New York is facing the issue of having too much cannabis on their hands. Bloomberg reported that 300,000 pounds of cannabis, worth $750 million dollars, from last summer’s cannabis production has been left without a place to be sold and whose state is in danger of becoming progressively worse.
The main issue is distribution as New York’s office of cannabis management has not approved retail dispensaries yet. Though, New York City vape shops have started selling CBD and cannabis along with there being cannabis vans selling products on the streets of New York City. Still, legal recreational cannabis shops are yet to open.
Next week, cannabis officials will be talking in a board meeting where dispensary licenses will be discussed. The number of dispensaries that are rumored to be discussed are about 150, which would help the distribution issues and hopefully find a home for the hundreds of thousands of pounds of cannabis from 200 state licensed farms that were left behind. Melany Dobson from Hudson Cannabis stated how important it is that this cannabis is found a place to be sold out because the longer cannabis is set to sit, the more likely it is to break down and lose the power it has. The Guardian explained how if New York lifts its restrictions on dispensaries and if prices stay around $2,500 per pound in wholesale, New York City alone could see the cannabis market being worth about $1.3 billion dollars.
New York cannabis management office spokesperson Aaron Ghitelman explained how the overall goal is to open dispensaries by the end of 2023.
Sources: The Guardian