

Key Takeaways

Seamless tracking: METRC ensures traceability from cultivation to sale.
Strong oversight: The CCB, Clark County, and state taxation enforce strict monitoring and compliance.
Major economic contributor: Clark County dominates Nevada’s cannabis revenue stream.
Regulatory challenges: Illicit market competition and evolving tax and licensing regulations require ongoing adaptation.