Category: News This Week

Premier to Distribute NIC-S Pouches

Photo: Premier Manufacturing/Enorama Pharma
Premier Manufacturing, a subsidiary of U.S. Tobacco Cooperative, and Enorama Pharma have entered into an exclusive distribution agreement regarding the sale of NIC-S, tobacco-free white snus, for the U.S. market.
“The growth and sales potential in tobacco free nicotine pouch market is growing exponentially”, said Premier Manufacturing Sales Director Steve Lucas. “We wanted to offer our customers and their consumers a broader range of products and NIC-S is a great partner to achieve this”, said Lucas.
“We at Enorama are very pleased to have entered into this distribution agreement with Premier Manufacturing and we look forward to a long and close collaboration. We are convinced that Premier Manufacturing, its extensive sales organization and a wide contact network, will be a valuable partner for Enorama’s expansion in the American market.” said CEO Annette Agerskov.
NIC-S is available in a wide range of options allowing the consumer to tailor their nicotine intake. “With three different nicotine strengths—3 mg, 6 mg and 9 mg—and several flavors such as wintergreen, mint, orange, berry, cinnamon and flavor free; consumers will be sure to find a favorite style—or two,” said Lucas.
“Everyone at Premier Manufacturing is excited about the opportunity to partner with Enorama Pharma to supply our customers with a superior quality premium tobacco-free white pouch that will satisfy the growing number of consumers entering this exciting category,” said U.S. Tobacco Cooperative Senior Vice President Russ Mancuso.
Premier Manufacturing will be doing a full marketing campaign promoting NIC-S that will include point-of-sale materials, print and digital ad campaigns, display fixtures and various websites. Product will be available via Premier’s distribution network throughout the U.S. in the coming months.
September 8, 2023
BAT Sells Russian Business

Image: Tobacco Reporter archive
BAT has formally entered into an agreement to sell its Russian and Belarusian businesses.
The buyer is a consortium led by members of BAT Russia’s management team, which, upon completion, will wholly own both businesses. Post completion, these businesses will be known as the ITMS Group.
“Throughout the transfer process, one of BAT’s key priorities has been the interests of its colleagues in Russia and Belarus,” BAT wrote in a statement. “As part of the agreement, their employment terms will remain comparable to their existing BAT terms for at least two years post-completion.”
BAT anticipates that the transaction will complete within the next month once certain conditions have been satisfied. Upon completion, BAT will no longer have a presence in Russia or Belarus and will receive no financial gain from ongoing sales in these markets.
BAT remains confident of delivering its full-year guidance as set out at its half-year results on July 26, 2023.
BAT’s operations in Russia include a head office in Moscow, 75 regional offices and a manufacturing facility in St. Petersburg. BAT also has an office in Belarus.
On June 30, 2023, on a constant currency basis, Russia and Belarus accounted for approximately 2.7 percent of group revenue and approximately 2.5 percent of group adjusted profit from operations.
BAT’s decision to sell its Russian business is a response to Moscow’s military invasion of Ukraine.
September 7, 2023
Korea: Vape Firms Evading Taxes

Image: Andrii Yalanskyi
E-cigarette companies have been evading taxes by declaring false nicotine content when importing liquid nicotine base into South Korea, according to one of the country’s lawmakers, reports The Pulse.
The accumulated tax evasion is estimated at several trillion won.
Between January 2020 and July 2023, 20,197 kg of liquid nicotine base was imported, according to documents from the Korea Electronic Liquid Association obtained by Lim Lee-ja of the ruling People Power Party. Approximately 3,300 bottles of e-liquid can be produced with 1 kg of liquid nicotine. Each bottle is levied at KRW53,970 ($40.60).
Many e-cigarette companies have been mis-declaring tobacco leaf nicotine as tobacco stem and root nicotine to evade taxes since 2016, according to the association. Under Korea’s tobacco laws, nicotine extracted from tobacco stems and roots is not classified as tobacco.
Data shows that e-cigarette companies changed their declarations from tobacco leaf nicotine to synthetic nicotine when Korea’s Individual Consumption Tax Act was amended in 2021 to impose taxes on all tobacco-derived nicotine. Synthetic nicotine is classified as a simple commodity and not subject to taxes.
The association stated that annual distribution volume of Korean e-cigarette liquid is 30 million 30 mL bottles, with an estimated annual tax evasion of KRW1.6 trillion.
In 2019, the Board of Audit and Inspection audited the Korea Customs Service, the Ministry of Environment and the Ministry of Health and Welfare, showing that all the inspected imported nicotine was tobacco leaf nicotine. Falsified declarations have continued since then, according to the association.
Lim has called on the government to crack down on companies falsely declaring their products.
Liquid nicotine base is considered a hazardous substance under the Chemical Substance Control Act, regulated by the Ministry of Environment. Imports must be reported to the minister of environment, and companies must obtain an import declaration certificate for hazardous substances.
Those caught failing to report or falsely reporting the import of hazardous substances are subject to up to one year of imprisonment and up to KRW30 million in fines. None of the companies shown to have falsely declared nicotine products in past audits have been punished to date.
September 7, 2023
Miami Cigar Joins Cigar Association of America

Photo courtesy of the CAA
Miami Cigar and Co. has joined the Cigar Association of America (CAA), making it the third new member in the past six months.
“Miami Cigar and Company is an exceptional family-owned, mid-sized cigar company, and we are proud to represent them and its portfolio of fine brands,” said David Ozgo, CAA president. “We certainly look forward to working with them to advance public policy issues affecting cigars.”
Miami Cigar and Co. was founded in 1989 and now distributes brands such as Tatiana, Nestor Miranda and Don Lino.
“Miami Cigar and Company is thrilled to join the CAA,” said Jason Wood, vice president of sales and marketing for Miami Cigar and Company. “The association provides a valuable service to the cigar industry with its unparalleled network of state and federal government relations experts. The CAA does exceptional work in protecting the rights of cigar enthusiasts nationwide and all segments of the cigar industry, and we want to be part of that.”
The CAA is a national trade association representing manufacturers, distributors, importers, suppliers and all channels of retailers in the cigar industry.
September 7, 2023
Scotland Targets Disposable Vapes

Image: Tobacco Reporter archive
The first minister of Scotland has announced a consultation on a government plan to curb the sale of single-use vapes, reports the BBC.
“In the next year, we will take action to reduce vaping—particularly among children,” said Humza Yousaf, adding that one of the options under consideration was a complete ban on disposable e-cigarettes.
A recent Scottish government report found that 22 percent of all under-18s—around 78,000 people—are believed to have used a vape last year, with more young people using them than smoking cigarettes.
It found that most e-cigarette users under 18 prefer single-use vapes.
The review by Zero Waste Scotland estimated that up to 2.7 million single-use vapes were littered in Scotland last year. The study estimated that there were 543,000 users of e-cigarettes in Scotland and predicted that without intervention, that will rise to 900,000 by 2027.
Scotland joins several countries such as France that are considering a ban on disposables.
September 7, 2023
FCTC 2030 Countries Meet in Montenegro

Image: Tarik GOK
FCTC 2030 project countries are meeting this week (Sept. 4–6, 2023) in Montenegro to share experiences and challenges and to plan future action on tobacco control.
“We are proud that Montenegro, as the host of this year’s meeting of the FCTC 2030 project, is at the center of global tobacco control this week,” said Montenegro’s health minister, Dragoslav Scekic, at the meeting. “I believe that we will also use this meeting to establish the best practices in this area, all with the aim of protecting the health of the population.”
The FCTC 2030 project is the convention Secretariat’s development assistance initiative that helps to strengthen tobacco control in eligible parties through promoting and supporting governments to accelerate the implementation of the Framework Convention on Tobacco Control (FCTC).
The project is run by the World Health Organization FCTC Secretariat in partnership with the WHO and the United Nations Development Program.
One of its core elements is the provision of direct support to selected parties that have demonstrated considerable motivation to advance tobacco control as guided by the Global Strategy to Accelerate Tobacco Control: Advancing sustainable development through the implementation of the WHO FCTC 2019–2025.
The FCTC 2030 is funded by the United Kingdom, Norway and Australia.
September 7, 2023
Esco Bar Challenges FDA Rejection

Credit: Waldemarus
Pastel Cartel, manufacturer for Esco Bar, has filed a federal lawsuit challenging the U.S. Food and Drug Administration’s refuse-to-accept (RTA) decision for over 100 products included in multiple premarket tobacco product applications (PMTAs) filed by the company, according to Vaping360.
The lawsuit was filed in the U.S. District Court for the Western District of Texas. It alleges that the FDA acted arbitrarily and capriciously when it issued an RTA for the PMTAs.
Esco Bar is seeking: a preliminary injunction staying the RTA orders until the case is decided; a judgment finding that the RTAs violate the Administrative Procedure Act and the U.S. Constitution (due process and the Fifth Amendment); and a final judgment setting aside the RTA orders and remanding the company’s PMTAs back to the FDA for further review.
September 7, 2023
Sweden to Slash Snus Tax

Photo: Tobacco Reporter archive
The Swedish government intends to reduce the tax on snus by 20 percent and increase the tax on combustible tobacco products by 9 percent.
In a note on its website, the government said the move would lower the price of a snus can by approximately SEK3 and reduce the price of a cigarette pack by about SEK4.
Parliament had previously decided to increase tobacco taxes in 2023 and 2024. However, recent inflation has been higher than the forecasts upon which the increases were based.
Sweden already taxes smokeless tobacco at lower rates than smoked tobacco because it believes combustible products present a greater health risk.
The changes are expected to take effect on Nov. 1, 2024.
Tobacco harm reduction advocates applauded the decision. “Sweden’s new taxation policy is an exemplary move in fast-tracking the country even further towards its smoke-free target,” said Michael Landl, director of the World Vapers’ Alliance, in a statement.
“By making less harmful alternatives like snus more accessible through tax reductions, Sweden is not just theorizing harm reduction; it’s effectively implementing it. It’s time for the EU to take a leaf out of Sweden’s book.”
September 7, 2023
Indonesia Legalizes E-Cigarettes

Image: Reezky
The Indonesian Parliament recently passed Health Law No. 17 of 2023, which categorizes e-cigarettes as addictive substances, according to 2Firsts.
Teguh Basuki A Wibowo, chairman of the Indonesian Electronic Nicotine Industry Alliance, stated that including e-cigarettes in the legal framework for solid and liquid tobacco products legalizes industry participants and allows smokers to find alternative products.
The law puts Indonesia on equal footing with countries like the Philippines and the U.K., which have similar legislative frameworks for e-cigarettes, he said.
September 6, 2023
Bangladesh Set to Ban Vapes

Image: luzitanija
Bangladesh is set to ban vapes and nicotine pouches, according to Filter.
The government has been considering a vape ban since 2019 when the U.S. e-cigarette or vaping product use-associated lung injury outbreak occurred—later determined to be caused by adulterated illicit products.
The health ministry has now drafted an amendment to Bangladesh’s Smoking and Using of Tobacco Products (Control) Act, which has been reviewed by the cabinet and must now be approved by parliament.
If the proposed ban is approved, anyone caught vaping, regardless of nicotine content, will be subject to a fine of BDT5,000 ($46). Sales, production, import, export, storage and transportation of vapes would also be banned, with penalties starting at a higher fine, three months’ incarceration or both. Larger scale activity or repeat offenses would face longer sentences.
The amendment would also ban flavors in tobacco products, increase the fine for smoking in public places and include further penalties for unlicensed tobacco sales.
Organizations like the Bangladesh Medical Association support the proposed ban, equating vaping with smoking cigarettes.
“A ban on vaping devices will have disastrous consequences for people trying to quit smoking cigarettes,” said Nafis Farhan, a member of Voice of Vapers Bangladesh. He attributed continued high smoking rates in the country to “limited availability of cessation tools, such as vapes.”
The proposed ban represents “a missed opportunity for harm reduction and a setback for public health,” according to Michael Landl, director of the World Vapers’ Alliance.
September 6, 2023