Category: News This Week

  • Local Group Pushes Jakarta to Pass Smoke-Free Zone Law in 2025

    Local Group Pushes Jakarta to Pass Smoke-Free Zone Law in 2025

    The Indonesian Consumers Foundation (YLKI) is calling on the Jakarta government to fast-track the ratification of the long-delayed Smoke-Free Zone Regional Regulation, emphasizing the need to protect public health and uphold consumer rights. YLKI Chairperson Niti Emiliana cited Law No. 17 of 2023 on Health, which mandates local governments to implement smoke-free zones.

    “YLKI also calls for the regulation to include more comprehensive provisions that strengthen consumer protection from exposure to active smokers’ cigarette smoke surrounding them, such as the elderly, pregnant women, breastfeeding mothers, and toddlers,” Emiliana said. She stressed that the regulation, currently under review by a special committee, must be passed in 2025.

    However, the draft regulation has faced pushback from the Jakarta chapter of the Indonesian Hotel and Restaurant Association (PHRI), which argues that some provisions could impose operational burdens on businesses in the hospitality sector.

  • U.S. Supreme Court Backs RJR, Broader Legal Challenges to FDA

    U.S. Supreme Court Backs RJR, Broader Legal Challenges to FDA

    The U.S. Supreme Court ruled 7–2 in favor of R.J. Reynolds Vapor Company, allowing it to challenge FDA denials of e-cigarette marketing applications in the Fifth Circuit, even though the company is based in North Carolina.

    The decision effectively expands who can file lawsuits under the 2009 Family Smoking Prevention and Tobacco Control Act, now including retailers and trade groups affected by product bans, not just manufacturers. This enables tobacco companies to approach conservative-leaning courts like the Fifth Circuit, which has frequently ruled against FDA vaping restrictions.

    The FDA argued that retailers were never meant to be included under the legislation, and that 75% of e-cigarette appeals were being filed in the Fifth Circuit through strategic partnerships with local vape shops and trade groups, undermining consistent enforcement.

    Justice Amy Coney Barrett, writing for the majority, said that retailers are “adversely affected” because they lose potential sales or risk penalties by selling unapproved products. Justice Ketanji Brown Jackson, in dissent, warned the ruling contradicts Congress’s intent, allowing companies to bypass venue restrictions meant to streamline regulation.

    The case specifically involved menthol-flavored Vuse vapes, which the FDA had denied for failing to meet public health standards. The ruling now returns the case to the Fifth Circuit for further review.

  • BAT Bangladesh Forced to Relocate Headquarters

    BAT Bangladesh Forced to Relocate Headquarters

    British American Tobacco (BAT) Bangladesh will move its registered office from Mohakhali to Ashulia by mid-July 2025, following a Supreme Court ruling that rejected its appeal to extend the lease on its Mohakhali premises. The company must vacate the site it has leased from the Dhaka Cantonment Board since 1964.

    The relocation also involves shutting down BAT’s Dhaka factory, though operations will continue at its Savar, Manikganj, and Kushtia facilities. A spokesperson acknowledged potential disruption but emphasized preparations were in place to minimize the impact and protect shareholder interests. BAT Bangladesh earned Tk9,597 crore in Q1 2025.

    The company had been leasing the factory on 30-year terms, with a maximum duration of 90 years. BAT applied for the final renewal, but was denied by the board, which initiated the legal proceedings. Environmental groups had long called for the factory’s relocation, citing pollution concerns.

  • Davidoff Reports $663M in Revenue Amid Planned Cutbacks

    Davidoff Reports $663M in Revenue Amid Planned Cutbacks

    Oettinger Davidoff AG reported CHF 541.7 million ($662.8 million) in global revenue for 2024—an increase of 0.9% over the previous year, despite a significant decrease in production volume. In total, the company produced 38.5 million cigars across its Dominican Republic and Nicaraguan facilities, down 21% from 2023’s 48.8 million cigars. The company said the reduction was intentional, due to pre-emptive production ahead of the European Union’s new track and trace requirements that took effect in May 2024.

    “The year 2024 was another strong year in the 150-year history of our family-owned company,” said Beat Hauenstein, CEO of Oettinger Davidoff AG, in a press release. “The solid 2024 results prove that our investments in our brands, retail and shopping experiences have paid off and that we are well set up to successfully continue writing the next chapter of our longstanding history.”

    Despite lower production, Davidoff said it is expanding capacity at its Diadema Cigars de Honduras S.A. factory in Danlí, Honduras, following the completion of an expansion in the Dominican Republic last year. Among individual brand performances, Zino grew 28.1%, while the flagship Davidoff brand rose 15%. The company did not disclose results for AVO, Camacho, or other brands.

  • Despite Ban, 1-in-9 Brazilian Teens Vape

    Despite Ban, 1-in-9 Brazilian Teens Vape

    Despite a national ban on electronic cigarettes, one in nine Brazilian teenagers now uses e-cigarettes, according to a new survey conducted by the Federal University of São Paulo (Unifesp).

    The findings, released this week, are part of the Third National Survey on Alcohol and Drugs (Lenad 3), which surveyed around 16,000 people aged 14 and up across Brazil. The results show that e-cigarette use among teens is five times higher than traditional cigarette smoking, indicating a major shift in youth nicotine consumption.

    Dr. Clarice Madruga, a professor of psychiatry at Unifesp and the study’s lead author, says that easy online access to e-cigarettes—despite the national prohibition—has fueled the trend.

    “We had a major success story with policies that led to a steep decline in smoking,” Madruga said. “But a new challenge has completely disrupted that progress. Today, we’re seeing much higher consumption rates—especially among teenagers—which remain largely invisible.”

  • South Australia Shuts Down 5 Stores Under New Tobacco Laws

    South Australia Shuts Down 5 Stores Under New Tobacco Laws

    Five CBD stores have been shut down for selling illicit tobacco and vapes under South Australia’s tough new laws. Four stores received 28-day closure orders, and one was closed for 3 days after raids by the Consumer and Business Services task force. Officials had given stores a grace period but warned that there would be zero tolerance once the laws went into effect on June 5.

    The new laws allow for up to 12-month closures and fines ranging from A$700,000 ($455,000) for an individual to A$6.6 million ($4.3 million) for a “large commercial” business. Landlords may also face penalties if they allow illegal sales on their premises.

    Since July 1, authorities have seized A$34 million ($22.1 million) in illegal products during over 500 inspections.

  • Pakistan to Fund University with Tobacco Levy

    Pakistan to Fund University with Tobacco Levy

    Pakistan’s federal government plans to impose a levy on tobacco products to help cover the operational costs of the upcoming Daanish University in Islamabad. The decision was discussed during a project review meeting led by Prime Minister Shehbaz Sharif on June 18.

    The university is being funded by £190 million returned by the UK in a corruption case, with the new tobacco levy intended to support its ongoing expenses. Bids for design and implementation were recently opened, mainly involving firms from China and Turkiye.

    PM Sharif emphasized global education standards, calling for smart boards, e-libraries, and a world-class digital library. He also urged fast-tracking the project and expanding Daanish schools across underserved regions.

  • Zimbabwe Tops 300M Kg of Tobacco for First Time

    Zimbabwe Tops 300M Kg of Tobacco for First Time

    Zimbabwe set a new tobacco production record after more than 300 million kg of leaf was sold since the marketing season opened in March, the country’s Tobacco Industry and Marketing Board (TIMB) said yesterday (June 18). The TIMB confirmed that 2023’s record of 296 kg was topped, and that its total value exceeded $1 billion.

    TIMB public affairs officer Chelesani Tsarwe said that while the production milestone reflects resilience and hard work across the value chain, the ideal future is not just about record volumes, but also about increased local processing, enhanced farmer earnings, diversified markets, and environmentally sustainable practices in the tobacco sector.

     “This year’s marketing season has been historic,” she said. “We must shift from volume-driven horizontal growth to value-driven growth.” 

  • Australia’s Pharmacy-Only Vape Law Backfires

    Australia’s Pharmacy-Only Vape Law Backfires

    Australia’s strict pharmacy-only vaping law has collapsed the legal vape market and empowered organized crime, with government data showing legal sales make up just 1 in 1,700 vape transactions, according to The Daily Telegraph.

    Documents obtained by the newspaper reveal that pharmacists report fewer than 6,000 legal vape sales per month, while over 10 million vapes flood the black market monthly—mostly Chinese disposables sold in convenience stores and smoke shops.

    The 2024 law allows nicotine vapes to be sold only in pharmacies, without a prescription but under tight restrictions: limited flavors, plain packaging, and no consumer-friendly branding. However, pharmacies were not consulted before the law passed, and as a result, fewer than 700 of 5,900 pharmacies stock the products.

    Health Minister Mark Butler claimed the legislation would “eliminate the black market,” however, since then, “Butler’s ‘world-leading’ vape restrictions—combined with Australia’s astonishingly high cigarette tax—have wiped out the legal vaping sector, expanded the already-huge black market, led to declining tobacco tax revenues, and encouraged organized crime participation in the vape market,” wrote Jim McDonald for Vaping 360.

    Experts and critics now argue that Australia’s approach has failed, calling for full legalization and consumer market regulation to displace the black market and reduce harm.

  • Dutch Health Agency: Cross-Border Tobacco Undermines Tax Strategy

    Dutch Health Agency: Cross-Border Tobacco Undermines Tax Strategy

    The Dutch Public Health Agency called for new policy measures to curb the growing trend of cross-border tobacco shopping, which it says is undermining the effectiveness of the Netherlands’ high tobacco taxes. The Netherlands currently has the second-highest cigarette tax in the EU (€7.66 per pack) behind Ireland (€9.92), but inconsistent tax policies across borders continue to challenge its effectiveness.

    Following significant tax hikes in 2024—24% on cigarettes and 45% on rolling tobacco—about 7% of Dutch smokers quit, while 22% cut down, and 14% switched to cheaper brands, according to the agency’s research. However, the number of smokers buying tobacco abroad surged to 60%, up from 40% in 2023 and double 2020. With neighboring countries offering cheaper options, smokers are evading domestic taxes, weakening the public health impact.

    “Policy must focus on reducing purchases of tobacco products made abroad,” the agency stated, urging limits on how much tobacco can be imported for personal use and recommending excise taxes on e-cigarettes to deter youth addiction.

    While the World Health Organization touts tax hikes as one of the most effective anti-smoking tools, their impact appears stronger in low-income countries. In wealthier nations like the Netherlands, the ease of border shopping reduces their effectiveness, the agency said.