Regulators in New York state have informed a community of licensed cultivators that marijuana farmers markets may be on the horizon, possibly arriving within the next month. This announcement was made during a virtual town hall meeting on Thursday.
John Kagia, the policy director at the New York Office of Cannabis Management, referred to the initiative as the “New York Cannabis Growers Showcase”.
“We’re developing a farmers market model that allows growers to come together and arrange farmers markets, collaborating with a retailer. At least three growers and a retailer must be involved to set up these events,” said Kagia.
For such markets to operate, they must be approved by the local town or city hosting the event, and a retailer must be part of the setup to handle sales, Kagia added.
However, the responsibility of finding appropriate locations for these markets will largely fall on the growers, providing them the freedom to seek creative solutions. This is also due to the Office of Cannabis Management’s limited time and resources.
Surplus of Cannabis
One of the primary motives behind this move is to help growers sell off much of their remaining inventory from the previous year’s harvest. With only 13 operational retailers, there’s a significant bottleneck for about 200 farmers who cultivated outdoor cannabis in 2022 and are eager to market their produce.
“Growers will have the chance to sell flower and pre-rolls, which are consumer tested and packaged products, through a retailer at non-storefront locations,” Kagia mentioned. “We’re envisioning a wide range of potential venues. As long as we receive municipal approval, we’re going to be fairly open-minded.”
“If you have a suitable farm or location for an event, we’ll support that. We also encourage growers to consider existing events like concerts, festivals or other agricultural gatherings,” Kagia added.
While the exact launch date for these cannabis farmers markets remains uncertain, Damian Fagon, the Chief Equity Officer at OCM, expressed hope to see the markets up and running “hopefully, within a month” following the Thursday meeting.
“Much of this will rely on your own organisation and initiative,” Fagon addressed the farmers. “Our goal is to provide guidelines for this pilot and see how you navigate it.”
No Consumption Allowed
An important distinction between the forthcoming New York cannabis farmers markets and similar events in other places like California is that cannabis consumption won’t be permitted, at least not initially. This is due to the added layer of permit requirements from the Department of Public Health, which could delay the market launch, explained Kagia.
Fagon added that farmers must also ensure not to coincide with events where alcohol is sold to consumers.
“Sponsor, municipality, no concurrent alcohol sales – that’s essentially what we’re targeting,” said Fagon, adding that cannabis and alcohol sales can coexist at the same event, but not in the same physical areas.
Kagia assured that if the farmers manage to organise, they will be permitted to host as many farmers markets as they can schedule without any geographical limitations for growers, although some restrictions may apply for retailers.
“We aim to provide the community with maximum flexibility to arrange as many of these events as possible,” Kagia stated.
The New York Cannabis Association (CANY), which coordinated the town hall, released a statement expressing their full support for the initiative.
Marijuana farmers markets “will present a much-needed opportunity for New York’s cultivators and allow smaller brands to connect with and educate consumers about their products. We are encouraged to see this significant initiative prioritised as it will contribute to a more effective and efficient market for all operators in the supply chain,” said CANY.
However, some farmers expressed doubts during the meeting, questioning whether farmers markets will address all their concerns or be implemented quickly enough to ease their financial burdens.
“I like the idea, and I believe it will succeed and gain popularity, but I’m unsure about the timeline and practical execution,” expressed farmer Scott Trifilo during the town hall meeting.
Trifilo suggested that the OCM should allow farmers to directly conduct retail as micro businesses, a transition that will be permitted in the future when businesses shift from conditional licenses to annual permits. However, the response was negative.
Fagon assured farmers that their current, albeit temporary, ability to ship their cannabis would be maintained, even though it’s set to expire on June 1. He mentioned that Assembly Bill A7430 is expected to pass before the month’s end, resolving the issue.
“The bill is necessary and will be passed, as communicated,” Fagon stated. “Having a functioning supply chain in New York depends on it. The legislature understands this. We’ve been assured that it’s crucial, and our supply chain would halt without it.”
This legislation, proposed by Assembly Majority Leader Crystal Peoples-Stokes, aims to extend the temporary distributor license expiration for farmers and processors by a year to June 1, 2024.
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