What New York and California’s cannabis industries can learn from each other

cannabis plants new york california

I spent over a decade working in the cannabis industry in California. In that time, I had the opportunity to work across the supply chain and manage the opening of multiple dispensaries throughout multiple states. Just last year, I was offered the opportunity to open a dispensary in the heart of New York City and play an active role in the fastest-growing cannabis marketplace in the country.

While California cannabis hasn’t been perfect, it has long been a leader in cannabis culture, branding, and infrastructure. Although New York is several years behind California on adult-use legalization, the state has brought fresh perspectives and innovations that could reshape the industry’s future.

Having spent time working on both coasts, there are invaluable lessons each state can take from the other to create more efficient, sustainable, and inclusive cannabis markets.

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What New York can learn from California

Streamlining licensing and reducing bureaucracy

One of the most glaring issues in New York’s cannabis rollout has been the slow licensing and approval process. While the state technically legalized adult-use cannabis in 2021, the first dispensary didn’t open its doors until almost 2023. Despite its many flaws, California has a more developed infrastructure for issuing licenses to cultivators, processors, and retailers.

New York must find a way to accelerate its licensing process. The slow rollout only fueled the illicit market. If New York wants to minimize traditional market interference and allow legal businesses to thrive, it must cut through the red tape and license more businesses.

Embracing branding and marketing freedoms

California has long been a hub for creative and bold cannabis branding. From eye-catching packaging to immersive brand storytelling, California’s cannabis industry understands that a brand’s identity is just as important as the product itself.

Unfortunately, New York’s restrictive marketing rules (more of the state’s red tape) stifle much of this creativity. They also make it harder for brands from other states to enter the New York market because they have to adjust their entire brand identity to a limiting set of regulations. By adopting more flexible branding laws like California’s, New York can allow its cannabis businesses to flourish and create an industry that resonates with consumers on a deeper level while still not targeting underage individuals.

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What California Can Learn from New York

A commitment to social equity

New York’s social equity program, while not perfect, has shown a more proactive approach to righting the wrongs of cannabis prohibition. The state initially prioritized giving cannabis dispensary licenses to individuals who were previously incarcerated with a cannabis offense and has done real work to create economic opportunities in cannabis for those disproportionately affected by the war on drugs.

While California also has social equity programs, they have often been bogged down by inconsistent execution and a lack of meaningful support for entrepreneurs. California should take notes from New York and reinvest in making its social equity initiatives more impactful and accessible.

Better real estate opportunities for cannabis businesses

Another advantage New York has over California is its approach to cannabis real estate. Many of California’s dispensaries are tucked away in remote areas due to restrictive zoning laws, making them difficult to access for many consumers. New York, the epitome of the phrase “Real Estate is King,” has made efforts to place dispensaries in prime locations like Time Square, Herald Square, and Union Square (all the squares are covered). This helps to destigmatize cannabis and integrate it into everyday urban life. If California wants to continue normalizing cannabis use, it must push for more accessible retail locations.

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Cannabis will always have deep roots in California, but New York has the opportunity to surpass it in terms of sales and influence. It is my dream for New York City to become a global hotspot for cannabis tourism and locals alike. This city is a cultural and economic powerhouse, and with the right policies and support, that cachet can extend to cannabis.

And there is still more to build in California. While cannabis has had its ups and downs, there are still many opportunities to enhance, specifically in areas that have previously restricted cannabis businesses.

By learning from each other’s successes and failures, both California and New York can build stronger, more resilient cannabis markets and be established as the coastal strongholds for the larger US industry.

*This article was submitted by a guest contributor. The author is solely responsible for the content.

Josh Wilson Josh Wilson is General Manager at Culture House, a NYC-based dispensary.


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