Category: News This Week

  • Philip Morris to Invest in Serbia

    Philip Morris to Invest in Serbia

    Image: epic

    Philip Morris International plans to invest €100 million ($111.4 million) in Serbia, reports SeeNews, citing the country’s president Aleksandar Vucic.

    “Such foreign investments are decisive for the development of the economy and business and further strengthen the position of our country as a major partner in innovation and modern technologies,” Vucic said Sept. 23 following a meeting with PMI CEO Jacek Olczak in New York.

    PMI operates in Serbia through two subsidiaries, Philip Morris Operations and Philip Morris Services.

    In 2003, PMI acquired Serbia’s largest tobacco factory, DIN Fabrika Duvana in Nis. To date the multinational has since invested more than $800 million in its Serbian operations.

  • GVA Reiterates Vow to Helping Smokers Quit

    GVA Reiterates Vow to Helping Smokers Quit

    Photo: GVA

    One year after its founding, the Global Vape Alliance (GVA) met in Dortmund, Germany, to renew its commitment helping smokers quit cigarettes and improving their health.

    With members from the U.S., Europe and China, the GVA reviewed the regulatory and business environment in their respective regions and hosted a networking event for over 200 industry leaders and CEOs that were attending the InterTabac exhibition in Dortmund at the weekend.

    The GVA supports consumers in switching from harmful cigarettes to less harmful vaping products, aiding global public health efforts. The alliance focuses on youth protection through responsible marketing. It strives to balance accessible alternatives for smokers with ecological concerns, helping evolve tobacco control policies.

    The GVA said it will continue to cooperate on five critical issues: regulation compliance, industry promotion, public health, environment protection and the engagement against the black market.

  • Zimbabwe Firms Seek Help Entering Foreign Markets

    Zimbabwe Firms Seek Help Entering Foreign Markets

    Photo: Taco Tuinstra

    Representatives of indigenous tobacco companies have asked the Zimbabwean government to help them secure export markets to widen their revenue base, reports The Herald.

    Company officials met separately with the Parliamentary Portfolio Committee on Lands, Agriculture, Water, Fisheries and Rural Resettlement chaired by Felix Maburutse on Sept. 20.

    Richard Machingura, head of operations and agronomy at Norton Leaf Tobacco, said indigenous-owned companies in the tobacco sector were struggling to access foreign markets and would benefit from assistance from the Tobacco Industry and Marketing Board, which regulates the domestic industry.  

    “As tobacco companies, we are also facing some challenges in the markets,” he was quoted as saying. “You will find that most of our tobacco locally, we are just doing the intermediate trading. So, we have a challenge of markets where we are not really able to export our tobacco, and this is affecting the growth of our industry,” he said.

    Zimbabwe’s tobacco export earnings increased 138 percent year-on-year to reach $436 million in the first quarter of this year.

    Traditionally a leading exporter of flue-cured Virginia, the country aims to extract more revenue from the business by moving to higher value products, such as cigarettes.

    In 2021, the government adopted the tobacco value chain transformation plan, which seeks to build a $5 billion industry by 2025.

  • New Smoking Rules Take Effect Next Month

    New Smoking Rules Take Effect Next Month

    Malaysia’s new tobacco law will take effect Oct. 1, reports Malay Mail.

    The law covers regulations related to the registration, sale, packaging and labeling of smoking products along with restrictions on smoking in public places.

    The new legislation also covers electronic cigarettes.

    The law seeks to prohibit the sale and purchase of tobacco products, smoking materials and tobacco substitutes to minors as well as the provision of any smoking-related services to those under the age of 18.

    Health groups have repeatedly urged the government to expedite the enforcement of new law, especially following a controversial decision last year by former Health Minister Zaliha Mustafa to remove liquid nicotine from the poisons list.

  • Farmers Scramble to Save Leaf Ahead of Storm

    Farmers Scramble to Save Leaf Ahead of Storm

    Photo: sabino.parente

    Tobacco farmers in Cuba scrambled to secure thousands of tons of cigar tobacco ahead of Tropical Storm Helene, which was expected to unleash mudslides and flooding on the island, reports Reuters.

    Helene was churning about 277 km south of the western tip of Cuba as it barreled northwest, with maximum sustained winds of 72 kph, the Miami-based National Hurricane Center said Sept. 24.

    Forecasters predict Helene will strengthen quickly over the warm waters of the Gulf of Mexico to become a major hurricane, packing winds as high as 185 kph.

    A hurricane watch and tropical storm warnings were in effect across the western third of Cuba while the capital, Havana, was expected to see heavy rain and more moderate winds.

    The storm is expected to move north toward the U.S. later in the week over parts of Georgia, Tennessee and Kentucky, bringing isolated flash flooding and urban flooding, the U.S. National Weather Service said.

  • New Film Looks at European Harm Reduction

    New Film Looks at European Harm Reduction

    Independent filmmaker David Hanin from Oneshot Media launched a documentary on the European Union’s attitude toward tobacco harm reduction, according to the U.K. Vaping Industry Association (UKVIA).

    The film, titled Shut Up and Smoke, features a number of medical and industry experts calling for a better understanding of vaping and its potential for tobacco harm reduction. John Dunne, UKVIA director general, is one of those interviewed on the role of vapes in helping the millions of smokers to quit and the importance of vape flavors in achieving this.

  • Fiscal Task Force Urges Higher Taxes

    Fiscal Task Force Urges Higher Taxes

    Photo: witsarut

    Raising taxes on tobacco, alcohol and sugary drinks can prevent millions of deaths and generate trillions in revenue for governments worldwide, especially in low-income and middle-income countries, according to a new report released by the Task Force on Fiscal Policy for Health.

    Among other conclusions, the report finds that raising taxes enough to increase prices by 50 percent on these products could prevent 50 million premature deaths over the next 50 years and raise $3.7 trillion over the next five years, including $2.1 trillion in low-income and middle-income countries, where the health burden is greatest.

    According to the authors, cigarettes have become more affordable to nearly 90 percent of the world’s smokers in the past five years due to stalled progress in increasing tobacco taxes.

    Co-chaired by philanthropist Mike Bloomberg, Barbados Prime Minister Mia Amor Mottley and economist Larry Summers, the task force convened in 2018 to address noncommunicable diseases and comprises experts in fiscal policy, development and health.

  • Indonesia Keeps Tax Rates

    Indonesia Keeps Tax Rates

    Photo: Taco Tuinstra

    Indonesia will maintain excise tax rates for tobacco products at their current levels next year, reports The Star.

    According to a finance ministry official, the country will consider other policies, including changes in retail prices, to discourage smoking.

    “We won’t adjust the rates next year, but we will look for other alternative policies, including adjustment in retail prices,” said Askolani, director general of customs and excise at the finance ministry.

    Indonesia raised excise tax rates for tobacco products by an average of 10 percent each year in 2023 and 2024 in an effort to control cigarette consumption.

    According to a health ministry survey in 2023, Indonesia had 70 million smokers among its 280 million people. It said 7.8 percent of smokers were between the ages of 10 to 18.

  • KT&G Releases Lil Solid 3.0

    KT&G Releases Lil Solid 3.0

    Image: KT&G

    KT&G has released Lil Solid 3.0 in South Korea, reports Maeil Business Newspaper.

    The new product is an upgrade to Reel Solid 2.0, which debuted in 2020. Lil Solid 3.0 offers two new usage settings that provide a differentiated sense of smoking. Boost mode delivers a rich haze volume and strong impact. Normal mode offers the same experience as Reel Solid 2.0.

    A “smart-on” function heats the device instantly when the stick is inserted. The fast charging allows the user to charge the device up to 50 percent of its capacity within 40 minutes.

    The recommended consumer price is KRW88,000 ($66).

    “Reel Solid 3.0 is expected to provide more satisfaction to consumers with upgraded user convenience and design,” said Lim Wang-seop, head of KT&G’s next-generation products business division. “We will continue to develop innovative products that can meet domestic and foreign consumer needs based on world-class brand competitiveness.”

  • Kaival to Merge With Delta Corp.

    Kaival to Merge With Delta Corp.

    Kaival Brands Innovations Group and Delta Corp. Holdings have entered into a merger and share exchange agreement whereby Kavial Brands and Delta will each become subsidiaries of a specially created holding company, Pubco.

    Incorporated under the laws of the Cayman Islands, Delta Corp. Holdings is a privately held company for global businesses engaged in bulk and energy logistics, fuel supply, commodities and asset management.

    Following closing of the transactions, which the parties expect will occur in the fourth quarter of 2024, the combined company would be traded on Nasdaq. The combined company will continue to operate under the Delta management team led by Mudit Paliwal, Peter Shaerf and Joseph Nelson.

    “This transaction marks an exciting new chapter for Kaival Brands,” said Kaival Brands interim-CEO Mark Thoenes in a statement.

    “Delta’s flexible, asset-light business model positions the combined company to capitalize on high growth areas within the energy and raw materials markets and offers our shareholders a unique opportunity. We are confident that this partnership will deliver substantial value to Kaival Brands’ shareholders and employees.”