Category: Featured

  • Tobacco-Heating Market Slumps After Tax Hike

    Tobacco-Heating Market Slumps After Tax Hike

    Photo: Юрий Дьяконов

    The market for heated-tobacco products in Ukraine has stopped growing in the wake of a significant tax hike at the start of 2021, reports the Interfax-Ukraine News Agency. According to Philip Morris International’s local director, Kostas Salvaras, sales will likely decline in 2021.

    PMI estimates the market grew by 80 percent in 2020. On Jan. 1, 2021, Ukraine increased the excise tax on heated-tobacco products by 320 percent, causing retail prices to jump and sales to slacken. According to PMI data, retail prices on tobacco sticks have increased by an average of UAH13 ($0.49).

    According to PMI, the state budget receipts from the sale of heated-tobacco products in the fourth quarter of 2021 will decrease by 60 percent to 70 percent compared to the same period in 2020. The company intends to reduce the purchase of excise duty stamps for heated-tobacco products by nearly 67 percent in the quarter.

    Meanwhile, PMI has already observed an increase in heated-tobacco products smuggled from neighboring countries where prices are lower.

    Salvaras estimates that illicit sales now account for 15.9 percent of the Ukrainian tobacco market compared with 2.3 percent in 2017. Given the current level of illegal trade, the state will receive less than UAH13.2 billion in tax receipts in 2021, he said.

    PMI has urged the Ukrainian parliament to reconsider plans to further raise excise taxes and delay the next jump in prices for heated-tobacco products.

    “This is a necessary step that will allow consumers and businesses to ‘digest’ the 320 percent increase and adapt to new conditions,” said Salvaras. “It will also stimulate the attraction of additional investments in this area, which is important both for the country’s economy and for public health—after all, the authorities should be interested in motivating smokers to look for a less harmful alternative to cigarettes.”

  • Poda Completes Name Change

    Poda Completes Name Change

    Photo: Poda Holdings

    Poda Holdings has completed the name change from Poda Lifestyle and Wellness to Poda Holdings, pursuant to a directors’ resolution announced earlier this month. The company’s shares will remain trading on the Canadian Securities Exchange under the ticker symbol PODA upon the opening of the markets on Sept. 27, 2021.

    The CUSIP number assigned to the company’s shares following the name change is 73044N10 4 (ISIN: CA73044N1042). No action is required by stockholders, and outstanding stock certificates are not affected by the name change and will not need to be exchanged.

    In related news, the company has engaged CFN Enterprises, owner and operator of CFN Media, to provide social media and client outreach strategy services for the company.

  • UKVIA Partners With Stop-Smoking App

    UKVIA Partners With Stop-Smoking App

    Photo: krsmanovic

    The U.K. Vaping Industry Association (UKVIA) has joined forces with the stop-smoking app Smoke Free to encourage more smokers to give up their habit by using a range of evidence-based alternatives to conventional cigarettes.

    As part of the collaboration, the UKVIA and Smoke Free have agreed to work on a number of joint campaigns and initiatives that both promote vaping as a successful method to quit smoking and increase access to the app among those smokers looking to kick their habit.

    The joint initiatives include a campaign in January, when smokers will be making New Year’s resolutions to quit. Collaborations are also planned during VApril, the UKVIA’s annual vaping awareness month, and on a specific initiative supporting hospital patients with smoking-related conditions and the healthcare professionals that care for them.

    This is an exciting collaboration, which is focused on getting smokers to quit completely.

    “This is an exciting collaboration, which is focused on getting smokers to quit completely,” said John Dunne, director-general of the UKVIA, in a statement. “Some 2.4 million former smokers have successfully done this in the U.K. to date, but there are still 1.2 million dual vape/cigarette users and another 6.9 million smokers who have not quit to date.

    “By coming together, we want to significantly ramp up support for smokers who are looking to quit.”

    “Vapes make quitting easy because they’re a great replacement for cigarettes,” said David Crane, founder of the app. “But habits still need to be changed, which is where the support we provide comes in. We are proud to work with the UKVIA because they share our mission to create a smoke-free world. Together, we stand a great chance of helping people stop smoking for good.”

  • Jakarta Starts Removing Tobacco Ads

    Jakarta Starts Removing Tobacco Ads

    Photo: Adnan

    The Jakarta Public Order Agency (Satpol PP) has begun removing cigarette advertisements across the city following a new regulation signed by Jakarta Governor Anies Baswedan, reports The Jakarta Post.

    Since Sept. 13, Satpol PP officers across the capital have gone on unannounced inspections to minimarkets and shopping centers around the city to enforce the new regulation.

    Head of East Jakarta Satpol PP Budhy Novian said his team had so far removed 22 cigarette billboards from public displays in East Jakarta since it started its series of inspections, which is set to end next week.

    “[The inspections] will be carried out for two weeks starting Sept. 13. We plan to comb all subdistricts in East Jakarta,” Budhy told The Jakarta Post.

  • Philippines Urged to Raise Cigarette Excise

    Philippines Urged to Raise Cigarette Excise

    Image: Tobacco Reporter archive

    The Philippines should increase excise taxes on tobacco products to at least 75 percent of the average retail price, according to Jeremias Paul Jr., a former undersecretary at the department of finance who now leads the World Health Organization’s fiscal policy unit.

    The measure would generate additional revenue for Covid-19 measures and minimize coronavirus infections with severe symptoms.

    “With this limited fiscal space, one potential option I really urge countries to do is raise tobacco and other health taxes. Raising excise taxes on tobacco products is a proven effective and cost-effective measure to prevent NCDs [noncommunicable diseases],” he told The Philippine Star.

    According to Paul, the government should also consider factors such as affordability trend and tax structure in determining how much tobacco tax should be imposed.

    At the end of the day, he said the excise tax should result in price hikes that will force buyers to rethink consumption.

    In 2019, President Rodrigo Duterte signed into law an excise tax of PHP45 ($0.88) per pack on cigarettes. The amount is set to increase to PHP50 this year, PHP55 in 2022 and PHP60 in 2023.

    Last year, revenue agencies collected PHP148.45 billion in tobacco taxes, exceeding their target of PHP139.12 billion by nearly seven percent. In 2021, collection has grown by more than 31 percent to PHP82.97 billion as of the end of July from PHP63.3 billion a year ago.

  • Geekvape Technology Passes TÜV Test

    Geekvape Technology Passes TÜV Test

    Photo: blende11.photo

    Shenzhen Geekvape Technology Co.’s Safe Fast Charge technology has passed the rigorous Technischer Überwachungsverein (TÜV) test, the company announced in press note.

    Products equipped with the technology guarantee safe rapid charging via USB-C in 15 minutes and an ultra-long battery life, according to Geekvape. Equipped with two connected batteries in series, Geekvape’s Safe Fast Charge technology achieved 96.43 percent charging current and battery capacity after more than 300 rounds of TÜV charging and discharging tests—outperforming the international standard of 80 percent. The battery component adopts multi-electrode charging and discharging technology, which well balances the temperature and charging efficiency of the batteries and achieves safe fast charge.

    “At Geekvape, we adhere only to the most stringent global safety standards. Our Safe Fast Charge technology has been strictly tested by leading independent parties, including the TÜV and FCC. As a result, we can confidently say we have achieved the world’s first fast-charging e-cigarette technology that is truly safe and durable,” said Siner Kong, the product manager of Geekvape.

    With a number of different battery brands on the market, the safety, quality and price of each e-cigarette product can vary dramatically. When manufacturers purchase low-cost batteries that have not been vigorously checked and certified, this may lead to safety hazards, particularly when using high-current fast charging technologies.

    To ensure the highest level of protection for its consumers, Geekvape only uses its own built-in batteries in its e-cigarette products. Each Geekvape battery cell undergoes tens of thousands of rounds of rigorous tests, including squeezing, short-circuiting, dropping, overshooting, exposure to high temperature and vibration. The cell is then strictly checked from the manufacturer’s side, resulting in a truly safe and revolutionary fast charging experience.

    In addition to TÜV tests, Geekvape’s Safe Fast Charge technology has passed IEC61960 and ICE62133 global battery safety regulation standards.

  • Smokers Unaware of Better Alternatives

    Smokers Unaware of Better Alternatives

    Photo: kues1

    Misinformation threatens progress toward a smoke-free future, reveals a new international survey released by Philip Morris International.

    The survey—fielded among nearly 30,000 adults in 26 countries by independent research firm Povaddo and commissioned by PMI—reveals that many adult smokers remain unaware that better alternatives to cigarettes exist, are unable to access them or are confused by false or misleading information that prevents them from making an informed choice.

    Nearly eight in 10 respondents (79 percent) agree that adult smokers who would otherwise continue using cigarettes should have access to and accurate information about smoke-free alternatives. This view is shared by 87 percent of current adult smokers.

    “People expect public health bodies and regulators to reach a scientific consensus around innovative smoke-free alternatives and provide adults who smoke with evidence-based information about these products,” said Gregoire Verdeaux, senior vice president of external affairs at PMI, in a statement. “Misinformation about smoke-free alternatives—often based on opinion—is a persistent issue that is having real-world consequences.”

    Misinformation about smoke-free alternatives—often based on opinion—is a persistent issue that is having real-world consequences.

    The survey also shows the extent of public confusion surrounding smoke-free products. Nearly half the adults surveyed wrongly believe that e-cigarettes and heated-tobacco products are more harmful than or equally harmful as cigarettes (45 percent and 46 percent, respectively, for each product category). Asked why they have not considered switching to a better alternative, around a third of smokers surveyed cited lack of information about how these products differ from cigarettes (33 percent), uncertainty about the science (35 percent) or having easier access to cigarettes (32 percent).

    According to PMI, the survey findings also demonstrate how accurate information about better alternatives can help smokers to move away from cigarettes. The vast majority (91 percent) of adult smokers who have switched to a better alternative and stopped smoking confirmed that having accurate information about how these products differ from cigarettes was an important factor in their decision. Of adults who smoke, 63 percent would be more likely to switch to a better alternative (such as e-cigarettes or heated-tobacco products) if they had clarity on how these products differ from cigarettes and the science behind them.

    The survey also explores public attitudes toward scientific studies conducted by manufacturers of smoke-free products. A majority of adults surveyed (82 percent) believe their governments have a responsibility to objectively review and consider scientific evidence about smoke-free alternative products coming from manufacturers such as PMI. Additionally, nearly three quarters (72 percent) support tobacco companies working with governments, regulators and public health experts to ensure that smokers have access to and accurate information about smoke-free alternatives.

  • Study: Graphic Warnings Could Have Prevented Many U.S. Deaths

    Study: Graphic Warnings Could Have Prevented Many U.S. Deaths

    Image: FDA

    Warning labels with graphic depictions of the negative health consequences of smoking could have averted thousands of smoking-related deaths if approved as originally planned in 2012, according to a new analysis by University of Michigan (U-M) researchers and colleagues from the Cancer Intervention and Surveillance Modeling network (CISNET) Lung Group.

    If the U.S. Food and Drug Administration requires tobacco companies to include the graphic warning labels on cigarette packages in October 2022, as it’s expected to do, between 275,000 and 794,000 smoking-attributable deaths could be averted by 2100, and between 4 million to 11.6 million life-years could be gained during that period.

    While the FDA had planned to implement the graphic warning labels nine years ago, it has been entangled in litigation with the tobacco industry over the issue. The rules to add the labels include textual warnings and color graphics with photorealistic images depicting the negative health consequences of cigarette smoking, such as warnings that smoking can cause erectile dysfunction or head and neck cancer and can lead to COPD.

    “Industry litigation and delays to implementing tobacco regulations have high costs to public health,” said Rafael Meza, professor of epidemiology and global public health at U-M’s School of Public Health and senior author of the study published in JAMA Health Forum. “This research shows that we must move forward with implementation to maximize the benefits of adding graphic health warnings to cigarette’s packaging.”

    For their study, researchers simulated smoking and mortality outcomes associated with the health warnings using the CISNET Smoking History Generator Population Model and previously published research of the expected impacts of graphic health warnings on smoking prevalence and cessation. The assumptions in the model are based in part on what has been seen in other countries like Canada and Australia that have already rolled out these graphic warnings.

    All CISNET lung cancer models are based on inputs from the Smoking History Generator, which simulates detailed individual-level life and smoking histories: birth, probabilities of smoking initiation, smoking cessation and death. Because graphic health warnings have never been implemented in the United States, researchers could not perform external validation of the policy scenarios.

    The researchers acknowledge that while literature on graphic health warnings demonstrates their public health benefit, uncertainty remains about the true magnitude of their effect on smoking behavior, especially with regard to smoking initiation.

    Researchers first modeled a baseline scenario with the current status quo and then calculated smoking attributable deaths under different graphic health warnings scenarios. The team varied the time of implementation of the warnings and their impact on smoking initiation and cessation to more accurately capture the uncertainty in the actual effects that health warnings could have on smoking behaviors and outcomes.

    In the baseline scenario, smoking prevalence is projected to decline from 20 percent in 2012 to 13.6 percent in 2022 and 4.6 percent in 2100. In the scenarios with graphic health warnings implemented in 2022, the model estimated that smoking prevalence would decrease from 13.6 percent in 2022 to between 4 percent and 4.4 percent in 2100.

    If the warnings had been implemented in 2012, researchers estimate about 365,000 to 1,060,000 deaths might have been prevented, and 5.7 million to 16.6 million life-years could have been gained, roughly 40 percent higher. The upcoming policy and its simulated impacts on population health can be explored in more detail online through the Tobacco Control Policy Tool.

    “This shows the health costs of delaying implementation of this regulation by 10 years due to industry litigation and procedural delays,” said Meza, who is also the principal investigator of the CISNET Lung Cancer Working Group and the Center for the Assessment of Tobacco Regulations.

    More than 120 countries have required graphic health warnings on cigarette packs and saved lives by doing so, said the study’s first author, Jamie Tam, an assistant professor at the Yale School of Public Health.

    “The U.S. has been lagging behind the rest of the world when it comes to this issue, so we are long overdue,” she said.

    In addition to Meza and Tam, authors include Jihyoun Jeon of the Department of Epidemiology at U-M’s School of Public Health; Theodore Holford of Yale University School of Public Health; James Thrasher of the University of South Carolina’s Arnold School of Public Health; David Hammond of the University of Waterloo, Canada; and David Levy of the Lombardi Comprehensive Cancer Center at Georgetown University Medical Center.

  • More Marketing Denial Orders From FDA

    More Marketing Denial Orders From FDA

    Photo: Jhvephotos | Dreamstime.com

    The U.S. Food and Drug Administration has issued additional marketing denial orders (MDOs) for electronic nicotine-delivery system (ENDS) products.

    As of Sept. 23, the agency has issued 323 MDOs accounting for more than 1,167,000 flavored ENDS.

    The list of MDOs is available here.

    The FDA issued the first MDOs in August.

    Products subject to an MDO for a premarket application may not be introduced or delivered for introduction into interstate commerce. If the product is already on the market, the product must be removed from the market or risk enforcement.

    Companies receiving these MDOs may have submitted premarket applications for other products (such as ENDS devices, tobacco-flavored ENDS or menthol-flavored ENDS), and those products, if still pending, remain under review at FDA.

  • Iro Schunke Reelected President SindiTabaco

    Iro Schunke Reelected President SindiTabaco

    Iro Schunke (Photo: Taco Tuinstra)

    Iro Schunke has been reelected as the president of Brazil’s Interstate Tobacco Industry Union, SindiTabaco. The election took place in early September at the organization’s head office in Santa Cruz do Sul.

    Schunke, who has presided over SindiTabaco since 2006, intends to continue the organization’s work in defense of the tobacco supply chain during his upcoming tenure. “We consider all matters of common interest to our associate members, with an eye on strengthening the supply chain as a whole,” said Schunke in a statement. “Our major goals are the regulatory matters, social and environmental responsibility and visibility of the sector.”

    Within this context, SindiTabaco has been keeping a close watch on all matters relating to the World Health Organization’s Framework Convention for Tobacco Control and pioneered programs in the social and environmental areas. Among other initiatives, the organization has initiated programs to combat deforestation and collect empty pesticide containers. Meanwhile, the Growing Up Right Institute has worked diligently to eradicate child labor.

    Furthermore, SindiTabaco encourages rural diversification through such initiatives as the corn, bean and pastureland after tobacco harvest program. “Our work is totally transparent, as this is the model that we are trying to strengthen,” said Schunke. We will continue guiding our activities in areas that impact upon the life of those who earn a livelihood from this agribusiness segment.”

    Besides Schunke, the board of directors is composed of the following members: Edenir Gassen, secretariat vice president; Flavio Marques Goulart, finance vice president; Valmor Thesing, industrial affairs vice president; Roberto Naue, fiscal affairs vice president; Paulo Cezar Favero, tobacco production and quality vice president; and Guatimozin de Oliveira Santos Filho, vice president of environmental management and social responsibility.

    The new board of directors will take office on Oct. 22.