Category: Featured

  • BAT Urges Collaboration on Harm Reduction

    BAT Urges Collaboration on Harm Reduction

    Kingsley Wheaton (Photo: BAT)

    BAT’s chief growth officer, Kingsley Wheaton, called for greater collaboration between the industry, governments and intergovernmental organizations to accelerate tobacco harm reduction becoming the tobacco control policy of choice during the recent Global Tobacco & Nicotine Forum in Washington D.C.

    While BAT is determined to reduce the health impact of its business, Wheaton stressed that to bring about change, a “whole-of-society” approach is needed.

    “We must provide adult consumers with a portfolio of products that are a better choice than cigarettes. And so that consumers are able to make informed decisions about those choices, public health needs to accurately communicate risk, while the industry should be able to responsibly communicate the benefits of switching via appropriate marketing freedoms,” Wheaton said.

    BAT says its business is on track to achieve its ambition of having 50 million adult consumers of non-combustible products by 2030. The company is also investing heavily in research and development. In September 2021, for example, BAT announced it was constructing a state-of-the-art innovation hub in Trieste, Italy. The company is also conducting industry-leading science, with one recent study showing smokers who switched exclusively to BAT’s Glo product saw significant and sustained improvements in several indicators of potential harm

    According to Wheaton, transforming the industry and positively impacting public health requires the continued production of robust and accessible science, the freedom to responsibly inform adult smokers about the potential benefits of reduced-risk products and a transition from the old tobacco control approach of “quit or die” to sustainable change, along with engagement between governments, intergovernmental bodies and industry figures, among other things.

  • FITA Wants More Engagement

    FITA Wants More Engagement

    Image: Aerial Mike

    The Fair-Trade Independent Tobacco Association (FITA) chairperson, Sinenhlanhla Mnguni, has expressed that the organization would like to see more government engagement with manufacturers before policy amendments are made. This follows news of the Control of Tobacco Products and Electronic Delivery Systems Bill of 2018 being submitted to Parliament by the Cabinet, according to The South African.

    The bill proposes 100 percent smoke-free indoor areas and designated outdoor smoking areas as well as cigarette packaging changes. The FITA represents 80 percent of cigarette manufacturers in South Africa, and Mnguni stated that the proposed changes will lead to fiscal challenges for FITA members and the whole of the tobacco industry.

    “FITA and its members hope and trust that these measures will be introduced after full consultation with all the role players in the industry and not just those big companies that seem to hold much sway over certain government officials,” said Mnguni.

    “We are of the opinion that communication between our industry and government and its institutions continues to be monopolized, dominated and controlled by multinational cigarette manufacturers,” Mnguni said.

    “There is still a lot of noncompliance in the tobacco industry along the value chain, particularly following the five-month-long tobacco ban, and we hope that government will employ greater resources in future to protect the legitimate industry and to ensure that issues such as the rampant smuggling of cigarettes, which robs our fiscus of billions, are eradicated.”

  • UPM Raflatac and Logopak Collaborate

    UPM Raflatac and Logopak Collaborate

    Image: thodonal

    The label manufacturer UPM Raflatac and the industrial labeling and identification solutions provider Logopak have agreed on a collaboration, which provides the first robust linerless solution in print and apply labeling.

    With linerless labeling, omitting the label liner significantly increases the running length and capacity of the label rolls, saves costs and benefits the environment by reducing the carbon dioxide footprint in production and logistics, according to a joint press release. As a first step, the collaboration will improve the automatic labeling of secondary packaging.

    The benefits of the collaboration for customers are realized through the compatibility between Logopak’s linerless labeling technology and UPM Raflatac’s Linerless Opticut label material.

    “We have been determined to develop linerless labeling to new heights to drive both sustainability and efficiency. By joining the forces with Logopak, we can accelerate these advancements and offer first-class solutions also in the field of automated labeling,” said Ville Pollari, business segment director of paper laminates EMEIA for UPM Raflatac.

    “Our vision is to make industrial labeling consistently sustainable in order to improve the eco-balance in an efficient way. By close cooperation with UPM Raflatac, we achieve a perfect interaction in the field of linerless labeling technology, which enables us to offer complete solutions for our customers, from machinery and software until consumables. This underlines our mission to make business ‘Faster. Safer. Greener,’” says Patrick Petersen-Lund, product manager for Logopak.

  • Cuba: Tobacco Fields Destroyed in Hurricane

    Cuba: Tobacco Fields Destroyed in Hurricane

    Image: ronniechua

    Cuba faced power outages across the entire island as well as the destruction of some of the country’s most important tobacco farms when Hurricane Ian hit the island’s western tip on Tuesday, reports AP.

    Energy has been restored to three regions, and the Energy and Mines Ministry is working to get others back online. As of Wednesday morning, Havana, the country’s capital, was still without power.

    Hurricane Ian made landfall in Cuba as a Category 3 hurricane, devastating Pinar del Rio province, where much of the tobacco used for Cuban cigars is grown.

    Tens of thousands of people were evacuated, and others fled the area ahead of the arrival of Ian. So far, no fatalities have been reported.

    Ian’s winds damaged one of Cuba’s most prestigious tobacco farms, Finca Robaina. “It was apocalyptic, a real disaster,” said Hirochi Robaina, owner of the farm.

    Cuban President Miguel Diaz-Canel visited the affected region, telling the population, “Although the first impact is very painful, there’s nothing to do but overcome the adversity.”

  • China: Flavored Vape Ban Takes Effect

    China: Flavored Vape Ban Takes Effect

    Image: Arcady

    China’s ban on flavored vapor products takes effect on Oct. 1 along with other new vaping product standards that were decided on earlier this year, reports Vaping360.

    In November 2021, Chinese law was amended to bring the vapor industry under control of the State Tobacco Monopoly Administration (STMA), which regulates China’s tobacco products.

    Vapers are rushing to buy and hoard flavored vapor products before the ban takes effect on Saturday, according to Vaping360. It is not clear yet if the ban will create a large black market in the country; China is known to punish illicit sellers harshly.

    Products meant for export will not have to meet Chinese standards unless the destination country does not have its own specific standards.

    China’s new rules also require domestic e-cigarette manufacturers and traders to obtain a license before operating their business, according to The Global Times.

    E-cigarettes cannot be sold to customers under 18, and the sale points cannot be near schools or kindergartens. Warning signs must also be placed at the e-cigarette sale points, and self-service sales are banned.

    Manufacturers, wholesalers and retailers of e-cigarettes, vaporizers and e-liquid are required to conduct their business on specific platforms that are subject to STMA supervision.

    The rules also forbid the advertising of e-cigarettes in the mass media or in public places.

    The iiMedia Research Institute expects China’s e-cigarette market to be worth RMB25.52 billion ($3.57 billion) by the end of 2022 and RMB45.43 billion by the end of 2023.

  • BAT Invests in Sanity Group

    BAT Invests in Sanity Group

    Photo: PiyawatNandeenoparit

    BAT, via one of its wholly owned group companies, has acquired a noncontrolling minority stake in Sanity Group, one of Germany’s leading cannabis companies.

    This investment is complementary to other recent investments made by BAT companies, most notably the strategic R&D collaboration established with Canada’s Organigram Holdings announced in March last year.

    Sanity Group, which is based in Berlin, produces CBD consumer brands and medical cannabis brands. It also has a proven track record in the research, development and marketing of cannabis products. 

    “Investing in Sanity Group is another example of BAT’s ongoing work to explore numerous areas beyond nicotine, positioning BAT for future portfolio growth across a range of categories and geographies,” said Kingsley Wheaton, chief growth officer at BAT, in a statement.

    “We continue to transform our business through better understanding of our current and future consumers as part of our ‘A Better Tomorrow’ purpose.”

    Sanity secured $37.6 million in the BAT-led Series B funding round, according to Sanity founder and CEO Finn Age Hansel. About half of the funding will go toward strengthening Sanity’s medical business. The rest of the funding will go toward preparing for the possible legalization of recreational marijuana in Germany.

    Germany has not legalized recreational cannabis yet, but action is expected sooner rather than later. Germany’s coalition government is “working actively on it and really want[s] to come to a good draft of the law by the end of this year,” Hansel said. “This is really a priority topic for the government.”

    “This funding is an important milestone for us and a strong signal toward the future of cannabis in Germany and Europe,” said Max Narr, chief investment officer at Sanity Group. “Against the backdrop of a challenging global economy, we are proud to have achieved a funding round of this magnitude.”

  • Comment Period on Dutch Flavor Ban Closing Soon

    Comment Period on Dutch Flavor Ban Closing Soon

    Photo: BillionPhotos.com

    The Dutch government’s public consultation period for a potential ban of flavored vaping products will close Sept. 28, reports Vaping360.

    The new rule would ban all e-liquid flavors except tobacco and is scheduled to take effect Jan. 1, 2023. However, products already on the market by Dec. 31 can be sold until July 1, 2023.

    The Dutch National Institute for Public Health and the Environment and the Ministry of Health have proposed a list of just 16 ingredients that would be allowed in legal tobacco-flavored e-liquids.

    Dutch vaping industry advocates claim the ingredient restrictions will essentially put all e-liquid manufacturers in the Netherlands out of business.

    The comment period is open to the public, and Dutch e-cigarette advocates are asking consumers from the Netherlands and elsewhere to share their thoughts on the Dutch government’s e-cigarette consultation webpage.

    Previous efforts to ban flavored vapes in the Netherlands have failed.

  • Maine Backs Out of Juul Settlement

    Maine Backs Out of Juul Settlement

    Photo: Carsten Reisinger

    Maine is backing out of a multi-state settlement with Juul Labs over the e-cigarette manufacturer’s marketing practices after objecting to certain conditions from the company.

    Maine was set to receive an estimated $11.6 million over the next six years to 10 years as part of a nearly $440 million settlement between the manufacturer and 33 states and territories. The investigation found that Juul had marketed its products to youth.

    However, as part of the agreement, Juul wanted states to waive the rights of school districts to pursue their own lawsuits, according to the Maine attorney general’s office. Maine is unwilling to agree to that.

    “We are disappointed in the outcome of these negotiations, but ultimately, we were unwilling to waive the rights of other entities who are also trying to hold Juul accountable for its deception,” Attorney General Aaron Frey said in a statement to The Maine Monitor.

  • FDA Seeks TPSAC Nominations

    FDA Seeks TPSAC Nominations

    Photo: Postmodern Studio

    The U.S. Food and Drug Administration’s Center for Tobacco Products is requesting nominations for two individuals to serve as voting members on the Tobacco Products Scientific Advisory Committee (TPSAC). According the FDA website, individuals may self-nominate or be nominated by any interested person or organization.

    Nominations received on or before Nov. 25, 2022, will be given first consideration. Nominations received after Nov. 25, 2022, will be considered as later vacancies occur.

    TPSAC advises the CTP in its responsibilities related to the regulation of tobacco products. The committee reviews and evaluates safety, dependence and health issues concerning tobacco products and provides appropriate advice, information and recommendations to the FDA commissioner.

    The notice has been published in the Federal Register.

  • South Africa: Treasury Stands by Tax Proposal

    South Africa: Treasury Stands by Tax Proposal

    selensergen

    The National Treasury and South African Revenue Service (SARS) is standing by its e-cigarette tax proposals despite protests from businesses, reports Businesstech.

    Speaking to the parliamentary standing committee on finance this week, the National Treasury and SARS responded to comments by businesses regarding changes proposed under both the Draft Tax Administration Amendment Bill and the Taxation Laws Amendment Bill.

    The National Treasury wants to apply an average excise rate for e-cigarettes of ZAR2.91 ($0.16) per milliliter and apportioned in a ratio of 70:30 between nicotine and non-nicotine elements.

    Vapor companies said that considering South African consumers’ purchasing power, a ZAR0.70 duty per milliliter is more than appropriate.

    The industry also cautioned that excise duty on vaping products would affect the trade of legitimate tax-paying vendors, drive job losses in the sector and drive consumers to more harmful combustible cigarettes.

    The National Treasury countered that the tax is necessary and legitimate and would assist in closing regulatory loopholes that leave South Africans in vulnerable positions.

    It added that the long-term health effect of e-cigarettes are unknown, and therefore the government is taking cautionary steps, even if vaping is marketed as a less harmful alternative to smoking.

    The current proposed rate is an introductory rate that may be adjusted in the short term to medium term, the treasury said.