Investigation finds ‘bulk quantities' of Oregon-grown cannabis in New York
PORTLAND, Ore. () — The unlawful distribution of Oregon cannabis products has hit dispensaries on the East Coast, according to a new report.
An found that licensed dispensaries have sold marijuana flower that wasn't grown locally and that illegally entered the state in 'bulk quantities.'
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Although the issue has been attributed to New York's need for a standardized track-and-trace system, the where these illegal products have been more likely to originate from.
'This growing problem — known as 'inversion' — occurs when cannabis grown in oversaturated markets like California, Oregon, and Washington is illegally diverted into newer markets like New York where cannabis processors and distributors purchase it for heavily discounted prices,' NYMCIA said in a release.
Although New York legalized adult cannabis consumption in 2021, it is still illegal to sell products that weren't grown, manufactured or tested within the state. And while Oregon became one of the first states to legalize cannabis in 2014, federal laws against the substance have prohibited distribution across state lines.
In Oregon, regulators solely track products that are legally grown and sold within the state.
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The Oregon Liquor and Cannabis Commission told KOIN 6 it has no authority on black market products, but it assists law enforcement agencies responding to reports of locally-regulated marijuana that has made its way out of the state.
'This does occur and diversion or inversion out of or into the legal market is a license cancellable offense for an OLCC licensee and they are subject to criminal penalties in Oregon and other states,' OLCC spokesperson Matthew Van Sickle said in an email.
For its investigation, NYMCIA worked alongside the Office of Cannabis Management to determine whether the pesticides, soil types and metals in different flowers derived from New York.
Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
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