Both states are in line to reap hundreds of millions in tax revenue, but awaiting the “winner” of the legal weed race could be a lucrative period of exclusivity, where not just state residents but millions of visitors from across the Mid-Atlantic could conceivably be within a few hours of legal — and taxed — marijuana.
"I think the rivalry will begin again," said Jeff Smith, an analyst and journalist with Marijuana Business Daily, a trade publication covering the cannabis industry. "We heard a few years ago how New Jersey and New York were racing to be the first to legalize adult use (marijuana).
"It's a monster market, and I think the race is on again."
According to cannabis industry data analytics firm Headset, the legalization of marijuana in New York could cost New Jersey's cannabis industry over $100 million in sales during the first year, a 15% dip from the company's previous projections of $740 million.
New York's cannabis industry is expected to top $1.1 billion in retail marijuana sales, according to Headset projections.