The Black Market For Pot Is Still Thriving In California (HBO)

Recreational marijuana became legal in California in January. But for small-scale veteran growers like Jason Fleming, licensing backlog may shut his business down before he sells a single nug on California’s new legal market.

The state already had a 22 year old medical marijuana industry that outlined a legal route for patients to purchase pot from licensed dispensaries, but left the path for the weed to the shops in what can only be described as a very, very, gray area. The Medical and Adult Use Cannabis Regulation and Safety Act changed all of that — now all growers have to be licensed, and their wares need to be tested in a lab.

“We want to make sure that people are getting safe cannabis, that when they come to a licensed retail store. they know it’s safe to consume,” says Lori Ajax, Chief of the Bureau of Cannabis Control, which regulates distributors. Growers and consumers also pay new state and local taxes that can get as high as 45%.

Despite the significantly higher overhead, Fleming is determined to make it in the new, legal marketplace. He’s complied with licensing law by purchasing a growhouse for $25,000 a month, and filled out all of his paperwork. But Sonoma County has kept him waiting for local approval for six months. Without that, he cannot begin growing, so there’s no money to be made.

“If this keeps continuing then we’re going to have to operate this place as a black market grow to continue to pay for the legal grow,” Fleming told VICE News.

Richard Parrott is the Chief of CalCannabis, the state agency that licenses medical and recreational cultivators, is familiar with stories like Jason’s. He told VICE News that he had heard of backlogs of applications with local authorities, but there wasn’t much he could do about it. “The state doesn’t have any purview over the locals,” he said.

To stay afloat, Jason can use his growhouses that are already up and running to sell to medical dispensaries. He can also sell some of his product at seshes, a type of underground marketplace that operates in the last remaining gray areas of the state’s medical marijuana laws.

But the costs of getting his business off the ground demand more than a flimsy financial life vest. As time passes, an emerging black market fueled by consumers who can’t bear the brunt of the new taxes has come knocking.

Watch Next: This Law Could Make California The Largest Legal Weed Marketplace – https://youtu.be/g_1GrvpmbhE

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50 Comments

  1. Ojo Ayomide on November 25, 2021 at 1:28 pm

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  2. Grip on November 25, 2021 at 1:29 pm

    Who can plug me in and send to me?



  3. Tristen Jacob on November 25, 2021 at 1:31 pm

    nobody wanna pay taxes on bud wtf is this germany



  4. makrim_829 on November 25, 2021 at 1:32 pm

    Gouvernement decide ce qui est blackmarcket des que il font pas d’argent black market le gouvernement est une business



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  6. Godfather9814 on November 25, 2021 at 1:36 pm

    To get into it is basically an extortion game, they wanna see you have tons of cash to afford the wait before the give you the license. We can be honest the government doesn’t want average people getting into the legal cannabis business, they want the huge companies that can spend millions without any issue. I remember in another video a guy basically said the government is creating legalized cartels. They’ll dominate the market and use federal and local police agencies to close out small time growers and dealers to have a monopoly on the business.



  7. Cooper Malekamu on November 25, 2021 at 1:36 pm

    Looking for a marijuana farmer in Sonoma county



  8. Tim Marsh on November 25, 2021 at 1:37 pm

    Does Vice hate weed?



  9. Solid_Snake on November 25, 2021 at 1:38 pm

    People who buy from the black market are retarded



  10. J Bizzle on November 25, 2021 at 1:38 pm

    4:34 eyy I got that bong



  11. khalil brown on November 25, 2021 at 1:38 pm

    “Is this legal?” “…egh”😂😂😂😂



  12. kendra marie on November 25, 2021 at 1:38 pm

    The only thing they cannot shut down is the Internet that’s where people will go for their sales this government is ridiculous if they think they can control this world they are not gods



  13. Firelover #1 on November 25, 2021 at 1:43 pm

    Seshs are the best !! 12 dollar carts



  14. Troy Fidler on November 25, 2021 at 1:43 pm

    Democratic phuck up everything.



  15. TJLA on November 25, 2021 at 1:45 pm

    LEGALIZE WORLDWIDE
    DONT HATE EDUCATE



  16. gilera runner tc183 on November 25, 2021 at 1:46 pm

    Compare the atmosphere to a night club.



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  18. Whyinem on November 25, 2021 at 1:46 pm

    Very interesting take!



  19. Adrian Herrera on November 25, 2021 at 1:49 pm

    Black market in Cali is hugeeeeeee



  20. Jeffrey Gillespie on November 25, 2021 at 1:53 pm

    1:55 yeahhhhhh everyone does that anyway.



  21. Ni John on November 25, 2021 at 1:54 pm

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  22. Grant Bennett on November 25, 2021 at 1:57 pm

    The fact that it’s still illegal in states makes 0 fucking sense



  23. kendra marie on November 25, 2021 at 2:01 pm

    The only thing they keep doing is messing themselves up the universe does not play the laws of cause-and-effect are real the government cannot take away from peoples mouse and put into his own mouth and expect to get any good out of this the only thing that’s going to happen is they just made the Internet much more stronger and now people are going to start selling online



  24. Pierre-Henri Fils-Aime on November 25, 2021 at 2:01 pm

    “We are in the process of…setting up illegal dealing…on camera…that’s all I can say”



  25. MM Belle on November 25, 2021 at 2:03 pm

    at least cali is progressing, in australia its illegal, yet with a prescription they will sell it to you….no im not forced, but i will make decisions based on my benefits and right to obtaining items to provide wellbeing for myself. not only that, its the LEGAL requirement for governments to act for the public well being, do you think they think of our well being when they use tax payers money to pay for their own weddings or their weekly golf trip? quid quo pro.



  26. Blood Moon Comix on November 25, 2021 at 2:04 pm

    Remember, the federal government asked for this!



  27. Jemma Eileen on November 25, 2021 at 2:05 pm

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  28. Jorge on November 25, 2021 at 2:05 pm

    Any good sites left?



  29. Daniel WestCoast on November 25, 2021 at 2:07 pm

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  30. Steve Zilla on November 25, 2021 at 2:07 pm

    The reason the illegal market is still thriving in California is because the state has botchered everything by not taking control. Cities can make it illegal and not give out business licenses to dispensaries, therefore making access restrained and allowing the illegal stuff room to grow. All cities and counties should be forced to set aside some room for dispensaries even if limited. Access and options is the key. It would also control price and make it the more viable choice. Ultimately stifling drug dealers and their interests. This is not done on accident this is done on purpose. There’s still a lot of interest involved wanting there to be an illegal market not only to have to make money but to control.



  31. william l on November 25, 2021 at 2:07 pm

    I’ve heard from my cousin in L.A. that he pays 50 bucks an 8th, I’ll stick with my 25 dollar 8th from my plug here in Texas lol



  32. waffle butt on November 25, 2021 at 2:08 pm

    This is why we should of decriminalized not legalized it



  33. Monke Mind on November 25, 2021 at 2:09 pm

    Street bud is dead here n this part of Cali idk… Unless u don’t mind selling at $75 a zip for mids



  34. Harry Chris on November 25, 2021 at 2:11 pm

    The only legit fake ID site I can ever recommend is fakeidinstate.com. I tried different vendors in the past but never received my Id.After reading a couple of YouTube reviews I ordered from them and received my ID 3 days later



  35. InConTruth on November 25, 2021 at 2:12 pm

    It will never die.



  36. Point U Out! on November 25, 2021 at 2:12 pm

    The US Gov. & IRS is a death squad to kill America off!

    Thank you to the Communists at the IRS!



  37. T C on November 25, 2021 at 2:14 pm

    Poor people still buy single cigarettes, aka, "loosies," employ "shadetree" mechanics, and exchange labor for less than the government-sponsored legal price; and poor people will buy pot from their local weed man until the stars fall from the sky.



  38. Church Of Sacred Cacti on November 25, 2021 at 2:14 pm

    Dude is waiting on a License to SELL AND GROW weed legally…and admits on Camera he’s involved with the Black Market while his application is still pending. What an idiot…



  39. Fire is lit on November 25, 2021 at 2:14 pm

    Wow the government and federal berrue are so for the people amazing I love amerikkka



  40. Michael Olson on November 25, 2021 at 2:15 pm

    California messing up as usual.



  41. Red Siberian on November 25, 2021 at 2:15 pm

    California doing its best to suppress small businesses what’s new here???



  42. Luis Gonzalez on November 25, 2021 at 2:15 pm

    Sessions are straight up illegal 😂 it’s just putting some branding on ur weed and renting a trap



  43. Waffle - on November 25, 2021 at 2:16 pm

    I went to higher path in Los Angeles and an eighth was 60$ plus 14.9 percent taxes
    My EIGHT of weed came up to 70$. What ever happened to 30 dollar eights.



  44. Jay on November 25, 2021 at 2:18 pm

    I really don’t give a f**k about legalization. I get mine delivered and tax free.



  45. Ivan English on November 25, 2021 at 2:19 pm

    Why do they get on TV and indict them selves



  46. Street Cat on November 25, 2021 at 2:20 pm

    Homegrown is better and cheaper



  47. Peter Schorn on November 25, 2021 at 2:21 pm

    It’s interesting that vice made another video about how the marijuana industry in Oregon has too few regulations. https://www.youtube.com/watch?v=dyCbAuHqN0M



  48. NotConor_ on November 25, 2021 at 2:25 pm

    the number one reason the black market is still booming in cali

    Im not paying 40$ for an eight



  49. Willie Workman on November 25, 2021 at 2:25 pm

    Man I need me a good cali plug damn ..



  50. real scrub on November 25, 2021 at 2:26 pm

    black market until its less than $25 for a gram of shatter legal