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Cannabis Stored in New York is Worth $750 Million, But Growers Can’t Sell it

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Cannabis Stored in New York is Worth $750 Million, But Growers Can’t Sell it

(CTN News) – Cannabis was decriminalized in 2019, and consequently, many New York areas now have a distinct marijuana odour. However, cannabis farmers in the state are having trouble putting their harvests to market.

According to a Bloomberg story published on Saturday, 200 state-licensed farms produced about 300,000 pounds of the medicine last summer, with a potential market value of $750 million. These drugs are now hoarded, unable to be sold, and at risk of going bad.

Problems with distribution are to blame. Although there are mobile pot vans in Times Square and vape shops selling marijuana and CBD products on practically every block in New York City, the state’s office of cannabis management has not yet approved retail outlets.

There isn’t a single licenced dispensary for recreational use. Following a lawsuit alleging that the state’s cannabis equity scheme violates the US constitution, a federal court last week issued an injunction prohibiting the state from issuing licences in Brooklyn and parts of the Hudson Valley region.

People who are “justice-involved persons” or those with past marijuana-related charges, as well as their family members, are given preference for licences under the state’s Conditional Adult-Use Retail Dispensary programme (CAURD). The lawsuit’s plaintiffs contend that the prioritizations are discriminatory.

The number of dispensing licences discussed at a control board meeting slated for next week has not been disclosed by state cannabis authorities. However, it may be 150.

New York farmers are now trapped with piles of freshly grown material because of the lack of dispensaries. The route to the market is unknown, according to Melany Dobson of Hudson Cannabis, a farm located two hours north of New York City.

Dobson cautioned that marijuana left out in the sun, air, or higher temperatures might start to degrade and lose its potency. She said, “Old cannabis tends to have a brownish tint.

According to a statement from the mayor’s office in August, the market could generate $1.3 billion in sales in New York City next year if limitations on New York State dispensaries are repealed and wholesale prices remain at roughly $2,500 per pound.

According to the mayor, Eric Adams, “the regulated adult-use cannabis market is a once-in-a-generation chance for our underprivileged neighbourhoods to join in on the sector on the first floor.

For too long, these communities have endured disproportionate rates of drug-related imprisonment.” This is about giving communities affected by the drug war equity and producing excellent employment and thriving small companies.

The objective is to operate dispensaries by the end of this year, according to Aaron Ghitelman, a spokesman for the Cannabis Management Office, and the organization is “still pushing to have the first sales on board” by 2023.

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