New York Allows 6 Medical Cannabis Operators to Enter Adult-Use Market

The New York Office of Cannabis Management (OCM) announced Dec. 8 that six of the state’s 10 medical cannabis operators—called registered organizations (ROs)—have received approval to enter the state’s adult-use cannabis market.

There are now 31 adult-use cannabis retailers operating in the Empire State.

Columbia Care NY LLC, Curaleaf NY LLC, Etain LLC, NYCANNA LLC (owned by multistate operator Acreage Holdings), PharmaCann of New York LLC and Valley Agriceuticals LLC (owned by multistate operator Cresco Labs) met the necessary requirements to receive adult-use licenses, including submitting a Medical Patient Prioritization Plan, Community Impact Plan, and Energy and Environmental Plan in accordance with state regulations.

The OCM is accepting applications through Dec. 18 for new adult-use businesses, including cultivators, processors, distributors and retailers.

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Regulators plan to issue the new adult-use licenses in 2024.

The OCM also announced Friday that regulators plan to wind down the Cannabis Growers’ Showcase (CGS) initiative before the end of the year as new adult-use retailers open in the coming weeks and months. The CGS initiative has allowed New York’s cannabis growers and processors to showcase their products to the public at events where consumers can purchase products from licensed retailers.

Regulators said that to date, the CGS initiative has generated $4 million in sales. New York’s total cannabis sales have topped $110 million in 2023 through both CGS events and the state’s licensed dispensaries.

“I am immensely proud of the strides we are making in developing an equitable, inclusive and thriving cannabis industry in New York,” OCM Executive Director Chris Alexander said in a public statement. “Our recent actions, from approving changes to the operational locations of cannabis entities to endorsing registered organizations for licenses, are clear indications of our commitment to fairness and industry growth. We are steadfast in ensuring that our cannabis market not only meets the highest standards of safety and sustainability but also reflects the diverse needs and values of all New Yorkers. Our enthusiasm extends to learning from the successes of the CGS program, and we are equally optimistic about the prospect of revisiting a temporary sales program in the future, continuing our journey towards a model cannabis industry.”

Last month, the New York Cannabis Control Board (CCB) approved a settlement agreement in a lawsuit that had barred regulators from issuing new Conditional Adult Use Retail Dispensary (CAURD) licenses and approving new dispensary openings since August.

The settlement allowed more than 400 retail licensees whose business plans were halted under the court order to move forward with opening their dispensaries, and two new dispensaries opened last week in New York’s Capital Region.

“I am delighted to witness the progress we have made in advancing the cannabis industry within our state,” CCB Chair Tremaine Wright said in a public statement. “The approval of medical cannabis operators (registered organizations) to participate in both the medical and adult-use markets highlights their commitment to serve patients and consumers across New York. Furthermore, as we prepare for new adult-use dispensary licensing, we look forward to store openings across the state. Our enthusiasm and support for the CGS program remains strong, and we applaud the success of the program.”