GOVERNOR HOCHUL : NEW YORK’S LEGAL CANNABIS MARKET SURPASSES $4 BILLION IN RETAIL SALES, MARKING MAJOR ECONOMIC MILESTONE
Governor Kathy Hochul today announced that New York’s regulated adult-use cannabis market has surpassed $4.1 billion in retail sales since adult-use sales began in December 2022, marking a major economic milestone for the state’s burgeoning cannabis industry.
This achievement reflects the growing number of New Yorkers choosing to purchase cannabis through the legal market and the contributions of licensed cultivators, processors, distributors, retailers, entrepreneurs and workers who are building an equitable and thriving industry. New York currently ranks third in adult use retail sales nationally.
“When New York legalized adult-use cannabis, we made a promise to build an industry that is safe, fair and creates real opportunity for the communities hit hardest by decades of failed drug policies. Topping $4 billion in sales shows that promise is a reality,” Governor Hochul said. “Hundreds of licensed dispensaries are now open across the state, most licenses have gone to equity entrepreneurs, and cannabis revenue is going back to communities that need it most. We will keep shutting down illegal shops, stand up for small businesses that play by the rules and ensure this industry continues on a path of growth and equity.”
Under Governor Kathy Hochul’s leadership, New York has continued to grow its legal cannabis market while advancing social and economic equity, supporting small businesses, strengthening public health, progressing science and research and reinvesting cannabis revenue into communities across the state. As more consumers turn to licensed dispensaries, the state has also continued efforts to address illicit cannabis activity, helping protect consumers and support businesses operating within the regulated market.
To date, enforcement efforts have resulted in the seizure of illicit cannabis products with an estimated value of $125 million, further protecting public health and safety.
New York State Office of Cannabis Management Executive Director John Kagia said,
“Reaching $4.1 billion in cannabis sales is an extraordinary milestone for New York, but the real story is the people and businesses behind that number. From the advocates and lawmakers who made this market possible, to the entrepreneurs who have built New York’s legal cannabis supply chain from the ground up, and the workers who show up every day to keep the industry’s engine running – this achievement belongs to them. What we are seeing today is the result of their resilience, innovation and belief in what New York’s legal cannabis market could become. Our responsibility now is to build on that momentum and help create the conditions for these businesses and this industry to thrive for years to come.”
New York State Cannabis Control Board Chair Jessica Garcia said,
“New York set out to build a cannabis market where opportunity is shared, equity is meaningful, and businesses have a real chance to succeed. Today, we are seeing that vision take shape across the state. This milestone reflects tremendous progress, but it also raises the bar for what comes next. The measure of this market’s success will continue to be not only how much it grows, but whether that growth creates a lasting opportunity for the New Yorkers this market was designed to serve.”
New York’s Cannabis Market at a Glance
- $4.1 Billion +: Retail sales to date
- $1.41 Billion: Retail sales through the third quarter of 2026
- 2,351: Cannabis licenses issued statewide
- 1,039: Licensed adult-use retailers statewide
- 2,257: Storefront Inspections to date
- 738: Padlocked and closed illegal cannabis storefronts to date
- 1,615: Notice of Violations Issued
- $276,853,531: Estimated value of illegal products seized
- 744: Licensed adult-use dispensaries open and operating
- 56%: Share of adult-use licenses awarded to Social and Economic Equity applicants
- 5 Adult Use License Types: Cultivator, Processor, Distributor, Microbusiness and Retail Dispensary
2026: Building Beyond the Market
Reaching $4.1 billion represents more than growing sales. As the market has expanded, the state has continued building the infrastructure around it, supporting businesses, advancing social and economic equity, progressing scientific research and public education, protecting the regulated marketplace and reinvesting cannabis revenue into communities.
Protecting New York’s Legal Cannabis Market
As New York’s regulated cannabis market has grown, the State has continued to strengthen enforcement against unlicensed activity to protect consumers, support licensed businesses, and uphold the integrity of the legal market. These efforts include expanded enforcement tools and increased coordination among the Office of Cannabis Management, state agencies and local partners to identify and shut down illegal cannabis operations.
2026 Enforcement at a Glance
- 352 Enforcement Inspections: Storefronts inspected across New York State.
- 191 Storefronts Closed: Illegal Cannabis shops closed and padlocked
- $125 Million of Illicit Cannabis: Estimated value of illegal products seized
These efforts complement OCM’s oversight of licensed businesses and help protect consumers while supporting a more level playing field for businesses operating within New York’s regulated cannabis market.
Putting Cannabis Revenue Back Into Communities
The economic impact of New York’s cannabis market extends beyond businesses and retail sales. Through the Community Grants Reinvestment Fund (CGRF), the State is reinvesting a portion of revenue generated by the legal cannabis market into communities disproportionately affected by prior state and federal drug laws and policies.
- $35 Million: Total amount committed through the CGRF to date
- $5 Million: Awarded to 50 community-based organizations during the first funding round.
- Community Based Investments: Supporting programs focused on youth development, workforce development, housing, mental health, harm reduction, and other community needs.
The CGRF puts one of the central commitments of New York’s Cannabis Law into action: ensuring that the growth of the legal cannabis market creates opportunities and delivers meaningful benefits to communities across the state.
Creating New Opportunities Through Cannabis Showcase Events
New York also expanded opportunities for licensed cannabis businesses through Cannabis Showcase Events, providing additional ways for licensed businesses to connect with adult consumers and showcase New York cannabis products.
Building on legislation signed by Governor Hochul, Cannabis Showcase Events allow licensed adult-use dispensaries to partner with licensed cultivators and processors to showcase and sell regulated cannabis products at approved events, including pop-ups, farmers markets and public markets. This summer, the Governor signed legislation authorizing licensed microbusinesses to participate in showcase events. The events create additional opportunities for New York cannabis businesses to reach consumers, introduce products, build brand recognition and generate sales beyond traditional retail locations.
