The New York State Office of Cannabis Management (OCM) has published its 2024 Market Report, providing insights into the growth and development of the adult-use cannabis market over its first two years since sales commenced. The report provides the Cannabis Control Board (CCB) with the data and insights necessary to evaluate market outcomes and determine whether modifications are needed to support the goals of inclusion, fairness, and sustainability set forth in the Marihuana Regulation and Taxation Act (MRTA).
Additionally, the report highlights milestones, including over $1 billion in retail sales from more than 260 operational dispensaries statewide, and highlights the state’s awarding licenses to Social and Economic Equity (SEE) applicants, who now hold 55% of licenses, exceeding initial targets.
According to the OCM, key findings include:
- Total retail sales reached $1.02 billion, with $869 million generated in 2024 alone.
- SEE applicants represent 81% of retail dispensary licenses and 58% of microbusiness licenses.
- Over 500 brands in the market, two-thirds of which only supply products in one or two categories
- More than 1,500 strains in the market, none of which have more than 2% of market share
- Registered organizations account for 10% of all Adult Use sales, and 19% of flower product sales specifically
- Retail dispensaries nearly tripled in 2024, reaching 260 locations operational by year’s end.
- Conditional Adult Use Retail Dispensary Licensees accounted for 70% of open retailers at the end of 2024
- Strongest retail sales recorded in densely populated downstate regions, particularly Manhattan, Queens, and Long Island.
- Wholesale activity surged significantly, driven by increased cultivator inventory transfers directly to retailers.
The report also highlights product market trends, emphasizing consumer preference shifts towards non-flower product categories, including vaporizers, edibles, and concentrates. Furthermore, it addresses challenges such as ongoing enforcement efforts against illicit markets, price compression observed in mature markets nationwide, and the potential impact of proposed federal cannabis policy reforms.
OCM has included recommendations in the report for future regulatory adjustments, including permitting broader indoor cultivation to stabilize the supply chain, refining rules for competitive pricing and discounts, and maintaining rigorous oversight to ensure market integrity.
Have all the Finger Lakes news from Finger Lakes News Radio delivered to your email every morning for FREE! Sign up by clicking here
