Category: Featured

  • Senators Urge End to Flavored Vape Sales

    Senators Urge End to Flavored Vape Sales

    Image: Mdv Edwards

    The chairmen of five key Senate committees warned the chief executives of major convenience stores and wholesalers to stop selling illicit flavored vaping products, which they called “widespread violations of federal law,” according to The New York Times.

    The senators voiced their concerns in letters to the companies, amplifying the frustration among some lawmakers in Congress over the continued availability of disposable e-cigarettes. They say the vivid colors and candy flavors only attract kids. The unchecked sales, they wrote, “pose a tremendous public health threat.”

    “FDA [U.S. Food and Drug Administration] and the industry must do more to address the youth vaping epidemic and remove unauthorized vaping products from their shelves immediately,” Senator Dick Durbin said.

    The letters were addressed to retailers including 7-Eleven, Circle K, BP America, Pilot, Kwik Trip and others. The FDA had earlier issued warnings about sales of unauthorized brands like Elf Bar, E.B. Design and Funky Republic.

    “Today, millions of children use unauthorized e-cigarettes, risking nicotine addiction, respiratory illness, exacerbation of depression and anxiety, and many other harms,” read the letter to Joseph DePinto, the chief executive of 7-Eleven.

    The other senators who signed the letter were Ron Wyden, Bernie Sanders, Sherrod Brown and Richard Blumenthal.

  • French Continuing to Finance Tobacco: Report

    French Continuing to Finance Tobacco: Report

    Image: sergnester

    Several French banks continue to finance the tobacco industry despite promises to stop doing so, according to a report commissioned by anti-smoking group Alliance Contre le Tabac (ACT), reports RFI. In November 2023 alone, the country’s banks invested $733 million in the tobacco business. Of these investment funds, 40 percent came from the BPCE Group and more than 20 percent came from Credit Agricole.

    “If the tobacco industry has succeeded in maintaining its deadly trade, it is, in part, thanks to the resources provided by banking institutions and investment funds,” said Marion Catellin, director of the ACT.

    The banks pledged to stop funding tobacco companies six years ago, according to Catellin.

    Australian nongovernmental organization Tobacco-Free Portfolio introduced the Tobacco-Free Finance Pledge in 2017, which called on international financial players to stop financing tobacco companies. Societe Generale, Credit Agricole and the BPCE group signed this pledge.

    The ACT-commissioned report showed that these banks, between 2018 and 2023, approved loans amounting to $5.3 billion to BAT, Philip Morris International and Imperial Brands.

    “These bank credits are unacceptable,” said Catellin. “As World Health Organization Director-General Tedros Adhanom Ghebreyesus recently stated, every investment in the tobacco industry is an investment in death and disease. By financing the tobacco industry, French banks are complicit in an industry that kills one out of every two consumers.”

    “Aware of the environmental and social impacts associated with the tobacco sector, Societe Generale has committed to a strategy to exit the sector,” said the bank, which accounts for 83 percent of French financial support for the tobacco industry. Societe Generale signed a charter in September 2023 expressing plans to exit the sector.

  • Boost in Noncigarette Tobacco Use: U.K.

    Boost in Noncigarette Tobacco Use: U.K.

    Image: dusanpetkovic1

    The number of people in the U.K. who smoke pipes, shisha and cigars has increased fivefold over the past 10 years, according to The Guardian.

    Based on a study published in Nicotine and Tobacco Research, in 2023, there were 772,800 exclusive noncigarette tobacco users compared to 151,200 in 2013. The study is based on research by University College London academics who surveyed 1,700 adults a month between 2013 and 2023 on their smoking habits.

    Young adults showed the largest increase in use of noncigarette tobacco. Of the surveyed 18-year-olds, 3 percent used noncigarette tobacco while 1.1 percent of 65-year-olds used these products. Men and current vapers showed a higher prevalence of noncigarette tobacco use as well.

    Experts argue that use of noncigarette tobacco can be more harmful than smoking traditional cigarettes. The British Heart Foundation has stated that smoking a shisha pipe for 20 minutes to 80 minutes amounts to the same amount of smoke inhaled from more than 100 cigarettes. The organization also stated that tobacco-free shisha still produces dangerous toxins in the smoke.

    The increase in noncigarette tobacco use could be attributed to a belief that these forms of smoking are less harmful than traditional cigarettes or to financial reasons, according to the study.

    “Tobacco kills one person every five minutes in the U.K.,” said Ian Walker, executive director of policy at Cancer Research U.K. “Research like this shows that the issue of smoking isn’t just about cigarettes—all tobacco products are harmful and cause cancer, no matter what form they come in.

    “That’s why it’s crucial that the government’s age-of-sale legislation applies to all tobacco products. If implemented, this policy will be a vital step toward creating a smoke-free U.K., preventing future generations from ever becoming addicted to tobacco.”

    “This 10-year-long study captures the shift in trends of noncigarette tobacco use and paints a concerning picture,” said Sarah Jackson, lead author of the study. “Although rates of cigarette smoking have fallen, our data show there has been a sharp rise in use of other smoked tobacco products, particularly among young people.

    “It’s vital that smoking cessation services are adequately funded and available across the U.K. so that the around 772,800 people who use noncigarette tobacco products, and the millions who use cigarettes, are given the support they need to quit.”

  • Exhibitors Reveal Trends and Technologies at TPE

    Exhibitors Reveal Trends and Technologies at TPE

    The recent Total Products Expo (TPE) revealed several new trends and technologies in the vaping business, reports Vapor Voice.

    “Technologically, electronic devices are becoming more interactive with diverse features, and they are accommodating larger tank capacities based on consumer demands,” said Maryna Gudym, business development manager with Wingle Electronics Group, a consulting company focused on innovative products. “Disposable devices amalgamate the best features from previous pod mod and box mod devices, showcasing a revival of old technology trends in a new form factor.”

    Many products presented at the TPE merged e-cigarette and oil vaporizer platforms. According to Gudym, the vaping industry is witnessing innovations in device construction and extended features that enhance user convenience and experience. Examples include devices with touch screens, large color displays, dual mesh coils and unique features like vibration feedback and magnetic connections, allowing users to customize flavor combinations.

    Disposable pods are becoming increasingly sophisticated, integrating innovations such as rapid charging and new smarter technologies such as dual mesh coils. The innovations make it possible to design devices with a larger capacity and improve the taste. “This trend indicates a movement toward better quality and functionality in market offerings,” Gudym said.

    There is also notable interest in alternative substances, such as ephedra-powered energy shots, kratom shots and kratom pouches, signaling the market’s exploration of new, modern ways to meet consumer needs with low or absent psychoactive impact. Additionally, the market is expanding beyond traditional vapes to include branching out into other tobacco segments with products like electronic hookahs. Several China-based companies are studying the demand for hookah and shisha tobacco and are offering new developments within the product segment.

    Held from Jan. 30 through Feb. 2 at the Las Vegas Convention Center, the 2024 TPE was the largest iteration of the event yet. Nearly 570 exhibitors were visited by an estimated 14,000 visitors.

    Total Product Expo 2025 will take place Jan. 29–31, 2025, again at the Las Vegas Convention Center.

  • Show Them the Numbers

    Show Them the Numbers

    By Neil McKeganey and Andrea Patton

    To prevent nicotine pouches from being legislated out of the market, manufacturers must demonstrate the extent to which they are benefiting adult smokers, and quantify underage usage.

    By Neil McKeganey and Andrea Patton

    As tobacco companies seek to market lower harm alternatives to combustible cigarettes, there is one issue that is seriously undermining those efforts—youth use of their products. If you were in any doubt as to the scale of the threat that youth use of tobacco products represents for manufacturers, think Juul, Puff Bar, Elf Bar and disposable e-cigarettes in general. And now, critics of the tobacco industry have a new product in their sight. Fresh from their success in calling for the banning of disposable e-cigarettes, they are shifting attention to nicotine pouches with an increasingly familiar playbook of media alarm, political pronouncements and regulatory action.

    The widest-selling nicotine pouch product in the U.S. is Philip Morris International’s Zyn, which grew in sales from 126 million units in 2019 to 808 million units by March 2022 (Majmundar et al. 2022). Accounting for 58 percent of the U.S. nicotine pouch market, Zyn has become a key part of PMI’s next-generation nicotine product range. It is also a product that has not had to work hard to find its critics.

    Zyn is “a pouch packed with problems,” according to Senator Chuck Schumer. “These nicotine pouches seem to lock their sights on young kids—teenagers, and even lower—and then use the social media to hook them,” the senator said. Alongside Schumer’s dire warnings of a future in which young Americans are increasingly dependent on oral nicotine products, there has been a torrent of media articles casting Zyn as a major new threat to U.S. youth. In a New York Times article published at the start of the year, Emily Dreyfuss opened parents’ eyes to a world of “Zynfluencers”—social media personalities assiduously promoting oral nicotine products such as Zyn to their followers. Dreyfuss has called for age-gated advertising restrictions to limit young peoples’ exposure to “Zynfluencer” activities.

    In contrast to the often hysterical tone of the media reporting on underage use of nicotine pouches, the National Youth Tobacco Survey (NYTS) estimated that in 2023, 1.5 percent of U.S. middle school and high school students had used oral nicotine pouches in the past 30 days. Likewise, the 2023 Tobacco Product Prevalence Study (TPPS) undertaken by the Centre for Substance Use Research (CSUR) in Scotland estimated that 1.7 percent of 13-year-olds to 20-year-olds in the U.S. had used a nicotine pouch in the past 30 days.

    While the NYTS data relates to the category of oral nicotine pouch use, rather than Zyn in particular, the TPPS also quantifies the prevalence of underage use of Zyn and other tobacco products and devices, with 0.5 percent of 13-year-olds to 20-year-olds in the U.S. reporting past-30-day use of Zyn. Neither the NYTS nor the TPPS are detecting epidemic levels of oral nicotine pouch use among young people in the U.S. TPPS estimates show further that Zyn use is infrequent, with 70.8 percent of underage past-30-day pouch users reporting use on between one day and five days of the past 30 days.

    If most U.S. Zyn sales, and subsequent use, are among those aged over 21, the possibility exists that these products may be helping adult smokers to switch from combustible to noncombustible tobacco products. Despite this, the U.S. Truth Initiative has called for a nationwide ban of Zyn.  

    In the face of such calls, it will be inadequate for the industry to stress that these products are intended solely for adult smokers as an alternative to combustibles. The problem facing PMI and other oral nicotine product manufacturers is how to respond to claims of widespread use of their products by young people.

    There are two things that companies must do if they are to stand any chance of keeping their products on the market. The first is to show the extent to which these products are benefiting adults who smoke. The data required here involves showing the impact of an oral nicotine product such as Zyn on an adult smoker’s ability to completely switch away from smoking or to substantially reduce their use of combustible cigarettes over a six-month to 12-month period.

    Secondly, companies must quantify the extent to which their oral nicotine products are indeed being used by those below age 21. The CSUR’s Tobacco Product Prevalence Study is the only national probability-based study that collects data on a range of individual tobacco products among both adults and youth within the U.S. and provides timely estimates of use. As such, it can help manufacturers present important data to regulators on the actual extent of youth use of their products.

    Unless the industry assembles the evidence with which to respond to political and media commentators’ calls to ban oral nicotine products, these companies are going to face an increasingly difficult future. The calls to ban oral nicotine products, in the absence of data showing how widely specific products and devices are being used by youth, provides an indication of just how influential a coordinated campaign against a specific product or category of products can be. It is ironic that many of those calling for such bans, no doubt motivated by a commitment to public health, find themselves advocating for legislation that will narrow rather than expand the routes out of smoking.

  • New U.K. Vaping Levy is ‘Stupid’: Critics

    New U.K. Vaping Levy is ‘Stupid’: Critics

    Image: vadymstock

    The imposition of a vape levy in the U.K. is “stupid, short-sighted and potentially counterproductive,” according to smokers’ rights group Forest.

    During his budget speech in Parliament on March 6, Finance Minister Jeremy Hunt said he is planning to introduce an extra tax on e-cigarettes from October 2026, aiming to make vaping more expensive and deter nonsmokers from taking it up.

    Currently, most vapes in Britain are subject to value-added tax at the standard 20 percent rate, but there is no extra levy applied. Hunt said the government would also introduce a one-off increase in tobacco duty to maintain the financial incentive to choose vaping over smoking.

    Nonetheless, critics warned that the new vape tax would discourage smokers from transitioning to less harmful nicotine products.

    “If the government is serious about advocating vaping as a substantially less harmful alternative to smoking, a levy on vaping products sends completely the wrong message to consumers,” said Simon Clark, director of Forest.

    “Vaping products are already subject to VAT. Imposing excise duty as well is a stupid, short-sighted and potentially counterproductive measure that could deter many existing smokers from switching to a reduced-risk product that has helped millions of smokers to quit.”

    Maggie Rae, president of the Epidemiology and Public Health Section of the Royal Society of Medicine, said any tax must be carefully considered to ensure it benefits public health.

    “It’s imperative we ensure medicinal use of vapes continues to be encouraged, as smoking cessation remains the matter of greater importance,” she said.

    Clark noted that above-inflation increases in the cost of tobacco disproportionately punish those on lower incomes.

    “Further tax hikes will drive even more smokers to the black market, taking money from legitimate retailers and putting it into the hands of criminal gangs,” he said.

    Jefferies analyst Owen Bennett said the tax could benefit larger players like BAT by making it harder for smaller players to compete.

    “BAT, especially given its highly profitable broader cigarette business, can afford to swallow the tax and not adjust prices,” he told Reuters, whereas it could make smaller firms’ products unviable.

  • On-Screen Tobacco Imagery Surges: Report  

    On-Screen Tobacco Imagery Surges: Report  

    Photo: Drobot Dean

    Tobacco imagery is surging in shows, social media, music videos and movies—including nearly every Best Picture nominee at the 2024 Academy Awards—according to the Truth Initiative.

    The Truth Initiative says this development is concerning because exposure to such images makes young people up to three times more likely to start vaping, according to research. In 2021, the U.S. Surgeon General concluded that youth and young adults were twice as likely to smoke compared to those with less exposure.

    Titled Lights, Camera, Tobacco?, the Truth Initiative report reveals that the number of tobacco depictions in streaming shows popular among 15-year-olds to 24-year-olds more than doubled in 2022, exposing nearly 25 million young people. The rise was largely driven by Netflix’s Dahmer—Monster: The Jeffrey Dahmer Story, which contained a third of all tobacco depictions. The number of tobacco depictions in binge-watched shows nearly quadrupled, highlighting a significant source of exposure.

    “Tobacco imagery plays a bigger role in youth and young adult tobacco initiation than many people realize, so this report intends to educate the Hollywood community about the impact these shows are having,” said Truth Initiative CEO and President Kathy Crosby. “As youth e-cigarette use continues to remain a public health threat, the entertainment industry has an opportunity to play a significant role in protecting young people’s physical and mental health by clearing the smoke-filled screens.”

  • Smoker Friendly Acquires Low Bob’s Locations

    Smoker Friendly Acquires Low Bob’s Locations

    Credit: Smoker Friendly

    The Smoker Friendly chain of retail stores announced it is acquiring 54 Low Bob’s Discount Tobacco locations in Indiana.

    The Cigarette Store, LLC, parent company of Smoker Friendly, announced its acquisition of Richmond Master Distributors, Inc., the owner of Low Bob’s Discount Tobacco. The stores will be rebranded as Smoker Friendly locations.

    There are 344 Smoker Friendly locations across 13 states, as well as independently owned stores within the Smoker Friendly network. The company has its own private-label brands and operates the Rocky Mountain Cigar Festival, according to Charlie Minato of Halfwheel.

    “We are very pleased to welcome the Low Bob’s team to the Smoker Friendly family,” said Terry Gallagher Jr., CEO of Smoker Friendly, in a press release. Pat and Scott Carrico and the Richmond Master team have been longtime friends and leaders in the tobacco outlet channel. We are fortunate to make this acquisition and strengthen our Smoker Friendly footprint in Indiana, bringing our store count to 80 in the state.”

  • STG Results ‘in Line with Expectations’

    STG Results ‘in Line with Expectations’

    Photo: STG

    Scandinavian Tobacco Group (STG) delivered net sales of DKK8.7 billion ($1.27 billion) in 2023, down slightly from the previous year.

    For the fourth quarter of 2023, net sales were DKK2.3 billion. Organic growth of 5 percent for net sales was driven by the group’s “growth enablers,” which in the fourth quarter accounted for close to 10 percent of group net sales, as well as an improved performance in the machine-rolled cigar business in Europe.

    The growth enablers comprise three opportunities that currently represent a small proportion of the group’s overall business but that have significant potential to contribute to greater net sales and earnings, according to STG. They are continued retail expansion in the U.S., international growth in handmade cigars and development of next-generation products, such as nicotine pouches and hemp products in key markets.  

    For the full year 2024, net sales are expected to be in the range of DKK8.8 billion to DKK9.1 billion.

    “Despite a challenging consumer environment STG delivered solid results for 2023 due to the commitment and performance of our employees across the globe,” said STG CEO Niels Frederiksen in a statement.

    “We continued to execute well on our strategy with two acquisitions, and I am particularly happy to see the progress in our growth enablers, where we saw healthy growth in international handmade cigars, retail expansion and next generation products. As we move into 2024, we are increasing our investments in the growth enablers and we expect 2024 to be a year of growth for STG.” 

    At the annual general meeting on April 4, 2024, the board of directors will propose an increase in the ordinary dividend of 2 percent to DKK8.40 per share, complementing the up to DKK850 million share buy-back program, which was started in Nov. 2023.

    The group’s annual report is here.

  • Belarus Bans 47 Vapes

    Belarus Bans 47 Vapes

    Image: natatravel

    Belarus’ State Committee for Standardization has banned 47 types of electronic cigarettes from sale, reports Novosti.

    In January and February, authorities in the Gomel region identified traders that were selling electronic smoking systems that failed to comply with legislative requirements. Some vapes exceeded the permissible nicotine level of 20 mg per ml, while others lacked health warnings, declaration on usage limitations and expiration dates,

    Many of the vapes were sold without documents proving compliance and safety of the product.

    The dangerous products were withdrawn from sale, and authorities have taken administrative measures against their sellers.