Category: Featured

  • Dutch Minister: Ban Filters to Reduce Litter

    Dutch Minister: Ban Filters to Reduce Litter

    Photo: Yakiv

    The best way to prevent cigarette filter litter is a ban, the Netherland’s junior infrastructure minister, Vivianne Heijnen, said in a briefing to Members of Parliament.

    An outright ban on filters is the most effective option to achieve the government’s target of reducing filter litter by 70 percent, according to Heijnen. The current model of discouraging smoking and littering, she says, will result in only a 15 percent reduction by 2026.

    Cigarette filters contain chemicals and microplastics, which take years to break down.  take years to break down. 

    A filter ban would have to be Europe-wide, Heijnen told Dutch News, because a uniquely Dutch ban would be in contravention of the European free trade agreement. She suggested a ban be included in the 2026 renewal of the European guideline on single-use plastics.

    More local bans on smoking at beaches and more smoke-free festivals and smoke-free zones in public spaces are also among the measures Heijnen proposed.

  • Activists Urge Thailand to Lift E-cigarette Ban

    Activists Urge Thailand to Lift E-cigarette Ban

    Photo: Teo

    End Cigarette Smoke Thailand (ECST) is urging Thailand to legalize vaping, citing the U.K. progressive approach to e-cigarettes as an example, reports Thaiger.

    In Thailand, the sale and use of e-cigarettes are illegal, creating an unregulated black market and increased access for minors, according to ECST. 

    “E-cigarettes are legal in England, allowing its government to impose measures and effectively enforce the regulations to protect minors,” said Asa Saligupta, a representative of the ECST and the Facebook page “What are e-cigarettes?” “The U.K. government is set to allow £45 million [$56.05 million] to reduce the country’s smoking rate and another £3 million for clamping down on shops selling vapes to youths under the age of 18.” 

    “The ban [in Thailand] is claimed to protect minors, but the sales and use of e-cigarettes are overt and commonplace. Children can easily access e-cigarettes through online channels without any regulations or inspections,” said Saligupta. 

    Following the U.K.’s example could be the solution to Thailand’s e-cigarette policy issues, according to Maris Karanyawat. “The subcommittee for studying factors affecting the health system and monitoring the enforcement of public health laws issued a report, which is based on a comprehensive study and opinions of all groups involved in the e-cigarette issue. The report suggests that Thailand should lift the ban on e-cigarettes so that they can be appropriately controlled through the 2017 Tobacco Products Control Act.” 

    In preparation for the upcoming tenth session of the Conference of the Parties to the World Health Organization Framework Convention on Tobacco Control, scheduled to take place in Panama in November, Karanyawat said, “We hope that the Thai delegates will take into account the public health committee’s report, which recommends that a tobacco harm reduction approach be developed based on new scientific evidence which shows that e-cigarettes should be controlled differently from combustible cigarettes because they have different harmful effects.” 

  • Bosnia and Herzegovina Tax Collections Plunge

    Bosnia and Herzegovina Tax Collections Plunge

    Photo: Frank Parker

    Income from excise taxes on domestic tobacco and tobacco products in Bosnia and Herzegovina (BiH) has decreased one hundredfold in six years, reports The Sarajevo Times, citing data from the BiH Indirect Taxation Administration (ITA). 

    According to the data, during the last year, BiH received about BAM2 million ($1.13 million) from excise taxes on tobacco and tobacco products compared to hundreds of millions in previous years. 

    “Thus, in 2009, based on these excise taxes, BAM171 million was earned; in 2010, BAM216 million; in 2011, BAM240 million; in 2012, BAM231 million; in 2013, BAM207 million; in 2014, BAM203 million; in 2015, BAM233 million; in 2016, BAM207 million; in 2017, BAM190 million,” the ITA data states. 

    The shutdown of tobacco factories in Banja Luka, Sarajevo and Mostar contributed most to the decrease. 

    Tobacco cultivation has slowly declined. “My wish is to maintain tobacco production, to gradually, in agreement with the relevant ministry and local self-government, try to return that production to some values that were in previous years,” said Svetozar Mihajlovic, owner of Duvan, one of the few remaining companies purchasing leaf.  

    “So, we see that domestic industry is practically shut down, and that is the best explanation of this indicator,” said economist Slavisa Rakovic. “If domestic industry had been maintained, not only would we have revenues from excise taxes at a much higher level, but the level of added value through processing would have been much higher, and taxes and contributions from employees’ salaries would have been significant. But what can be done …. It can be expected that with such policies, we will wait for the day when it is not worth doing anything here but to deal with politics.”

  • Scandinavian Tobacco Group Acquires XQS

    Scandinavian Tobacco Group Acquires XQS

    Scandinavian Tobacco Group is acquiring substantially all assets of XQS International in Sweden The transaction value consists of an upfront payment as well as an earnout agreement, STG announced in a press note.

     Assuming all targets are met, the total purchase price will be about DKK150 million ($22.19 million), and it will be fully financed by cash at hand and debt.

    XQS is active in smoke-free products, and its products are primarily sold in Sweden. In 2022, XQS’ reported net sales were about DKK50 million with a low single-digit EBITDA margin and a total volume of 3 million cans.

  • Malawi Growers Encouraged by Prices

    Malawi Growers Encouraged by Prices

    Photo: Taco Tuinstra

    Tobacco growers in Malawi have been pleased with prices as the 2023 selling season progresses, according to an article by Xinhua

    The tobacco market opened on April 12. According to Auction Holdings Limited (AHL), which runs the tobacco sales floors in Lilongwe, the average sales price rose from $1.8 per kilo to $1.88 per kg during the first sales days.

    Farmers at the Limbe Auction Floors in Blantyre, the country’s commercial hub, said they would do very well if the trend persists. “I’m very excited with the prices, and going like this, I’m optimistic that I’ll make more gains than I’ve ever anticipated,” tobacco grower Ben Sakwi was quoted as saying by Xinhua on April 18. 

    Tobacco Association of Malawi Trust President Abel Masache Kalima Banda said the good prices would help offset the significantly increased cost of production during the recent growing season.

    Tobacco is Malawi’s leading foreign exchange earner, accounting for more than half of the country’s exports. 

    The Tobacco Commission expects 126 million kilos of tobacco to be sold this season, up from 85 million kilos produced last season. 

    The high prices are a result of strong demand for Malawi leaf, which is estimated at 170 million kilos, according to the AHL. 

  • Global Number of Vapers Jumps

    Global Number of Vapers Jumps

    Photo: eldarnurkovic

    The number of vapers has increased significantly worldwide, according to the latest research from the Global State of Tobacco Harm Reduction (GSTHR).

    A new peer-reviewed paper published this week in Drugs, Habits and Social Policy estimates there are now 82 million vapers worldwide. The GSTHR project, from the U.K. public health agency Knowledge Action Change (KAC), found that the 2021 figure represents a 20 percent on that for 2020.

    According to KAC, vaping is a significantly safer alternative to smoking. “Each year, there are 8 million smoking-related deaths worldwide,” the organization wrote in a press note. “The growth in the number of vapers, most of whom will have swapped smoking for vaping, is therefore a hugely positive step in efforts to reduce the harms of combustible cigarettes and hasten the end of smoking.”

    The new study comes shortly after the U.K. government announced its Swap to Stop scheme, which aims to give 1 million smokers a free vaping starter kit to help them quit smoking. According to KAC, the U.K.’s permissive vaping laws have helped drive smoking to its lowest level on record.

    “The U.K.’s support of vaping for tobacco harm reduction is in sharp contrast to the situation in many countries, however,” KAC wrote. “GSTHR data shows that vapes are banned in 36 countries, and in a further 84 countries there is a regulatory and legislative vacuum. Millions of smokers who want to switch to much safer vaping cannot do so, or may be forced to purchase potentially unsafe products on black or grey markets, due to bans, or poor or non-existent product regulation.”

    The updated Global State of Tobacco Harm Reduction estimate suggests that there are now 82 million people worldwide who vape, proving that consumers find these products attractive.

    The GSTHR research shows that despite restrictive regulations or bans in many countries, increasing numbers of people are choosing to switch to safer alternatives to combustible tobacco. “Along with other countries like New Zealand, the U.K. offers strong evidence that positive government messaging about vaping for tobacco harm reduction can hasten reductions in smoking prevalence,” wrote KAC. “But an international meeting on tobacco control later this year could jeopardize global progress on reducing smoking-related death and disease through tobacco harm reduction,” the public health agency added, referring to the meeting of the parties to the World Health Organization’s Framework Convention on Tobacco Control scheduled for November in Panama City.

    The WHO remains opposed to the use of safer nicotine products for smoking cessation, despite supporting harm reduction in other areas of public health such as substance use and HIV/AIDS prevention.

    “The updated Global State of Tobacco Harm Reduction estimate suggests that there are now 82 million people worldwide who vape, proving that consumers find these products attractive,” said Gerry Stimson, director of KAC and emeritus professor at Imperial College London. “As evidenced in the U.K., millions are making the switch from smoking. Safer nicotine products give the world’s 1 billion smokers the chance to quit using alternatives that pose significantly fewer risks to their health.”

  • Netherlands to Ban Nicotine Pouches

    Netherlands to Ban Nicotine Pouches

    Photo: Andrii

    The Netherlands will ban the sale of nicotine pouches and expand the rules for tobacco to cover all other types of tobacco-free nicotine products, the government announced on April 21.

    Currently, Dutch law permits sales of nicotine pouches only if they contain less than 0.035 grammes of nicotine.

    The new rules will also prohibit the use of nicotine pouches and other tobacco-free nicotine products in places where smoking is not allowed.

    The government said it would also end all advertising for tobacco-free nicotine products, a segment that tobacco companies have invested heavily in as move away from combustible products to less harmful cigarette alternatives.

    “The tobacco industry keeps launching new products that make it easy for young people to come into contact with nicotine,” health deputy minister Maarten van Ooijen was quoted as saying by Reuters.

    “This is bad, because nicotine is addictive and harmful. That’s why I’m glad we will now treat these products the same as tobacco products,” he said.

  • Group Blasts Quebec Flavor Ban Proposal

    Group Blasts Quebec Flavor Ban Proposal

    Photo: vmargineanu

    A proposal by the government of Quebec to ban nontobacco-flavored nicotine vaping products will have negative consequences for public health if enacted, according to the Canadian Vaping Association (CVA).

    In addition to the flavor restrictions, the recently released draft legislation proposes a volume limit of 2 mL on prefilled devices and a limit of 30 mL on refill containers. Additionally, the regulations would restrict nicotine concentrations to 20 mg/mL and prohibit the use of any form, appearance or function that may be attractive to minors, both of which have already been regulated by the federal government.

    If the draft rules are implemented, Quebec, with its population of 8.5 million, will become the largest Canadian province to prohibit flavors, according to Vaping360. Quebec is the country’s second-most populous province. According to the Alliance of Vape Shops in Quebec, there are over 400 independent vape shops in the province, employing over 2,200 people and generating more than $300 million in economic activity. The trade group predicts the shops will all close.

    Quebec’s decision to ban flavors is a major win for tobacco companies, out-of-province vendors and contraband sellers.

    In 2021, federal health agency Health Canada proposed a flavor ban that was scheduled to take effect in early 2022, but that plan seems to have been abandoned or postponed indefinitely without explanation. Health Canada’s updated vaping products regulations page makes no mention of the flavor restrictions.

    The CVA says Quebec proposed its rules despite warnings by the industry about their negative impacts. Vaping is proven to be significantly less harmful than smoking, according to the CVA, which says there is substantial evidence from jurisdictions that have already implemented flavor bans that the public health outcome is negative, as many vapers will return to smoking and fewer smokers will switch to vaping.

    “Quebec’s decision to ban flavors is a major win for tobacco companies, out-of-province vendors and contraband sellers,” said Darryl Tempest, government relations counsel to the CVA board, in a statement. “What Quebec has done is shift demand to tobacco owned products, retailers outside of Quebec and criminals. Quebec’s small businesses and domestic industry will be irreparably harmed in favor of multinational corporations,” said Tempest.

  • Altria to Face First Juul Marketing Trial

    Altria to Face First Juul Marketing Trial

    Photo: steheap

    Altria Group is set to face trial April 24 in a lawsuit by San Francisco’s public school district accusing the company of fueling a teen vaping epidemic through its investment in Juul Labs, reports Reuters. The tobacco giant owned a 35 percent share in Juul Labs from late 2018 until March 2023, when it exchanged its stake for license to certain Juul Lab’s heated tobacco intellectual properties.

    Through its lawsuit, the San Francisco Unified School District wants to make Altria pay for the cost of tackling student vaping on school grounds.

    Thousands of individuals, local government entities and states have filed similar cases against Altria. U.S. District Judge William Orrick in San Francisco, who presides over much of the litigation, chose the San Francisco school district’s as a test case.

    Suggesting the San Francisco case lacks merit, Altria vowed to defend itself vigorously. “Most of the allegations raised in this suit occurred years before we made a minority economic investment in Juul,” the company said in a statement on April 20.

    The April 24 trial will mark the second time one of those cases goes before a jury. An earlier trial brought by the state of Minnesota, ended in a settlement, though the terms have yet to be disclosed.

  • Philip Morris Posts First-Quarter Results

    Philip Morris Posts First-Quarter Results

    Photo: PMI

    Philip Morris International reported net revenues of $8 billion in the first quarter of 2023, up 3.5 percent over those from the comparable quarter in the previous year. Smoke-free product net revenues increased 14.5 percent to $2.8 billion. The company’s operating income was $2.7 billion during the quarter, 17.2 percent less than in the comparable 2022 quarter.

    PMI shipped 171.1 billion cigarettes and heated-tobacco units during the 2023 quarter, down 1.1. percent from the 2022 quarter. The volume of heated-tobacco units increased 10.4 percent to 27.4 billion. Shipments of oral products, boosted by the company’s acquisition of Swedish Match, rose to 173.3 million cans.

    “Our business performed strongly in the first quarter, with adjusted diluted EPS [earnings per share] of $1.38 exceeding our expectations,” said PMI CEO Jacek Olczak in a statement.

    “Net revenues increased by 3.5 percent on a reported basis and by 3.2 percent organically, reflecting accelerated combustible tobacco pricing and robust underlying heated-tobacco unit shipment volume growth before the impact of inventory movements.

    “We continue to successfully integrate Swedish Match, which delivered impressive—and accretive—results, accelerating our transition to a majority smoke-free company. The outstanding performance of Zyn in the U.S. complemented the positive momentum of IQOS, including the excellent traction of ILUMA across launch markets, and reinforces our position as a truly global smoke-free champion.

    “With our encouraging start to the year, we are reaffirming our full-year 2023 forecast for organic net revenue growth of 7 percent to 8.5 percent and currency-neutral adjusted diluted EPS growth of 7 percent to 9 percent.”