Category: News This Week

  • Nicotine Users Surveyed Ahead of TPD Revision

    Nicotine Users Surveyed Ahead of TPD Revision

    Photo: mohamed Hassan from Pixabay

    In the run up to the revision of the European Tobacco Products Directive (TPD), scheduled for 2021, the European Tobacco Harm Reduction Advocates (ETHRA) have launched a major survey to examine nicotine use in Europe.

    Among other questions, the poll asks adult consumers about their views on possible regulatory changes. How would users react to increased taxes, flavor bans or to the legalization of snus? Is there a need for greater access to product information? Would lifting the container restriction on e-liquids have any impact? What is missing for people who want to quit smoking?

    Available in Danish, Dutch, English, Finnish, French, German, Italian, Portuguese, Spanish and Swedish, the questionnaire will be open until Dec. 31, 2020.

    In addition to evaluating the TPD, the European Commission is  preparing proposals to amend its Tobacco Excise Directive to harmonize definitions and tax treatment of new products, including vapor, in 2021.  

    The European Parliament will debate the proposed TPD changes in May 2021.

    The ETHRA offers tobacco harm reduction advocates in Europe a platform for exchanging information and sharing experiences.

  • Mignot & De Block Buys EFKA Tube Factory

    Mignot & De Block Buys EFKA Tube Factory

    Photo: EFKA

    Imperial Tobacco has sold its EFKA filter tube factory in Trossingen, Germany, to F + C Papiervertriebsgesellschaft for an undisclosed amount.

    The buyer is part of Mignot & De Block, a Dutch group known in Germany mainly through its subsidiary, Gizeh Raucherbedarf.

    Imperial Tobacco discontinued filter tube production in Trossingen in the first half of 2020 in the wake of declining production quantities and the loss of trademark agreements.

    The EFKA brand, patents and other trademark rights remain property of Imperial Tobacco.

    “EFKA has been an integral part of Trossingen for more than 108 years,” said Helmut Rutschke, managing director of EFKA. “To have to halt our production here is still very painful personally, particularly with regard to the employees affected. On the other hand, we are pleased to be able to hand the location over to a buyer that wants to continue production—and, with it, an important part of Trossingen’s economic tradition. We wish all parties involved every success.”

    Christian Hinz

    “We are delighted to lead a well-positioned production location with highly qualified employees into a new future, even beyond the production of filter tubes,” said Christian Hinz, CEO of the Mignot & De Block Group Germany. “Our investment in the site is long-term and growth-oriented.”

    A total of 121 employees were affected by the halt of production at EFKA in Trossingen. Imperial Tobacco presented them with a variety of support offers and an extensive social plan.

  • Snap-On Filter Targets Secondhand Vapor

    Snap-On Filter Targets Secondhand Vapor

    Photo: Philter Labs

    Philter Labs launched its Phreedom filtration device that allows users to inhale and exhale into the same mouthpiece, eliminating up to 97 percent of secondhand vapor and smell.
     
    The filter is designed to work with 80 percent of the existing cartridges on the market, and it attaches to all 510 cannabis and CBD cartridges.
     
    “The Phreedom represents a massive step toward a vaping culture free of exhaled vapor, pollutants and best of all, its associated shame,” said Philter Labs’ chief technology officer and inventor, John Grimm, in a statement.

    “We wanted to provide a product that respects a person’s right to vape. The Phreedom is exactly that, with seamless integration for the majority of vape cartridges on the market and an enhanced experience focused on protecting people’s health, the health of the environment and the quality of the consumer experience.”
     
    The Phreedom uses Philter’s patented Zero-5 technology to help eliminate secondhand vapor.
     
    Philter offers other filtration devices, but the Phreedom is the first to allow users to inhale and exhale through the device.

    Philter Labs was profiled in Tobacco Reporter‘s September issue.

  • BAT May Step Up Pouch Production in Hungary

    BAT May Step Up Pouch Production in Hungary

    Photo: János Bencs from Pixabay

    British American Tobacco may expand production of nicotine pouches at its factory in Pecs, Hungary, reports the Budapest Business Journal, citing the state news wire MTI. The move would make the Pecs tobacco factory the biggest producer of pouches in the BAT group.

    Under the plan, Pecs’ cigarette manufacturing operations would be moved to other factories within the group.

    Part of a proposed restructuring of production in Pecs, the measure is expected to impact headcount, but details are still being negotiated with the Workersʼ Council and the union.

    Increasing production of nicotine pouches, which contain no tobacco, fits well with BATʼs strategy to offer consumers a broader selection of potentially less harmful products.

    BAT completed a HUF7.5 billion ($24.61 million) nicotine pouch plant at Pecs a year ago, raising headcount at the site by 100. Next year, production volume at the plant is expected to increase by a factor of 3.5.

    In 2019, BAT’s Pecs factory reported net revenue of HUF151.2 billion. The company employs more than 900 people in Hungary.

  • Partnering for Synthetic Nicotine Pouches

    Partnering for Synthetic Nicotine Pouches

    Photo: Martinmark – Dreamstime.com

    Next Generation Labs has entered an exclusive manufacturing arrangement with Dholakia Tobacco to produce synthetic non-tobacco nicotine moist white portion products for the modern oral nicotine (MON) pouch market.

    Combining Next Generation Labs TFN synthetic nicotine technology with Dholokia’s expertise in the manufacturing of herbal non-tobacco smokeless portion pouch products, this new partnership offers new opportunities for alternatives to nicotine portion pouches containing tobacco-derived nicotine.

    Under the terms of the agreement, Next Generation Labs and Dholakia are offering private-label development and manufacturing services to companies seeking to bring to market white portion pouch products that incorporate TFN tobacco-free synthetic nicotine in non-tobacco white portion pouch brands around the world.

    “While many portion pouch brands claim to use tobacco-free nicotine, they are in fact exclusively using tobacco-derived nicotine, and are labeled and marketed with claims such as ‘tobacco-leaf free,’ ‘tobacco-dust free’ or ‘free of tobacco residuals’,” Next Generation Labs wrote in a press release.

    “Almost all of these products continue to use nicotine extracted from the tobacco plant, and as such, they are not tobacco-free nicotine products,” the company wrote. “The TFN-based portion pouches made by Next Generation Labs and Dholakia can legitimately make the claim to be the only 100 percent tobacco-free nicotine pouches available to adult consumers today.”

    As the global market for synthetic nicotine grows, Next Generation Labs and Dholakia anticipate significant market growth opportunities for TFN-based tobacco-free smokeless nicotine products.

     

     

  • PMI Appoints New Sustainability Officer

    PMI Appoints New Sustainability Officer

    Photo: Gerd Altmann from Pixabay

    Philip Morris International (PMI) has appointed Jennifer Motles as chief sustainability officer effective Nov. 1, 2020. Motles will succeed the current chief sustainability officer, Huub Savelkouls, who will retire after almost three decades.

    Motles will report to the company’s chief financial officer, Emmanuel Babeau, as it is increasingly recognized—by both companies and investors—that fully integrating environmental, social and governance (ESG) drivers into business strategy can significantly enhance both the sustainability agendas and financial performance.

    “Integrating sustainability and financial strategies is further recognition of our commitment to unsmoking our planet and transforming our company,” said PMI’s CEO Andre Calantzopoulos in a statement. “It is a logical next step for us, following our statement of purpose adopted by our board and the introduction of integrated reporting earlier this year.”

    Motles joined PMI in 2015 when she helped craft PMI’s sustainability strategy, ensuring it was intrinsically linked to the adoption of the company’s vision of delivering a smoke-free future. Since then, she has helped advance PMI’s transformation, honing the company’s sustainability and ESG performance with a strong focus on shareholder and stakeholder engagement.

    “This move outlines that ESG is core to PMI’s performance and success and further demonstrates PMI’s leadership in sustainability and corporate purpose,” said Babeau. “Jennifer, with her broad range of international experience and her proven track record in the domain, is the ideal candidate to lead our company’s ambitious sustainability agenda.”

    “It is our firm belief that sustainability and business performance do not follow separate paths and narratives. They are fully interrelated and mutually reinforcing and should be organized and presented to all stakeholders in an integrated way,” continued Babeau.

    Motles began her career working for the Chilean Office of Drugs and Crime Prevention and Prosecution. She gained international experience working for organizations such as UNCITRAL, UNODC’s Terrorism Prevention Branch and the UNCTAD/WTO’s International Trade Center. Prior to joining PMI, Motles worked for the government of Israel, representing the country as its human rights and humanitarian affairs officer at the United Nations and other international organizations.

    She holds a doctor of law degree from Universidad de Chile—Escuela de Derecho and an LLM degree from the University of California, Berkeley School of Law as well as specialized diplomas in women’s human rights, behavioral economics, sustainability, sustainable finance and political affairs from IHEID, Harvard Business School, the Harvard School of Public Health and Stanford University.

  • Poll: Irish ‘Understand’ Black Market Purchases

    Poll: Irish ‘Understand’ Black Market Purchases

    Photo: Tobacco Reporter archive

    An overwhelming majority of adults in Ireland think that purchasing cigarettes and tobacco from the black market or other countries is “understandable” given the high cost of tobacco sold legally domestically. 

    According to a survey conducted by iReach for the smokers’ group Forest Ireland, 70 percent of adults agree that it is “somewhat understandable” (40 percent) or “very understandable” (30 percent) that smokers might choose not to buy cigarettes and tobacco from legitimate retailers in Ireland. 

    That view was supported by 85 percent of smokers and two-thirds (67 percent) of non-smokers. Only one in five (20 percent) of all adults found it not understandable. 

    The survey, which was conducted Sept. 24-30, also found that 65 percent of adults think the current level of tobacco duty—almost 80 percent on an average pack of cigarettes in Ireland—is either too high (22 percent), a little high (11 percent) or about right (32 percent).

    Only one in four (25 percent) think tobacco duty is too low (21 percent) or a little low (4 percent). 

    Forest Ireland is urging the government to reject calls to increase the tax on tobacco. In its submission ahead of next week’s Budget, the group called on Finance Minister Paschal Donohoe to “give smokers a break.”

    “A further tax hike will encourage even more smokers to buy tobacco abroad or on the black market because there is very little stigma associated with such transactions,” said Forest Ireland spokesman John Mallon.

     

  • Imperial Strengthens Executive Committee

    Imperial Strengthens Executive Committee

    Photo: Jakub Jirsák | Dreamstime

    Imperial Brands has continued to show resilience in adapting to the challenges posed by the Covid-19 pandemic, according to CEO Stefan Bomhard.

    “In my first three months as CEO I have focused on reviewing our strategy, engaging with employees, and visiting as many of our key markets as possible,” he said in a trading update. “I have been struck by the energy and passion of my colleagues, which increases my confidence in our ability to deliver a stronger performance in the years ahead.”

    Bomhard also announced the addition of several external hires to its executive committee.

    Murray McGowan has been appointed group strategy and transformation director. Murray has a background in strategy gleaned from his time at McKinsey, Whitbread, The Restaurant Group and Yum! brands.

    Alison Clarke has been appointed chief people and culture officer. Alison was previously chief human resource officer at Inchcape, with responsibility for all aspects of people and culture strategies.

    Javier Huerta has been appointed group manufacturing and supply chain director and will succeed Walter Prinz when he retires. Javier is currently executive vice president supply chain for foods and refreshment at Unilever and will join Imperial in the coming weeks.

    The company is currently searching for a new chief financial officer, following Oliver Tant’s decision to retire.

     

  • JT Completes Head Office Relocation

    JT Completes Head Office Relocation

    Photo: Taco Tuinstra

    Japan Tobacco (JT) has completed the relocation of its head office to the Kamiyacho Trust Tower from the JT Building.

    JT will occupy five floors from the 26th floor upward, with JT’s general reception located on the 30th floor, the company wrote in a press release.

  • Researcher Gets $1.3 Million to Study Menthol

    Researcher Gets $1.3 Million to Study Menthol

    Amy Cohn (Photo: University of Oklahoma)

    The U.S. National Institutes of Health and the Food and Drug Administration (FDA) Center for Tobacco Products have granted Amy Cohn, a researcher at the Stephenson Cancer Center at OU Medicine, $1.3 million to study menthol.

    Cohn will investigate the link between menthol and young adults’ smoking habits. According to Cohn, young adults who started smoking with menthol cigarettes expressed a more positive experience than those who started smoking with nonmenthol cigarettes.

    “Menthol cigarettes are disproportionately used by several at-risk populations, including African Americans, young people, Hispanics and women,” Cohn said in a press statement.

    “There are a lot of hypotheses that a ban on menthol would reduce the public health impact of cigarette smoking, which we know is a very strong risk factor for cancer and other diseases. Our research will help the FDA make decisions in its regulatory efforts.”