Author: Taco Tuinstra

  • New York Clergy Oppose Menthol Ban

    New York Clergy Oppose Menthol Ban

    Photo: New Africa

    Several clergy members from New York State have signed a letter opposing Governor Kathy Hochul’s proposed ban on flavored tobacco products, reports Spectrum News 1. The clergy members cite civil rights and criminal justice concerns that banning menthol cigarettes in New York would implicate.

    “It is unjust to expect communities of color to choose between greater public health protections and basic civil rights,” they wrote in the letter. “We do not accept the premise that we must choose between the two, that these interests are mutually exclusive or that this debate is zero-sum. A working group consisting of social justice advocates and law enforcement leaders, along with other organizations, is the best solution available to bridge the current divide.”

    Hochul’s proposal would also raise the per-pack tax on cigarettes by $1 to $5.35.

    Clergy believe banning flavored tobacco would lead to unfair outcomes for people of color.

    “Our collective primary interest is protecting the public, specifically communities of color, from abuse at the hands of both corporate influences and law enforcement,” they wrote. “We share the same belief as others that we can have a robust and productive debate that prioritizes both public health and criminal justice concerns.”

    “To that end, we are requesting that any proposed ban on menthol cigarettes be withdrawn at this time and a working group convened with the set mission to offer recommendations for new legislation,” they wrote. “That working group must take into account all of our collective concerns and address the need for greater public health protections that do not compromise our constitutional and civil rights.”

  • Generational Tobacco Ban Tabled in California

    Generational Tobacco Ban Tabled in California

    Photo: Oleksii

    A California lawmaker has introduced a bill that would ban people born after Jan. 1, 2007, from buying tobacco products, reports Cigar Afficionado.

    The proposed legislation is similar to laws passed in New Zealand and considered elsewhere, including Hong Kong and Malaysia. With 38 million people, however, California has a larger population than any of these jurisdictions.

    Introduced Feb. 24 by assembly member Damon Connolly, Assembly Bill 935 would make it illegal for anyone in California who is presently 16 years old or younger to ever buy a tobacco product in that state. Vendors caught selling would risk fines of up to $6,000 and a loss of their tobacco license.

    The minimum age to buy cigars and other tobacco products in California is presently 21, as it has been in every U.S. state since the law was changed in 2019.

    The Premium Cigar Association called on stakeholders to oppose the bill.

    “We are deeply concerned about AB 935 and any legislation that seeks to restrict the rights of premium cigar smokers,” said Joshua Habursky, deputy executive director of the Premium Cigar Association. “These proposals are not based on scientific evidence, but rather on a political agenda that seeks to demonize adult cigar smokers and restrict their freedom to enjoy a legal product. Clearly it is no longer a hidden agenda of the anti-tobacco groups to support full prohibition.”

  • Reynolds Calls for End to Disposables

    Reynolds Calls for End to Disposables

    Photo: RAI

    Reynolds American has asked the U.S. Food and Drug Administration to stop the sale and manufacturing of disposable e-cigarettes, according to CStoreDecisions. The company has called out Puff Bar and Elf Bar, specifically, due to the increased use of the products by youth.

    Reynolds American submitted a citizen petition to the FDA.

    “A new enforcement policy, one that is specifically directed at these disposables that are on the market illegally, is needed to better protect public health,” Reynolds American stated.

    The petition requests tougher enforcement against disposables through increased retail inspections and by seizing disposable products at the U.S. border.

    Anti-smoking activists criticized Reynolds’ citizens’ petition. “It is shameless hypocrisy for tobacco giant Reynolds American to pretend that it cares about kids and ask the FDA to crack down on disposable e-cigarettes when Reynolds itself sells the second most popular e-cigarette brand among kids, Vuse,” said Matthew Meyers, president of the Campaign for Tobacco-Free Kids, in a statement.

    “Is Reynolds trying to eliminate its competition for the youth market?” asked Meyers, adding that Vuse is marketed in “youth-oriented ways.”

  • Technology Facilitates Regulation in Zambia

    Technology Facilitates Regulation in Zambia

    Photo: Taco Tuinstra

    The Tobacco Board of Zambia (TBZ) has captured over 40,000 farmers on its electronic registration and monitoring system introduced two years ago, reports Zambia Daily Mail.

    In 2020, the TBZ introduced the Bright Leaf System to regulate the production, buying and selling of tobacco in the country.

    TBZ information communication technology officer Maximillian Kasonde said the system has brought relief to the board in that it is now aware not only of the exact number of farmers in the country but also of their identities and their locations.

    “It has made the marketing and registration system easier,” Kasonde said.

  • Vape Battery Air Incidents Skyrocket

    Vape Battery Air Incidents Skyrocket

    Photo: frank peters

    The number of e-cigarette battery air incidents has tripled since 2019, reports The Wall Street Journal, citing a U.S. Federal Aviation Administration (FAA) database.

    Vapes and e-cigarettes were the leading cause for lithium battery incidents on aircraft in 2022, ahead of those caused by battery packs and laptops. Of the 55 incidents reported through September of last year, vapes and e-cigarettes accounted for 19, which was 35 percent of all incidents in 2022 and triple the incidents reported in all of 2019, the FAA says.

    According to the agency, the batteries in these devices can catch fire if damaged or if the battery terminals are short-circuited.

    Vapes aren’t allowed in checked luggage and must be brought in carry-on luggage because of cargo-area fire risks.

    The federal government banned smoking on most U.S. flights in 1990. In 2016, the U.S. finalized its ban on e-cigarettes on all domestic commercial flights as well as on international flights to and from the country.

    Passengers should refrain from charging e-cigarettes on a plane and store their device carefully to prevent them from accidentally turning on, according to the FAA. They should transport their vapes in a protective case or remove the battery and place each battery in its own case or plastic bag to prevent a short-circuit, the agency says.

    Passengers who violate federal vaping laws risk fines up to $1,771.

  • U.K. Supermarkets Stop Selling Elfbar Vape

    U.K. Supermarkets Stop Selling Elfbar Vape

    Photo: Elfbar

    U.K. supermarkets are removing Elfbar 600 disposable electronic cigarettes from their shelves after the product was found to contain higher-than-allowed volumes of nicotine e-liquid, reports ITV News.

    “We have temporarily removed one Elfbar vape line from sale as a precautionary measure whilst the manufacturer urgently investigates these claims,” a Tesco spokesperson said.

    Sainsbury’s followed suit with a spokesperson saying: “We are in close contact with our supplier and have temporarily removed the affected Elfbar product whilst they investigate further.”

    Morrisons has gone a step further and has stopped the sale of the whole Elfbar 600 range.

    “As part of our ongoing investigation into the legal compliance of Elfbar 600 disposable electronic cigarettes with Trading Standards, we have made the decision to remove all flavored variants from sale,” a spokesperson told ITV News.

    “The products will only be returned to sale once stock that fully complies with U.K. legislation becomes available.”

    The supermarkets acted after a Daily Mail investigation found Elfbar 600s to have at least 50 percent more than the legal limit for nicotine e-liquid. E-cigarettes bought at branches of Sainsbury’s, Tesco and Morrisons contained between 3 mL and 3.2 mL of e-liquid, when the legal limit is 2 mL.

    Elfbar attributed the breach to accidental overfilling. “It appears that e-liquid tank sizes, which are standard in other markets [such as the U.S.], have been inadvertently fitted to some of our U.K. products,” a company spokesperson told the Daily Mail.

    “We wholeheartedly apologize for the inconvenience this has caused.”

  • PMI: New Rules Make Leaving Russia Difficult

    PMI: New Rules Make Leaving Russia Difficult

    Jacek Olczak
    (Photo: PMI)

    New rules are making leaving Russia more difficult, Philip Morris International CEO Jacek Olczak told Bloomberg.

    Following Russia’s military invasion of Ukraine, PMI and other tobacco companies announced they would scale down their operations and eventually exit the country.

    In anticipation of that move, PMI throughout 2022 provided financial figures that excluded its Russian business. Its full-year results, however, included Russia again.

    Olczak told Bloomberg the decision does not signal a change in plans. Rather, it reflects the difficulty of exiting Russia. “As long as we are the owner, we will include the [Russian] number,” Olczak said.

    According to Olczak, new regulations have made it more difficult for foreign investors to exit Russia. In any transaction, the government now has an important voice on asset valuations, access to cash flow and dividends, he said. This makes it hard for any party interested in taking over the business.

    Meanwhile, Olczak said PMI was considering coming back on a more sustainable basis to Ukraine.

    In related news, BAT expects to complete the sale of its Russian business to local partners in 2023, according to Reuters.

    BAT said it was in advanced discussions with a “joint management distributor consortium” on the sale of its businesses in Russia and Belarus but did not reveal the identity of the party or divulge further details on the talks.

    The company said in March 2022 that it was in talks to transfer its Russian business to its Russian distributor, SNS Group of Companies.

  • PMTA Review Target Date Pushed Back

    PMTA Review Target Date Pushed Back

    Photo: Brian Jackson

    The U.S. Food and Drug Administration has submitted a new timeline for its review of premarket tobacco product applications (PMTAs).

    In prior status reports, the FDA indicated that it expected to have taken action on all covered applications by June 30, 2023. Filed with the Maryland Federal District Court on Jan. 24, 2023, the agency’s fourth report states that it now expects to have acted on PMTAs as follows:

    • 52 percent of covered applications by March 31, 2023
    • 53 percent of covered applications by June 30, 2023
    • 55 percent of covered applications by Sept. 30, 2023
    • 100 percent of covered applications by Dec. 31, 2023

    In response to litigation by public health groups, a Maryland Federal District Court in April 2022 ordered the FDA to file regular status reports on its progress in reviewing PMTAs for the most popular vapor products on the U.S. market, including Juul, Vuse, Njoy, Logic, Blu, Smok, Suorin or Puff Bar.

    The original target completion date for the review process was Sept. 9, 2021; however, the FDA was unable to meet it due to the extremely large number of PMTAs filed by manufacturers.

    The most recent delay is due in part to ongoing litigation and to the agency’s acceptance  of amendments to some already filed PMTAs, according to the report.

    The FDA is expected to give its next status update to the court on April 24.

  • IQOS Iluma One Debuts in South Korea

    IQOS Iluma One Debuts in South Korea

    Photo: PMI

    Philip Morris International has introduced its IQOS Iluma One in South Korea, reports The Korea Times. The launch comes three months after the debut of IQOS Iluma and IQOS Iluma Prime models in the country.

    According to Philip Morris Korea Managing Director Paik Young-jae, the launch of Iluma One completes the Iluma platform family.

    “The first two Iluma models have received a good response from the market, and if this continues, I am hoping that we will reclaim the leading position in the e-cigarette market here,” Paik said.

    Since the launch of the IQOS device in 2017, Philip Morris Korea had maintained the No. 1 spot in the domestic heat-not-burn for five years. However, in the first quarter of 2022, KT&G took over market leadership in the first quarter of last year.

    IQOS Iluma One retails in South Korea for KRW69,000 ($54.74), which is about 30 percent cheaper than the IQOS Iluma.

     The new device is made with an all-in-one lightweight design that can be held in one hand. A single charge can be used to smoke 20 tobacco sticks.

    Like other IQOS Iluma models, the IQOS Iluma One uses “Terea Smartcore” sticks, which heat tobacco with an induction system adopted inside its body so that users don’t have to clean any residue afterward.

  • German Cigarette Sales at Historic Low

    German Cigarette Sales at Historic Low

    Photo: Tupungato

    Cigarette sales in Germany fell 8.3 percent to 65.8 billion units in 2022, according to tobacco tax stamp figures published by the Federal Statistical Office on Feb. 8.

    German cigarette volumes have been declining steadily for years. In 2012, smokers bought 82.4 billion cigarettes. As a result of tobacco tax increases and inflation-related adjustments, a pack of 20 premium cigarettes became more than 5 percent expensive in both 2022 and 2023—which is still below the average rate of inflation in those years.

    In response to the price hikes, some smokers have switched to fine-cut tobacco, which is taxed at lower rates. Sales of roll-your-own and make-your-own cigarettes remained stable in 2022 at 25,080 tons.

    Sales of cigars and cigarillos declined 8.9 percent compared to the previous year. The pipe tobacco tax category, which in 2021 still included classic pipe tobacco, water pipe tobacco and tobacco heaters, now only reflects sales of classic pipe tobacco, which reached 324.5 tons in 2022. The volume for water pipe tobacco was 962.6 tons.

    The share of untaxed cigarette sales in Germany declined from 19.1 percent in 2019 to 17.3 percent in 2022, likely as a result of coronavirus-related travel restrictions. According to the German Association of the Tobacco Industry and New Products (BVTE), this means that lower legal cigarette sales were not fully offset by sales of products purchased abroad or on the black market.

    In July 2022, Germany started taxing e-liquids at a rate of €0.16 ($0.17) per milliliter. The government taxed 226,018 liters that year, earning €42.6 million from the segment. The impact of the tax increases will become visible only after the old, untaxed stocks may no longer be sold after Feb. 13.

    By 2026, Germany’s Ministry of Finance expects e-cigarettes to generate revenues of €1 billion, a figure that the BVTE in a statement described as unrealistic.

    Despite the tax increase, the federal government collected €14.23 billion in tobacco taxes in 2022, 3.4 less than in 2021.