Licensed But Closed: New York’s Cannabis Dream Faces Bureaucratic Nightmare
New York’s dream of a thriving legal cannabis market for many licensed retailers remains just that – a dream, as the gap between the issued licenses and operational dispensaries widens alarmingly.
The New York Office of Cannabis Management (OCM) has issued a total of 1,117 licenses, yet only about one-tenth of these businesses are operational, noted The Green Market Report. This disparity exposes significant issues, from bureaucratic red tape to legal hurdles, impeding the transition from an illicit market to a regulated framework.
Slow Dispensary Rollout Hampers Illicit Market Control
As of 2024, only 141 dispensaries have opened their doors, according to OCM data. This slow rollout impacts not only business owners but also hampers efforts to curb the sprawling illegal market, estimated to include around 3,000 unlicensed shops in New York City alone. This situation poses serious questions about the effectiveness of state strategies to replace illegal operations with lawful enterprises.