Category: Featured

  • Consumer Groups Critical to THR: Paper

    Consumer Groups Critical to THR: Paper

    Image: mtsaride

    Consumer advocacy organizations play a critical role in ensuring safer nicotine products are available as alternatives for those who use high-risk tobacco products, according to a new briefing paper by the Global State of Tobacco Harm Reduction (GSTHR).

    The absence of consumer perspectives from 10th Conference of the Parties to the Framework Convention on Tobacco Control–which was scheduled to be held in November but has been postponed due to social unrest in the host nation, Panama—will hamper collective efforts to bring an end to the smoking epidemic, according to the GSTHR.

    Consumer advocacy groups are also overstretched and under-resourced, according to the report. During the 12 months prior to the study, the total funding for all of the groups surveyed was only $309,810. None of this money came from tobacco or pharmaceutical companies, despite oft-repeated allegations from opponents of tobacco harm reduction. By contrast, the Campaign for Tobacco Free Kids received $160 million from Bloomberg Philanthropies in 2019 to oppose flavors in nicotine vapes.

    Despite the lack of funding, tobacco harm reduction consumer advocacy organizations have achieved a lot. “From the very early days of simply sharing information on products with peers who hoped to quit smoking, through to the emergence of more organized advocacy efforts, consumers have been central to the development of tobacco harm reduction,” said Jessica Harding, director of external engagement at Knowledge Action Change, in a statement.

    “Consumer advocacy groups play a vital role in maintaining access to safer nicotine products throughout the world and, despite the many obstacles they face, their achievements are impressive.”

    “People who use safer nicotine products and people who smoke are significantly affected by policy responses to tobacco and nicotine, broadly described as ‘tobacco control,’” said Gerry Stimson on behalf of the GSTHR project.

    “They are also the people who would most benefit from tobacco harm reduction. As in other comparable areas of public health, there must be a recognition of the contribution consumer advocacy groups can make to inform decisionmaking at meetings such as COP10. Their experiences are testament to the potential of harm reduction, and they should be heard.”

    Tobacco Reporter’s Stefanie Rossel recently explored the role of consumer advocacy groups in her article “Persistence Pays.”

  • Webinar on Low-Nicotine Tobacco

    Webinar on Low-Nicotine Tobacco

    Image: Michael Barkmann

    CORESTA is holding an agro-phyto webinar on “Low Nicotine Tobacco—Current Insight and Perspectives for the Agricultural Production of Raw Materials.”

    The webinar will be held on Dec. 5, 2023, from 2 p.m. CET to 3:30 p.m. CET. The registration deadline is Dec. 4, 2023. 

    “This webinar seeks to highlight our current understanding of low nicotine production capabilities as well as the successes and failures of applied research in the areas of genetics and agronomy,” according to CORESTA.

  • More Waste From Toys Than Vapes: Study

    More Waste From Toys Than Vapes: Study

    Image: Przemek Klos

    New research from the United Nations suggests that toys are a much larger contributor to electronic waste than vaping products, according to New Scientist.

    The Waste Electrical and Electronic Equipment (WEEE) Forum recently collaborated with the United Nations Institute for Training and Research to quantify how much electronic waste the world disposes of without realizing it has the potential to be recycled.

    According to the analysis, 9 billion kg of so-called “invisible” e-waste, worth nearly $10 billion, is thrown away yearly. Around one-third of this waste comes from children’s toys containing some 3.2 billion kg of hidden electronics.

    Toys contribute 77 times more to the world’s invisible e-waste than vapes, which account for 42 million kg annually. The U.N. estimates that 844 million vapes are thrown away every year.

    “Electronic waste is our fastest-growing waste stream,” says Oliver Franklin-Wallis, the author of Wasteland, a book on waste disposal. “It’s also by far our most valuable waste stream when it comes to household waste.”

    However, very few people realize that many common items they dispose of contain e-waste. Magdalena Charytanowicz, at the WEEE Forum, highlighted that this was the purpose of the research.

    “We’re trying to make people understand that the items they may not suspect are electronics actually do contain a lot of precious materials, like copper and lithium,” Charytanowicz said.

  • Eastern Raises Prices

    Eastern Raises Prices

    Image: mehaniq41

    Egypt Eastern Co. has raised prices of its tobacco products to absorb part of the increase in production cost following the devaluation of the Egyptian pound, said Hany Aman, the company’s chairman, according to Ahram Online.

    The company is coordinating with oversight authorities to control the market and is canceling contracts with vendors that do not adhere to official prices, according to Aman. Eastern Co. has also increased production to increase supply of all tobacco types in order to ensure market stability and contain prices.

    Local cigarette brand Cleopatra has increased in price from EGP24 ($0.77) to EGP27 for a 20-cigarette pack. Brands Boston, Belmont and Mondial have increased from EGP24 to EGP27 per pack, and Moreover, Viceroy and Pall Mall have increased from EGP35 to EGP42. Hookah tobacco prices have also increased to EGP50 for 250-gram packs and EGP85 for 500-gram packs of the Muʽassel Saloum brand.

    Egypt’s Parliament approved an amendment to the VAT law on Oct. 30, imposing a tax of EGP0.50 on tobacco products sold in the local market.

  • U.K. Mulls Vape Tax

    U.K. Mulls Vape Tax

    Image: Margo_Alexa

    U.K. ministers are considering a new vapor tax as part of the move to create a “smoke-free generation” that would also include a gradual total ban on smoking, according to The Guardian.

    Documents that were published along with Rishi Sunak’s first king’s speech show that an eight-week consultation on smoking and vaping is planned and will “explore a new duty” on vapor products.

    There is an “important balance” that needs to be met to make sure cigarettes are taxed higher than vapes, The Guardian noted, citing Downing Street.

    Ministers plan to introduce the new tobacco and vapes bill next month. It will include tighter restrictions on vaping and phase out the sale of cigarettes, making it so that children currently aged 14 or younger will never legally be able to purchase the products.

  • FDA Sends More Warnings                                              

    FDA Sends More Warnings                                              

    Image: Mucahiddin

    The U.S. Food and Drug Administration sent warning letters to seven online retailers for selling unauthorized e-cigarette products. The warning letters cite the sale of popular and youth-appealing disposable e-cigarette products marketed under the brand names Elf Bar, EB Design, Bang, Cali Bars and Lava.

    These warning letters were informed by the FDA’s ongoing monitoring of multiple surveillance systems to identify products that are popular among youth or have youth appeal, according to the agency. Findings released last week from the 2023 National Youth Tobacco Survey found that more than half of current youth e-cigarette users reported using the disposable e-cigarette brand Elf Bar; earlier this year, the manufacturer of Elf Bar began marketing the product under the name EB Design. In addition, the brands Bang, Cali Bars and Lava were identified as popular or youth appealing by the agency following review of retail sales data and emerging internal data from a survey among youth.

    “FDA’s robust surveillance of the e-cigarette landscape helps us to identify youth-appealing products and to act quickly to protect public health,” said Brian King, director of FDA’s Center for Tobacco Products. “The goal is to identify, prevent and reduce these risks to our nation’s youth before they escalate further.”

    The retailers receiving warning letters sold or distributed e-cigarette products in the United States that lack authorization from the FDA in violation of the Federal Food, Drug and Cosmetic Act. Warning letter recipients are given 15 working days to respond with the steps they’ll take to correct the violation and to prevent future violations. Failure to promptly correct the violations can result in additional FDA actions, such as an injunction, seizure and/or civil money penalties.

    To date, the FDA has authorized 23 tobacco-flavored e-cigarette products and devices. The distribution or sale of unlawfully marketed products is subject to compliance and enforcement action. For retailers looking for information on which e-cigarettes are legal to sell, the FDA created a printable, one-page flyer of these authorized products. This information is also available on the FDA’s website.

  • Boycotters Urged to Quit Rather than Localize

    Boycotters Urged to Quit Rather than Localize

    Photo: sezerozger

    Health experts are urging Jordanians to quit smoking rather than switch to local cigarettes as product boycotts gain momentum, reports The Jordan Times

    Following the war in Gaza, consumers in Arab countries have called for boycotts of companies that they perceive to be supporting the Israeli occupation. As a result, Jordanian tobacco product retailers and distributors have reported a modest decline in tobacco sales for some international companies.

    Abdel Rahman Shaher, a respiratory doctor, said the boycotts presented a golden opportunity for Jordanians to protect their health and their values.

    “Quitting smoking has numerous health benefits, including reduced risk of heart disease, lung cancer and respiratory illnesses,” Shaher said. “Jordanians have the chance to not only show their solidarity with Gaza, but also prioritize their own wellbeing and contribute to a healthier, smoke-free future.”

    Jordan has one of the world’s highest rates of tobacco consumption, with more than 66 percent of males smoking, according to Muhammad Anees Abdallah, secretary-general of the Jordanian Society for Anti-Smoking. He noted that Jordanians spend JOD1.6 billion ($2.26 billion) annually on cigarettes, alone. “This figure doesn’t include Jordanians spending on shisha, vape and electronic cigarettes,” Abdallah said.

  • COP10 Postponed

    COP10 Postponed

    Photo: Maksym Yemelyanov

    The Tenth session of the Conference of the Parties (COP10) to the WHO Framework Convention on Tobacco Control (FCTC) and the Third session of the Meeting of the Parties (MOP3) to the Protocol to Eliminate Illicit Trade in Tobacco Products have been postponed to 2024.

    “Following communication received from Panama, the host country of the Tenth session of the Conference of the Parties to the WHO Framework Convention on Tobacco Control  and the Third session of the Meeting of the Parties to the Protocol to Eliminate Illicit Trade in Tobacco Products, it is no longer possible to conduct COP10 and MOP3 in November 2023, as scheduled,” the FCTC wrote on its website.

    The sessions are expected to be held in Panama, as early as possible in 2024, at dates to be confirmed.

    The postponement of COP10 and MOP3 is due to the current security situation in Panama, which has been shaken by mass protests about a government contract that allows a Canadian company to expand its copper mining operations there.

    The Convention Secretariat said it will communicate further details in relation to COP10 and MOP3, as soon as available.

  • KT&G Reports Record Revenue

    KT&G Reports Record Revenue

    Photo: Taco Tuinstra

    KT&G reported record revenue of KRW1.69 trillion ($1.29 billion) for the quarter that ended Sept. 30, 2023. This reflects a 4 percent increase from the same quarter last year. Operating profit rose 0.3 percent to KRW406.7 billion despite cost headwinds.

    Solid performance in combustible business drove the revenue growth as the company’s total combustible revenue, including both overseas and domestic sales, jumped to KRW972.7 billion, a 3 percent increase year-on-year. Operating profit from combustible products recorded KRW269.4 billion, up 0.6 percent year-on-year.

    Overseas combustible business delivered impressive growth across all key metrics, including sales volume and revenue. KT&G’s overseas combustible revenue increased 26.3 percent to KRW321.6 billion, and the sales volume recorded 14.82 billion sticks, up 21 percent year-on-year. The double-digit growth in revenue and sales volume of overseas combustible products was mainly driven by strategic pricing and combined growth across export and overseas subsidiary volumes.

    The heat-not-burn business also recorded a double-digit increase in both domestic and overseas sales figures. KT&G sold 1.45 billion sticks in the domestic market and 2.03 billion sticks in overseas markets, which represents 13.3 percent and 22.3 percent growth year-on-year, respectively.

    In the third quarter, KT&G’s primary focus was on enhancing its financial performance by strengthening the global competitiveness of its core business areas. As part of the effort, KT&G made significant investments in Indonesia and Kazakhstan in September and October.

  • Sales Down at Scandinavian Tobacco

    Sales Down at Scandinavian Tobacco

    Niels Frederiksen | Photo: STG

    Scandinavian Tobacco Group (STG) delivered 3.9 percent negative net sales growth, an EBITDA margin of 26.5 percent and a free cash flow before acquisitions of DKK622 million ($89.36 million) for the third quarter of 2023. For the first nine months of 2023, net sales decreased by 1.8 percent to DKK6.5 billion, the EBITDA margin was 24.6 percent and the free cash flow before acquisitions was positive by DKK602 million.

    Consumer trends for the cigar categories remained unchanged throughout the third quarter, according to STG. Decreasing volumes were partly offset by pricing and increasing sales from growth enablers, such as retail stores, next-generation products and international sales of handmade cigars.

    STG anticipates net sales growth to recover in the fourth quarter, primarily as a result of the positive trend in North America online and retail, along with growth in Europe and comparison to a soft fourth quarter last year. The EBITDA margin is expected to be somewhat lower than in the fourth quarter last year as a result of category and country mix combined with higher investments in the growth enablers and in stabilizing the market share development in Europe branded. The main uncertainties to the full-year expectations remain the volume development in Europe branded and inventory adjustments with customers in the U.S.  

    STG’s board of directors has approved a share buyback program of up to DKK850 million running to the end of February 2025. “With the performance in the third quarter, we are on track to deliver on our revised guidance from August with both cash flow and margin recovering in the quarter,” said CEO Niels Frederiksen in a statement.

    “Although key uncertainties persist, we continue to make good progress in the online business, and the growth enablers are also performing well. Whereas the market share for Europe branded continued to decline, we remain confident that the more aggressive initiatives launched over the past few months will support a stabilization.”