Massachusetts’ Underground Cannabis Market Shrinks But Hangs On Alongside Legal Dispensaries

Massachusetts’ underground cannabis market has shrunk as legal dispensaries have spread and prices have fallen. But the proliferation of dispensaries has not caused the market to disappear entirely.

According to GBH News, voters legalized recreational cannabis in 2016. The first dispensaries opened in 2018, but the state now has about 380 operational retailers. Adult-use sales topped $1.65 billion in 2025, with cumulative sales reaching $10 billion in September 2026, according to the Massachusetts Cannabis Control Commission.

A state report found that 43% of residents ages 16 to 65 used cannabis in 2023. Approximately 61% of users obtained it from a store, while roughly one-quarter still relied on the informal market, according to state data…

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