News Every Day | 05 January 2025, 17:39

Inside New York's annual weed report for 2024

ALBANY, N.Y. (NEXSTAR) — New York's Office of Cannabis Management (OCM) released three separate reports to conclude 2024. All three—the annual report, the enforcement report, and the chief equity officer report—are available at the bottom of this story.

OCM data showed:

52% of adults use marijuana only recreationally
34.5% use for both medical and nonmedical reasons
13.5% use only medically

Their data also showed that revenue in New York’s marijuana market hit $1 billion by the end of 2024. The state had collected $80.2 million in overall cannabis revenue for fiscal year 2023-2024. Another $67 million came in by the midpoint of fiscal year 2024-2025. By December, 270 adult-use dispensaries had generated $757.8 million in sales.

"It’s a testament to the hard work of those who helped build the strongest cannabis industry in the nation: one that prioritizes equity, ensures public safety, and empowers communities,” said Gov. Kathy Hochul in a written statement.

By mid-December, the Conditional Adult-Use Retail Dispensary (CAURD) program—having resumed after five months of legal delays earlier in the year—saw 218 retail licenses issued and 176 shops open. In total, since cannabis became legal, New York issued or provisionally approved more than 5,000 licenses, permits, and registrations for cultivation, processing, distribution, microbusiness, and retail. They counted:

221 adult-use cultivator licenses
292 adult-use processor licenses
185 adult-use distributor licenses
272 adult-use microbusiness licenses
569 CAURD licenses
448 adult-use dispensary licenses
3,265 cannabinoid hemp licenses and permits

New York’s legal weed laws prioritized social equity, which included licensing minority-owned, women-owned, and veteran-owned businesses, as well as distressed farmers. The OCM’s Social and Economic Equity (SEE) Plan, launched in May 2023, focuses on fairness and inclusion.

The SEE team worked with applicants and small businesses statewide, reviewing 1,500 equity applications, training staff, and helping 250 applicants correct paperwork issues. As of December 2024, SEE licensees had over 54% of all adult-use cannabis licenses in New York, exceeding the state's initial goals. Still, all told, 68% of stores were majority non-minority owned.

SEE categories—based on qualifying criteria, regardless of whether they are majority-owned by a certain group—break down like so:

43% women-owned businesses
37% minority-owned businesses
8% distressed farmers
7% service-disabled veteran-owned businesses
5% individuals from communities damaged by cannabis prohibition

But businesses can qualify under multiple categories—for example, a business could be both minority- and women-owned. The demographic data from OCM differs slightly, meanwhile, with smaller numbers reflecting actual ownership of a given company:

33% majority women-owned
23% majority minority-owned
9% majority Hispanic-owned
8% majority Black-owned

Revenues help fund community grants and substance use disorder programs. OCM partnered with community organizations through its Technical Assistance Providers program to award $650,000 in grants in the first round.

OCM also launched its first Community Grants Reinvestment Fund, focusing on youth nonprofits in areas impacted by cannabis prohibition. Starting in October 2024, it redirected 40% of cannabis tax revenue to the communities hardest hit by past drug policies. The first grant cycle focused on nonprofits providing housing, workforce development, and mental health services to people under 25.

OCM is also developing a Cannabis Banking Directory, set for launch in early 2025, so businesses can connect with financial institutions that understand industry needs.

In 2024, New York increased enforcement against a persisting black market. State authorities performed 1,300 inspections, shut down 450 illegal businesses, and seized 16,900 pounds of unlicensed cannabis—7,000 pounds of flower, 620 pounds of concentrate, and 9,200 pounds of edibles—for an estimated street value of $68.5 million.

The governor’s Illicit Cannabis Enforcement Task Force sealed 350 illegal dispensaries and worked with landlords to evict offenders. The state also trained almost 800 officers on impaired driving, increasing the total number of drug recognition experts statewide to 445.

Meanwhile, OCM tested over 12,200 product batches and quarantined unsafe items, resulting in two recalls. In the lab, they tested 3,550 medical product lots for quality, consistency, potency, and safety.

A statewide education campaign on using cannabis safely covered underage usage, impaired driving, and responsible storage. And the Cannabis Hub and Incubator Program offered 53 webinars on compliance, manufacturing, and retail, for over 65 hours of training. OCM also expanded its CAURD accelerator program to give free business training to licensees.

OCM also orchestrated a medical marijuana campaign that they said reached millions through bilingual ads, digital media, and newsletters. New York's medical marijuana sector grew in 2024, with over 100,000 registered patients, nearly 8,500 caregivers, and 4,400 certifying providers.

In the report, OCM recommitted to its equity programs and consumer education. The agency wants more public education, research, and investment into the industry as it grows. They recommended: