Author: Taco Tuinstra

Pyxus Publishes 2023 Sustainability Report

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Pyxus International published its Fiscal Year 2023 Sustainability Report detailing the company’s progress toward its global environmental, social and governance (ESG) targets, contributions to the United Nations Sustainable Development Goals (SDGs) and the measurable impacts of its sustainability initiatives around the globe.
“Fiscal year 2023 marked our 150th year of business, a significant milestone that highlights the strength and sustainability of our company,” said Pyxus President and CEO Pieter Sikkel in a statement. “While we have a long history of driving impactful actions, this year’s report is a testament to our decision to integrate the company’s business and sustainability strategies and the positive results that stem from that decision.”
During FY23, the company surpassed its global target to reduce total water withdrawal by 10 percent by 2030, achieving a reduction of 12.87 percent. This was accomplished despite the expanded scope of the target, which previously encompassed only groundwater consumption.
Pyxus reduced its Scope 1 and 2 emissions by 9.39 percent and Scope 3 emissions by 11.17 percent when compared to the prior reporting year. The company planted trees on 48 percent more acreage compared to the prior year, as the company continued its work with stakeholders, including its contracted farmers, to reduce deforestation linked to crop production.

While we have a long history of driving impactful actions, this year’s report is a testament to our decision to integrate the company’s business and sustainability strategies and the positive results that stem from that decision.
Pieter Sikker, president and CEO, Pyxus International.
In its processing operations, Pyxus recycled, reused or repurposed 40.8 percent of waste generated.
The company exceeded its annual community support target by more than four times, benefiting over 600,000 individuals, a total that comes on top of the support the company provides to its contracted growers. Pyxus maintained a lost-time injury (LTI) rate of less than 0.5 per 100 employees over 200,000 hours worked for the second year in a row with an LTI rate of .41.
The company also achieved a 99.5 percent Code of Business Conduct training completion rate among eligible employees.
“I am proud of our teams around the world who contributed to our FY23 results. In addition to surpassing two of our ESG targets—water and community support—we successfully navigated challenges and mitigated risks to deliver stakeholder value while strengthening our position as a forward-thinking company as we chart our path through the next 150 years,” stated Sikkel.
The sustainability report outlines Pyxus’ performance during the period of April 1, 2022, to March 31, 2023.
December 15, 2023
Australia to Mandate Stick Warnings

Image: Australian Government Department of Health and Aged Care
Federal laws passed in Australia will require vapes and individual cigarettes to display warning labels beginning April 2024.
The labels will include “toxic addiction,” “poisons in ever puff,” “causes 16 cancers” and “What is this costing you?” according to the Daily Mail.
Proposed new packaging images show cancerous tumors in the mouth and throat and a surgeon removing a voice box. The changes also include incorporating inserts in cigarette packs promoting the benefits of quitting smoking and providing contact information for helpline support to quit.
According to Health Minister Mark Butler, the measures are necessary because consumers have become desensitized to the warnings and images currently printed on packs.
“The most concerning thing over the last 10 years is the advice that the government has received is that the smoking rates, which have been declining steadily for 50 years or so, have started to plateau,” said Butler. “We are not currently on track to achieve the targets that are set our in the National Tobacco Strategy.”
“I am so delighted the Parliament has passed a new generation of laws to take the fight back up to big tobacco and to save more American lives,” Butler said.
Products will have 12 months to comply with the new packaging requirements. Retailers will have an additional three months to update stock.
The import of nontherapeutic and disposable single-use vapes will also be banned.
“Today marks a new era as Australia returns to the forefront of the global fight against smoking,” Butler said. “We cannot stand by and allow another generation of people to be lured into addiction and suffer the enormous health, economic and social consequences.
“The laws that passed today will save lives.”
Current plain packaging laws state that cigarette and other tobacco product packaging must display extreme disease caused by smoking. Point of sale advertising is banned, and cigarettes for retail must be hidden from view at all times. Tobacco is also heavily taxed in Australia, and a pack is set to surpass $50 in 2026.
The sale of illegal tobacco and vapes has increased in the country, and smoking and nicotine-based vaping among 14-year-olds to 17-year-olds has increased 15-fold in the past five years. Illegal tobacco is commonly available and widely socially acceptable.
In August, a requirement for tobacco companies to print warnings on individual cigarettes took effect in Canada.
December 15, 2023
Malaysia Tobacco Law Passes Upper House

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Malaysia’s upper house of Parliament has passed the Control of Smoking Products for Public Health Bill 2023, reports The Star. Earlier, the legislation had been approved by the country’s lower house.
The legislation prohibits the sale and purchase of tobacco products, smoking materials of smoking substitute products and providing any smoking-services to minors.
A provision banning the sale of tobacco products to individuals born from Jan. 1, 2007, onwards in an earlier version of the legislation was dropped.
The so-called generational tobacco ban (GEG) was abandoned after the Attorney General’s Chambers suggested it might violate the constitution by creating different rules for different age groups. Critics however blamed tobacco industry pressure for Malasia’s U-turn.
A day earlier, Malaysia’s newly appointed health minister, Dzulkefly Ahmad, expressed his regrets for the GEG exclusion.
He noted that 18 engagement sessions with stakeholders and three roundtable discussions had taken place before the bill was finalized.
“However, human plans, and Allah decides, and fate has placed us here today, where you cannot see or read the GEG provisions in this bill,” said Ahmad. “I apologize sincerely.”
In related news, new figures suggested that vaping has overtaken smoking as the main method of nicotine consumption among young Malaysians. According to the Southeast Asian Tobacco Control (SEATCO) Alliance, e-cigarette use among this age group is about 30 percent, compared with 12.5 percent for smoking.
“Claims of harm reduction are unproven and deceptive,” said SEATCO. “It is more accurate to say this is harm initiation for youths that have never smoked and harm substitution for smokers trying to quit,” it added.
The organization called on Malaysia to follow the example of neighboring countries that have banned e-cigarettes. Vapor products are prohibited in Brunei, Cambodia, Laos, Singapore and Thailand.
December 15, 2023
Experts Concerned About Tobacco Control

Photo: Andrey Popov
The Italian publication Formiche recently published a report raising concerns about the WHO’s tobacco control policies and strategies in combating smoking related diseases.
Titled, “Framework Convention on Tobacco Control: Challenges and Prospects for WHO,” the report provides a comprehensive overview of the smoking crisis, the limitations of current tobacco control policies, and the role of harm reduction and non-combustion products. Additionally, it emphasizes the need for innovative strategies and a re-evaluation of the WHO’s approach to effectively combat the global smoking epidemic.
The report highlights how the FCTC has not considered harm reduction efforts which led to a deviation from the original stance of the WHO. Despite the FCTC’s efforts, the number of smokers have remained stable over the last 20 years, with the decrease in smoking rates being countered by the effects of population growth.
It further suggests technology innovations that eliminate combustion, represent significant steps toward harm reduction. However, the FCTC, whilst acknowledging the potential of these innovations, has not adopted them, and discounts the growing body of science evidencing their potential. Experts state that the parties to the treaty have abandoned the core principle of harm reduction and ignored scientific evidence leading to misinformation amongst consumers.
“With 80-90 percent of alternative tobacco products being less toxic in comparison to combustibles, there is clearly a solution to reducing tobacco risk, but the world seems to be completely blindfolded. It is essential for tobacco control policies to respect human rights and consider the integration of the principles of risk reduction by adopting alternatives,” said Riccardo Polosa, professor of internal medicine at the University of Catania, in a statement.

With 80-90 percent of alternative tobacco products being less toxic in comparison to combustibles, there is clearly a solution to reducing tobacco risk, but the world seems to be completely blindfolded.
Riccardo Polosa, professor of internal medicine, University of Catania
“At the moment the biggest issue concerns the misinformation,” said Expressing his concern, Peter Hajek, director of Tobacco Dependence Research Unit of the Wolfson Institute of Public Health at Queen Mary University in London. “The public believes that tobacco alternatives are as dangerous as traditional cigarettes when they are much less dangerous, and people should be encouraged to use those less risky alternatives.”
Outlining an alternative approach, the report highlights the best practices in markets where alternatives have helped to accelerate the decline in smoking. Research suggests that a majority of Italian smokers support state-promoted information campaigns and research on non-combustion tobacco alternatives, according to Formiche. “A notable shift from traditional smoking to alternatives has been observed, with many smokers ceasing the use of cigarettes,” the report notes. “This suggests a strong substitution effect of new alternatives for cigarettes.”
The authors also point out that scientific evidence on alternatives has been evaluated positively by numerous regulatory bodies. In the U.S., for example, the Food and Drug Administration, introduced the “Modified Risk Tobacco Products” category, recognizing products with reduced risks compared to traditional cigarettes.
Germany’s Federal Institute for Risk Assessment, the Dutch RIVM, France’s Pasteur Institute, Belgium’s Superior Health Council and other European institutions have acknowledged the reduction of emissions and toxic substances in heated tobacco alternatives, albeit with caution about their overall health impact. Sweden’s approach toward smokeless alternatives has significantly reduced its smoking rate, achieving early targets set by the EU’s European Beating Cancer Plan.
The report’s author also worry about the tobacco control policies pursued by many low- and middle-income countries, which are home to 18 percent of the world’s smokers and where policies either ban alternative nicotine solutions entirely, or treat them like cigarettes.
The effect of these approaches, according to the report, is that smokers who do not quit, are not supported in changing to options that could present less risk to them. “The hope is that the forthcoming Conference of the Parties can represent an opportunity for public health but also, in the spirit of the United Nations, a moment of confrontation to guide policy choices based on established scientific evidence”, the report states.
December 15, 2023
Excessive Rains Torment Brazilian Crops

Photo: Ronaldo Almeida
The tobacco-growing areas in southern Brazil have been severely affected by adverse weather, according to a crop update provided by Kohltrade. In addition to hail, tobacco farmers have had to cope with excessive rains this season, causing plant roots to drown and leaves to develop spots.
Farmers were forced to harvest wet fields. Limited curing capacity will likely produce a higher percentage of mahoganies this season.
Despite an increased planted area, the average flue-cured Virginia (FCV) crop yield in the three southern states is estimated to be 20.5 percent lower compared than in a typical year.
Since weather patterns are not expected to change during the Brazilian summer, industry experts expect the total green FCV volume to be around 475 million kg.
The same weather conditions are forcing air cured burley farmers to collect and hang underdeveloped plants. Many farmers are reporting rotting leaves.
The negative impact on green volume is more than 20 percent, and Brazil is expected to produce around 39 million kg of burley this year. Lower yields will likely affect factory performance as well.
Small traders are already purchasing the new crop at inflated prices. The overall quality of the low stalk is poor due to the high inclusion of house-burned and unseparated leaves.
Historically, Brazilian rainy crops result in good-quality upper stalks, however. Alkaloid tests in early areas are showing lower nicotine levels, as expected.
In December, some companies began purchasing FCVs, while others began purchasing burleys as early as November. Farmer associations predict an increase in the cost of green product of more than 10 percent.
December 14, 2023
Indonesia Alarmed by Smoking Rates

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Indonesia’s Ministry of Health is urging stronger tobacco-control measures following news that the country’s smoking prevalence has reached 33.5 percent of the population, reports Antara.
Eva Susanti, director of non-communicable disease prevention and control at the Ministry of Health, attributed the popularity of smoking in part to the affordability of cigarettes and the considerable marketing freedoms enjoyed by tobacco companies in Indonesia.
“Promotional advertisements of tobacco products are still very widespread, and advertising regulations are still weak in terms of protecting Indonesian teenagers and reducing the desire [to smoke], especially among children and teenagers,” she noted.
Susanti called for higher taxes on both tobacco products and vapes, which have also gained popularity in Indonesia. The prevalence of e-cigarette use has grown from 0.3 percent of the population to 3 percent, she noted.
Susanti insisted that revenues earned from tobacco taxes should support efforts to control smoking and optimize stop-smoking services in all districts and cities in Indonesia.
She said that her ministry will collaborate with the Ministry of Finance, the Ministry of Industry and the Coordinating Ministry for Human Development and Culture to monitor cigarette advertisements, implement excise and combat illegal cigarettes.
December 14, 2023
USTC Acquires VP Distributors

Image: Natee Meepian
The consumer products division of U.S. Tobacco Cooperative Inc. (USTC), Premier Manufacturing, of Chesterfield, Missouri, USA, has acquired VP Distributors of Williamston, West Virginia, USA.
By combining the strengths of both organizations, USTC aims to leverage synergies, grow its customer base and ultimately provide an improved customer experience.
“We are thrilled to announce the acquisition of VP Distributors, a move that underscores our commitment to providing unparalleled convenience, blend of quality products and exceptional service to our customers. This strategic expansion aligns with our vision to enhance accessibility and elevate the overall c-store supply experience,” said Russ Mancuso, USTC’s senior vice president for consumer products.
USTC anticipates that this acquisition will not only boost its market share but also create new opportunities for VP’s customers and their employees.
December 14, 2023
Warning Letters for Unauthorized Products

Photo: Ljupco Smokovski
On Dec. 13, the U.S. Food and Drug Administration’s Center for Tobacco Products (CTP) issued warning letters to 11 online retailers selling unauthorized e-cigarette products marketed under the brand names Lost Mary, Funky Republic/Funky Lands, Elf Bar/EB Design, Kangvape, Cali and Breeze. Warning letter recipients are given 15 working days to respond with the steps they’ll take to correct the violations discussed in the warning letter and to prevent future violations. Failure to promptly correct the violations can result in FDA enforcement actions such as an injunction, seizure and/or civil money penalties.
“It is illegal to sell, import, distribute or offer for sale or distribution to U.S. consumers any e-cigarette that has not been authorized by FDA,” said CTP Director Brian King in a statement. “The products identified in these warning letters are being marketed without the required authorization. We can issue, and have issued, warning letters for products for which an application has been submitted and is pending review. For unauthorized tobacco products, the pendency of an application does not create any sort of a safe harbor to sell that product.”
As of December 2023, the FDA has issued more than 400 warning letters to retailers for the sale of unauthorized e-cigarettes and filed civil money penalty complaints against more than 65 retailers and manufacturers for the manufacture or sale of unauthorized products.
To date, the FDA has authorized 23 e-cigarette devices and tobacco-flavored e-cigarette products.
December 14, 2023
Research: Recharge Single-Use Batteries

Image: hodim
The lithium-ion batteries in disposable vapes can continue to perform at high capacity for hundreds of cycles, according to a study, published in Joule.
The research was conducted by scientists from University College London (UCL) and the University of Oxford and supported by the Faraday Institution.
“The surprise for us were the results that pointed toward just how long these batteries could potentially cycle,” professor Paul Shearing of the University of Oxford and UCL said, according to media reports. “If you use a low charge and discharge rate, you can see that for over 700 cycles, you still have more than 90 percent capacity retention.
“That’s a pretty good battery. And these are just being discarded. They’re being chucked on the side of the road.”
December 14, 2023
Skepticism About Smokeless

Image: Andrey Popov
Health experts are skeptical about the potential of snuff and smokeless tobacco as tools to help smokers quit reports The NZ Herald.
New Zealand’s newly elected government has backtracked on the previous government’s generational ban and agreed to “reform the regulation of vaping, smokeless tobacco and oral nicotine products.”
Vaping is currently used as a smoking cessation tool in the country while heated-tobacco products are not widely used and oral nicotine products are banned.
“Early information I have got around oral nicotine is that it was used highly successfully in Scandinavian countries,” said Associate Health Minister Casey Costello.
“I think Sweden was one of the first countries in Europe to reach below that 5 percent threshold. And how much oral nicotine products contributed to that—I’m really interested to understand how that worked.”
Tobacco control experts are not sold on the idea, though. “Chewing tobacco is likely to be a lot less harmful than smoking tobacco, but it’s not completely safe,” said Chris Bullen, a professor specializing in tobacco control at the University of Auckland. “And in my personal view, I don’t think introducing other products into the mix here in New Zealand is a good [idea].”
Bullen as well as Janet Hoek, professor at the University of Otago, said that using Sweden as an example is troublesome because snus is culturally significant in Sweden compared to New Zealand. Bullen also noted that snus is widely available in Sweden and has been purified to remove particularly harmful ingredients, factors that could be difficult to replicate.
Hoek also expressed concern that the new government’s policies closely align with the tobacco industry. “We know that tobacco companies and the groups that they give money to for a very long time have wanted a more liberal tobacco marketplace, so we need to watch that space carefully,” she said.
According to Hoek, stronger evidence exists for denicotinization, reducing retail outlets and creating a smoke-free generation. These measures are part of the legislation that was repealed.
The new government has agreed to increase penalties for those caught selling vapor products to individuals under the age of 18 and to consider requiring a license to sell vapor products.
December 14, 2023