Industry growth sparks oversaturation concerns in NY<\/p>\n
ALBANY, N.Y. (WNYT)- As cannabis enthusiasts across New York marked 4\/20, the state\u2019s legal marijuana industry is celebrating major growth\u2014while also facing increasing concerns about its future.<\/p>\n
Related: New cannabis store opens in Halfmoon<\/a><\/p>\n At Dark Horse Cannabis Dispensary, the unofficial holiday carried extra significance. The Albany dispensary is celebrating its first 4\/20 since opening last year, drawing in customers eager to take advantage of deals and festivities tied to what many in the industry call its \u201cBlack Friday.\u201d<\/p>\n \u201cIt\u2019s a week-long marathon getting ready for it, and then it\u2019s the most exciting feeling ever,\u201d said Ryan Leddick, a budtender at the shop.<\/p>\n Across the Capital Region, dispensaries leaned into the celebration. At Northern Lights NY Dispensary in Menands, customers gathered for promotions, food, music, and live entertainment\u2014part of a broader trend as retailers see 4\/20 as the start of a busy sales season following slower winter months.<\/p>\n For customers, the day is about more than just discounts.<\/p>\n \u201c4\/20 just means a little bit of a day off and to relax from the chaos of work and chaos of society out there,\u201d said Sam Alonso of Watervliet.<\/p>\n The celebration comes as New York\u2019s cannabis market reaches new milestones. According to the New York State Office of Cannabis Management, there are now more than 630 licensed dispensaries operating statewide, with over 2,000 licenses issued across the supply chain. Total sales have climbed to roughly $3 billion since legalization in 2021.<\/p>\n Officials said 40% of that revenue goes to education, 40% is reinvested in communities impacted by past cannabis laws and 20% supports public health and treatment programs.<\/p>\n But with that rapid expansion has come growing concern from those within the industry.<\/p>\n Joe Kelley, owner of Northern Lights NY Dispensary, says the surge in new shops is already cutting into profits.<\/p>\n \u201cI was the 42nd store to open in the state and we were doing upwards of 550 thousand a month\u2014we\u2019re in the 300 thousand a month range. It is really saturated,\u201d Kelley said.<\/p>\n Leddick echoed those concerns, warning that the pace of growth may not be sustainable.<\/p>\n \u201cIt\u2019s getting a little worrying lately. You\u2019re seeing more pop up every left and right corner,\u201d he said. \u201cI feel like it\u2019s a balloon almost\u2014it\u2019s going to pop at some point and only some dispensaries will be left.\u201d<\/p>\n Related: Cannabis law change could impact some Capital Region dispensaries<\/a><\/p>\n State regulators say they are aware of the issue. Officials with the Office of Cannabis Management say market saturation is \u201cfront of mind\u201d as they continue to process applications and study how other states have handled similar challenges.<\/p>\n \u201cWe\u2019ve been looking at other states where they may have over-licensed and created some issues,\u201d said Patrick McKeage, executive deputy director of regulatory operations. \u201cWe\u2019re working with the Cannabis Control Board to figure out the right way to make sure there\u2019s opportunity\u2014but also make sure that you don\u2019t break the market at the same time.\u201d<\/p>\n At the same time, enforcement remains a priority. State officials say more than 600 illegal cannabis shops have been shut down so far, part of an ongoing effort to protect licensed businesses and ensure consumer safety.<\/p>\n \t\t\t\t\t\t\t\tFor Related Stories:\u00a0Recreational Marijuana<\/a>\u00a0\u00a0New York Office of Cannabis Management<\/a>\u00a0\u00a0New York<\/a>\u00a0\u00a0marijuana dispensaries<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"Industry growth sparks oversaturation concerns in NY ALBANY, N.Y. (WNYT)- As cannabis enthusiasts across New York marked 4\/20,…\n","protected":false},"author":2,"featured_media":204180,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[80753,9,11,10,80752,33533],"class_list":["post-204179","post","type-post","status-publish","format-standard","has-post-thumbnail","category-new-york","tag-marijuana-dispensaries","tag-new-york","tag-new-york-headlines","tag-new-york-news","tag-new-york-office-of-cannabis-management","tag-recreational-marijuana"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/204179","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/comments?post=204179"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/204179\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media\/204180"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media?parent=204179"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/categories?post=204179"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/tags?post=204179"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}