An Indian government investigation found that nicotine pouches were being sold without required approvals at duty-free shops operated by a joint venture led by the Adani Group at Mumbai International Airport, prompting authorities to order sales to be halted and licenses obtained. According to court documents reviewed by Reuters, Adani is challenging the action, arguing India’s Drugs and Cosmetics Act does not apply to duty-free shops. The case, scheduled for a July 14 hearing, could establish how India regulates nicotine pouch sales at airport duty-free outlets as the government increasingly views the products as an unapproved public health risk.
Category: Around the Industry
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Israeli Health Study Says 40% of Population Exposed to Second-Hand Smoke
A new Israeli Health Ministry report estimates that about 4 million people are exposed to secondhand cigarette smoke entering their homes from neighboring apartments, with more than 2 million experiencing exposure at least weekly. The report, based in part on data from the International Tobacco Control Policy Evaluation Project, calls for stronger public health measures and highlights widespread misconceptions about secondhand smoke exposure, including from balconies. The findings come as Israel’s Supreme Court considers a case that could require government ministries to introduce regulations addressing residential tobacco smoke infiltration.
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Philippines’ Tobacco Taxes Rise for First Time in Three Years
The Philippines’ tobacco excise tax collections rose 12.25% to ₱150.9 billion ($2.41 billion) in 2025, exceeding the Bureau of Internal Revenue’s (BIR) target of ₱149.6 billion ($2.39 billion) and ending a three-year streak of missed revenue goals. The increase was driven by a 29.2% rise in tobacco product removals to 2.9 billion units, including cigarettes, cigars, heated tobacco products, and vapor products, along with stronger enforcement against illicit trade and enhanced monitoring through tax stamps, floor-price rules, and other compliance measures.
BIR Commissioner Charlito Martin Mendoza said the agency plans to further strengthen its digital track-and-trace capabilities through the Special Products Automated Revenue Collection System (SPARCS) to improve supply chain oversight and combat tax evasion. For 2026, the BIR has set a tobacco excise tax collection target of ₱166.6 billion ($2.7 billion) as part of its overall excise tax revenue goal of ₱359.7 billion ($5.8 billion).
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Macau to Significantly Raise Vape Fines
Macau is moving to strengthen its tobacco control law by increasing the fine for illegally bringing e-cigarettes and other novel tobacco products into the territory from MOP4,000 to MOP10,000 ($480 to $1,200) as part of a broader legislative overhaul. The revised bill, which is proposed to take effect on January 1, 2027, would also introduce fines of MOP1,500 ($180) for individuals found in possession of e-cigarettes, while businesses could face penalties ranging from MOP20,000 to MOP200,000 ($2,400 to $24,000). The legislation would prohibit the possession and use of e-cigarettes beginning July 1, 2027, introduce standardized tobacco packaging and larger health warnings from July 1, 2028, and increase warning labels on cigars and cigarillos to cover 70% of each side of the packaging. Officials said the higher import penalties are intended to deter cross-border smuggling of e-cigarettes and other nicotine products.
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PMI Exec: Lack of Rules Boosts Illegal Segment
Nick Ricketts, PMI’s president of oral products, said regulatory clarity is essential for the development of nicotine pouch markets and the protection of consumers. In an interview with Logos Press, he said, “When there are no rules, the market shifts to the illegal segment.”
Ricketts argued that nicotine pouches should be integrated into regulated systems rather than banned, with clear product standards, nicotine limits, flavor rules, age verification, and marketing restrictions. He pointed to regulatory models such as FDA oversight in the U.S. and structured national frameworks in parts of Europe as more effective than outright prohibitions. He said bans can push demand into illicit channels, weakening quality control and age enforcement, citing Germany and Belgium as examples. He highlighted Sweden as a benchmark, where long-term access to smoke-free alternatives and supportive tax policy have coincided with very low smoking rates. He also said PMI views nicotine pouches as part of its broader smoke-free portfolio, with growing availability across global markets under increasing regulatory oversight.
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Australia’s ‘Tobacco Wars’ See 10 Businesses Set Ablaze
Melbourne’s ongoing “tobacco wars” escalated today (July 6) after a suspected ram raid and arson attack destroyed a tobacco shop in Abbotsford and damaged about 10 neighboring businesses. Fire Rescue Victoria deployed 80 firefighters and 25 trucks after crews arrived to find the building fully engulfed in flames, bringing the fire under control by 6 a.m. Victoria Police said unknown offenders drove a vehicle into the shop before setting it alight and fleeing. No injuries were reported, but a crime scene has been established, and an investigation is underway, while road and tram closures disrupted traffic in the area.
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CAPHRA Says FDA’s Pouch Pivot Should Trigger Policy Rethink
The Coalition of Asia Pacific Tobacco Harm Reduction Advocates is urging governments across the Asia-Pacific region to review the U.S. Food and Drug Administration’s recent authorization allowing 20 Zyn nicotine pouch products to carry reduced-risk claims for adult smokers. CAPHRA said the FDA’s decision recognizes the principle of relative risk following scientific review and should encourage regulators to distinguish between combustible cigarettes, high-risk smokeless tobacco products, and lower-risk smoke-free nicotine alternatives.
The group called on policymakers to adopt evidence-based, risk-proportionate regulation, strengthen youth access restrictions and product standards, and ensure adult consumers receive accurate information about the comparative risks of nicotine products, arguing that treating all nicotine products as equally harmful undermines public health objectives.
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Armenia Raises Excise Taxes on Tobacco, Alcohol, Fuel
Armenia’s parliament approved legislation raising excise taxes on tobacco products, alcohol, gasoline, and diesel fuel, a move expected to increase retail prices. The measure introduces annual indexation of excise taxes on excisable goods, with tobacco excise rates set to increase by 7% each year, while excise taxes on heated tobacco products will rise by 30% annually. The excise tax on electronic cigarettes will double in the first year under the new framework. The bill passed its second reading with support from lawmakers in the ruling Civil Contract party.
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Court Says HHS Can’t Impose Civil Penalties on Vape Retailer
A divided panel of the U.S. Court of Appeals for the Fifth Circuit vacated a $19,192 civil penalty imposed by the U.S. Department of Health and Human Services against Texas-based vape retailer Texas Tobacco Barn, ruling that the company was entitled to a jury trial under the Seventh Amendment. The case involved the sale of unauthorized vaping products, with the court finding that HHS could not impose civil monetary penalties through an administrative proceeding without affording the company the opportunity for a jury trial, citing recent U.S. Supreme Court precedent on agency enforcement actions. The court rejected the company’s separate challenge to FDA’s authority to regulate vaping products, leaving that framework intact.
The 2-1 decision sends the case back and could have broader implications for how federal agencies pursue civil penalties in tobacco and vaping enforcement cases. The majority concluded that such monetary penalties are analogous to traditional legal claims historically decided by juries and do not fall within the narrow “public rights” exception that allows agency adjudication without a jury. The dissenting judge argued the administrative process was constitutionally permissible because the enforcement action lacked a close common-law analogue.
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South Korea Tightening Tobacco Enforcement After Compliance Failures
The Seoul Metropolitan Government launched tighter enforcement of South Korea’s revised Tobacco Business Act after inspections found widespread compliance failures among liquid e-cigarette retailers and significant weaknesses in vending machine age-verification systems. Between April 24 and June 23, authorities inspected 666 retailers and found that 28.5% operated vending machines. Of 415 machines examined, 339 used ID-based age verification, but 168 accepted forged or altered identification during testing, while 112 recognized every fake ID used.
Inspectors also found inadequate youth warning signage and advertising violations, with many in-store advertisements visible from outside. The city said it will push for stronger ID verification requirements, require retailers to improve age-checking systems, distribute compliant warning labels, and continue inspections as liquid e-cigarette use continues to rise, particularly among adolescents, whose 2025 vaping rate exceeded conventional cigarette smoking for the first time.