New York’s legal marijuana market saw impressive growth at the end of the summer, hitting a record-breaking $214.4 million in sales for August.
It’s the highest monthly sales figure in the nearly three-year history of the industry in the state, according to Crain’s New York Business.
Sales climbed from $161.6 million in July and $153.2 million in June, according to information Kevin Brennan, deputy director of analytics at the state Office of Cannabis Management, shared during a regulatory meeting Monday.
It’s up from $104.3 million in August 2024.
Brennan noted that the increasing sales figures, driven by the ongoing opening of new dispensaries, are a promising indicator for New York’s legal cannabis market.
Milestone achieved
The growth follows a milestone reached this summer, when the industry surpassed $2 billion in total legal cannabis sales.
Year-to-date sales have already hit $1.26 billion, with cumulative sales reaching $2.3 billion since the market’s launch in December 2022.
Looking ahead, Brennan said that the OCM projects total sales for 2025 to reach about $1.8 billion.
“We could be on $3 billion watch by the end of the year,” Brennan said.
Supply concerns loom
Brennan cautioned that New York’s 516 licensed cannabis cultivators might not grow enough marijuana to meet the legal market’s demand next year, potentially leading to a shortage despite this year’s surplus.
Brennan said that based on calculations and feedback from licensed growers, the state’s cannabis farmers have the capacity to produce up to 1.19 million pounds of marijuana biomass annually.
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However, annual production this year is closer to 474,000 pounds because many growers are not using their full capacity.
“We have licensed 51% more than we need for 2026 and about what we need for 2027,” Brennan said. “However, given how little of that is currently online, we project an almost 40% potential shortfall for next year.”
