Posted on 02/05/2024 1:19:01 PM PST by NautiNurse
State’s licensing process has created too much product and not enough places to sell it, a consultant and retail-store applicant say
New York state has only opened about 50 legal stores, yet state-legal cannabis farmers grew enough product this past summer and fall to supply up to 1,500 stores, a consultant who works in the industry said.
[Snip]
Meanwhile, the illicit market continues to thrive, with thousands of unlicensed shops.
While the state has issued 460 retail licenses to nonprofits and people displaced by the war on drugs under its CAURD program, it’s been difficult for most licensees to find real estate and come up with the capital to open stores.
[Snip]
Jake Reinus, the chief executive and general counsel of the Highline Cannabis, said about 700 of the 1,500 applicants had potential real-estate locations lined up, but the state had not provided many of them with licenses.
Instead of awarding 700 or more licenses to the current crop of applicants, the state has said it plans to award 250, a number Reinus and others say is too low considering the current oversupply situation.
[Snip]
“Unwilling landlords” and “unwilling and unqualified real-estate brokers” are to blame, while some landlords simply cannot lease to these businesses because they have federally backed mortgages on their properties, Reinus said. Cannabis remains illegal at the federal level.
Overall, New York’s licensed cannabis market generated only $150 million in sales in its first year of operation in 2023 — less than the $274 million generated by the much smaller state of Connecticut, which also kicked off adult-use sales about a year ago.
(Excerpt) Read more at marketwatch.com ...
First time I ever heard of ‘too much pot’ in New York...............
Fascinating story. Never would have guessed this would happen in NY.
Astonishing that CT revenue exceeded NY.
The Law of supply and demand.....................😜
Don’t send it here - our weed is better
Throw away? Oughta burn it.
Why dont they turn it into something useful, like paper or clothing?
They’re gonna throw it right out the back door.
Moose and Rocco will handle the disposal.
L
Throw it away? Ha.
meanwhile in some other state it will “fall out of the back of a truck”.
Sell it to Colorado.
The numbing of America. Politicians like their constituents docile.
It spoils that quickly? Cannot it be vacuum packed?
It is off the legal pot inventory...nobody said it was destroyed or not.
It is called weed for a reason.
I can help get rid of it.
“It spoils that quickly? Cannot it be vacuum packed?”
It can be turned into Gummies or Butters which have a much longer shelf life. There are any number of products that can be made from it.
My sister in law in California has become quite adept at that.
L
Pass the law, refuse to permit. Bootleg sales thrive.
In NY's case, permitting just 50 stores statewide isn't promoting legal cannabis sales.
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