New York Bills Would Let Liquor Stores Sell Cannabis Drinks

New York lawmakers filed legislation this week that would allow the state's liquor and wine stores to sell cannabis-infused beverages with low THC content—a move that could reshape both the alcohol and cannabis retail landscape.

Sen. Jeremy Cooney (D) and Assemblymember John Zaccaro, Jr. (D) introduced companion bills in their respective chambers, proposing a new permit category for existing alcohol retailers. The legislation would enable liquor stores to add cannabis drinks to their shelves without requiring a separate cannabis retail license.

The bills come as New York continues to build out its adult-use cannabis market, which launched retail sales in December 2022 but has faced persistent regulatory challenges and licensing delays. Meanwhile, cannabis beverage manufacturers have struggled to find adequate retail distribution channels.

The Market Opportunity

Cannabis beverages represent one of the fastest-growing segments in legal markets across North America. While they currently account for roughly 1-2% of total cannabis sales in most states, industry analysts project significant growth as consumers seek alternatives to smoking or vaping.

New York's alcohol retailers could provide immediate distribution infrastructure that cannabis-only stores are still developing. The state has approximately 3,000 licensed liquor stores, compared to just over 150 licensed cannabis dispensaries currently operating.

But the proposal raises questions about market access and competitive fairness. Cannabis retailers have invested heavily in obtaining licenses and building compliant operations, only to potentially face competition from established alcohol businesses with existing customer bases and supply chains.

What's in the Bills

The legislation would create a new permit type specifically for low-dose cannabis beverages, though the bills don't specify the exact THC limits that would qualify. Most states with similar provisions define "low-dose" as 5-10mg of THC per serving.

Liquor stores would need to apply for the permit through the state's Office of Cannabis Management, presumably with additional requirements around staff training and product handling. The bills don't detail whether stores would face restrictions on marketing or product placement.

New York already allows hemp-derived CBD products in various retail settings, but THC products remain limited to licensed cannabis dispensaries. This legislation would mark a significant shift in that policy.

Industry Concerns

The proposal could face pushback from multiple directions. Cannabis retailers may argue that allowing alcohol stores to sell THC products undermines the state's social equity licensing program, which prioritizes applicants from communities harmed by prohibition.

Alcohol retailers, meanwhile, might hesitate to add cannabis products given federal prohibition and potential complications with banking, insurance, and distribution partners. Many national alcohol distributors maintain strict policies against touching cannabis products due to federal law.

Public health advocates have also raised concerns about combining alcohol and cannabis retail, arguing it could normalize simultaneous use of both substances. Research on the health effects of mixing alcohol and cannabis remains limited.

What Happens Next

The bills now head to committee review in both chambers. New York's legislative session runs through June, giving lawmakers several months to debate the proposal and potentially amend it.

Governor Kathy Hochul hasn't commented on the legislation. Her administration has generally supported expanding the state's cannabis market, but she's also emphasized the need for strong regulatory oversight.

If passed, the bills would likely face a lengthy rulemaking process as the Office of Cannabis Management develops permit requirements, THC limits, and compliance protocols. That could push actual implementation into 2026 or later.

For now, cannabis beverage makers are watching closely. Access to liquor store shelves could dramatically expand their market reach—if they can navigate the regulatory complexity and convince store owners to take the risk.

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This article is based on original reporting by www.marijuanamoment.net.