New York to Expand Cannabis Market and Continue Illicit Market Crack Down
By Emily Davenport
Oct. 4, 2023
New York is continuing to expand its legal cannabis market, with hundreds of licenses being made available to individuals and businesses interested in legally growing, processing, distributing, and selling cannabis.
The expansion will be rolled out in phases to ensure that New York’s cannabis market grows in a stable way, avoiding the price shocks and collapses seen in other states that have resulted in the failure of small businesses and significant contractions in overall market value.
“We know there’s room for improvement as New York works to launch a brand-new cannabis industry and crack down on illicit operators, and I’m committed to working with all stakeholders to get the job done right,” Gov. Kathy Hochul said. “My Administration is laser-focused on shutting down illegal storefronts, protecting the health and safety of children, and helping small businesses thrive. We will continue working to build the most equitable adult-use cannabis industry in the nation that invests in communities and rights the wrongs of the past.”
The Office of Cannabis Management (OCM) and the New York State Cannabis Control Board (CCB) will be accepting the applications and will start to roll out licenses for cultivators, processors, distributors, microbusinesses, and retail dispensaries in early 2024. During the application window, those who are currently operational Adult-Use Conditional Cultivators and Conditional Processors will also be able to apply to transition to full, non-conditional licenses.
The application period will open on Oct. 4 and will remain open for two months, until Dec. 4. Those interested in applying can read the application guidance and frequently asked questions here. Entrepreneurs who are seeking to apply for licenses will be able to file their applications through the New York Business Express (NYBE) platform, accessible here.
Gov. Hochul also announced that the state will continue to aggressively enforce against the illegal sale of cannabis across New York, led by OCM and the Department of Taxation and Finance (DTF). To date, this enforcement has resulted in the seizure of more than 8,500 pounds of illicit products with an estimated street value of more than $42 million, and in two particular concentrated enforcement actions on the West Side of Manhattan and in Downtown Brooklyn, resulted in the seizure of nearly 150 pounds of product worth close to $600,000.
Businesses illegally selling cannabis products will be fined, starting at $10,000 per day and can rise up to $20,000 per day for the most egregious conduct. An additional fine of $5,000 can be levied for the removal of Orders to Cease Unlicensed Activity affixed to the outside of the doors.
Read the full article at AMNY.