Hochul marks 5 years of Marihuana Regulation & Taxation Act as NYS advances 'equity-driven cannabis market' with $3.3B in sales, more than 600 dispensaries

New York’s cannabis industry fuels growth for small businesses while expanding opportunities for social & economic equity entrepreneurs; 57% of licenses issued to women-owned businesses and 51% to minority-owned businesses

Submitted by the Office of Gov. Kathy Hochul

Gov. Kathy Hochul on Friday marked the upcoming five year anniversary of the passage of the Marihuana Regulation and Taxation Act, which legalized adult-use cannabis, established the Office of Cannabis Management, and laid the foundation for a regulated, equity-driven cannabis industry in New York. Since the launch of adult-use sales, New York’s cannabis market has generated $3.3 billion in total retail sales and expanded to more than 600 licensed dispensaries statewide, with Pure Blossom on Manhattan’s Upper West Side recognized as the state’s 600th licensed retail location.

“Five years ago, New York committed to building a cannabis market rooted in equity, safety and opportunity and, today, that commitment is delivering real results,” Hochul said. “We are creating new pathways for small businesses while aggressively shutting down illicit shops that threaten public safety and undermine our legal market. Our focus is clear: protect consumers, support legal businesses, and ensure this industry grows the right way.”

New York State Office of Cannabis Management Acting Executive Director John Kagia said, “New York’s cannabis market is demonstrating that growth and equity are not mutually exclusive. With more than $3 billion in sales, a majority of licenses held by social and economic equity applicants, and a rapidly expanding retail footprint, the state is building a market that is both economically viable and intentionally inclusive. These outcomes reflect a deliberate approach to ensuring long-term stability, accountability and opportunity across the industry as we continue to strengthen the market and expand access in the years ahead.”

Strong market growth and consumer participation

New York’s adult-use cannabis market continues to expand, with strong participation from both businesses and consumers:

•$3.3 billion in total retail sales generated since market launch

•2,161 adult-use cannabis licenses issued statewide

•610 licensed retail dispensaries now operating across New York

Advancing social and economic equity

New York continues to lead the nation in building an equitable cannabis industry:

•56% of adult-use cannabis licenses across the supply chain have been awarded to social and economic equity (SEE) applicants, exceeding the state’s statutory goal

•57% of SEE licenses have been issued to women-owned businesses, and 51% to minority-owned businesses

•342 conditional adult-use retail dispensary (CAURD) licensees have been approved statewide

•86% of CAURD dispensaries are currently open and operating across New York

As part of her 2026 State of the State, Hochul announced a $17 million investment to expand SEE initiatives and programming, further strengthening support for entrepreneurs from communities disproportionately impacted by past cannabis enforcement.

Delivering on justice and reform

The Marihuana Regulation and Taxation Act continues to advance meaningful criminal justice reform:

•More than 400,000 marijuana-related convictions are eligible for expungement

•More than 200,000 convictions have been sealed, with an additional 107,000 suppressed pending sealing

•No individual in New York remains incarcerated solely for a marijuana-related offense

•$10 million in total reinvestment through the Community Grant Reinvestment Fund – $5 million already awarded and an additional $5 million now available, supporting youth development, workforce training, housing stability, and public health initiatives in communities disproportionately impacted by cannabis prohibition

Strengthening enforcement and public safety

New York has taken significant steps to protect consumers and address illicit activity:

•2,017 enforcement actions completed statewide in 2025, resulting in more than $20 million in illicit cannabis seized

•579 illicit cannabis storefronts shutdown statewide

•1,481 enforcement inspections conducted statewide to date

•1,094 notices of violation issued to date

•581 padlocked locations statewide to date 

Assembly Majority Leader Crystal Peoples-Stokes said, “The Marihuana Regulation and Taxation Act (MRTA) centered on equity, economic opportunity and restorative justice. These core principles remain my priority as the legal cannabis market continues to mature. We, as legislators, and leaders in the state, have a duty to take steps to correct the harm that was done by the ‘War on Drugs.’ As the adult-use cannabis market in New York state continues to grow, we must not lose sight of the equity tenants of MRTA. New York state’s cannabis market is setting the standard that the rest of the country should follow, and I am immensely proud of that.”