Report: Laws Are Pushing CA Pot Farmers to Black Market, Not OversupplyBy Chris Roberts. Ninety-nine percent of California cannabis growers are not licensed, according to a new report, but this isn’t because the state has an oversupply of legal cannabis. Countywide bans, strict regulations and expensive permit fees are keeping California cannabis providers — those who want to go legal and who used to sell to dispensaries before Jan. 1 — in the black market.