Category: Technology

  • Digital Tobacco Platform Launched

    Digital Tobacco Platform Launched

    Photo: Taco Tuinstra

    ModernLeaf AI has launched a digital platform offering artificial intelligence solutions to increase productivity for Zimbabwe’s tobacco growers and exporters across the value chain, reports the Zimbabwe Independent.

    “Looking beyond Zimbabwe envisions opportunities to expand the platform’s usage across Africa, signaling the need for investment in this ambitious endeavor,” said Takudzwa Sambo, founder of ModernLeaf AI. “ModernLeaf AI is poised to play a pivotal role in advancing the tobacco industry on the continent.”

    “With cutting-edge AI technology, ModernLeaf AI empowers you with precision crop monitoring, advanced predictive analysis, early disease detection, premium quality control updates, strategic market insights, cost-efficient solutions, export strategy and compliance in international markets, [and] tobacco business intelligence in over 120 countries,” said Sambo.

    Sambo emphasized that leveraging AI to propel Zimbabwe’s tobacco sector onward is a necessity. “I am grateful to the government for its vision outlined in Vision 2030, emphasizing the importance of youth involvement in realizing the strategic goals set forth in the National Development Strategy 1.”

  • Reclaiming the Initiative

    Reclaiming the Initiative

    Photo: CME Automation Systems

    Boosting efficiencies may help tobacco companies cope with tough times, according to CME Automation.

    Contributed

    Paul Knight

    Cigarette manufacturers should scrutinize their manufacturing processes and “go the extra mile” to maximize efficiencies in response to difficult market conditions, says Paul Knight, CEO of CME Automation.

    Severe supply chain disruptions, climate factors such as El Nino and climate change in general, in addition to ever more stringent regulation, are posing significant challenges for cigarette manufacturers—particularly over the past year.

    In its position as an automated systems supplier for the sector, CME Automation is highlighting how cigarette manufacturers are responding to these pressures by maximizing efficiencies in raw material usage—seeking to “soften the blow” of these global factors.

    “Whilst most sectors are struggling in some capacity, the tobacco and cigarette markets are particularly vulnerable when you consider the global nature of the market in combination with ever increasing taxes and duties,” said Knight.

    “It might seem counterproductive for companies to invest in equipment when times are tough. However, when supply chains are unstable and raw material costs are high—maximizing efficiencies is often the answer and automation is key to achieving this.”

    Knight draws attention to the processing and packaging stages of production where cigarette manufacturers are driving further efficiencies.

    “The labor-saving benefits of automated packaging such as cartoning, palletizing and tax stamping systems are widely understood and this is being demonstrated by the enquiries we are receiving.

    “Another area we are seeing particular interest in is cigarette waste management through the increasing popularity of our tobacco reclaimer system.”

    The tobacco reclaimer is an automated solution that recovers usable tobacco from rejected cigarettes and is capable of processing up to 100 kg of tobacco per hour, with recovery rates of up to 95 percent.

    “Manufacturers are always going to want to minimize waste but recent turbulence may have sharpened minds somewhat,” continued Paul Knight.

    “Fundamentally, tackling the current market difficulties comes down to making the most of what you have in terms of raw materials – and that means cutting wastage down to an absolute minimum.”

    This article was contributed by Nielsen McAllister Public Relations on behalf of CME Automation Systems.

  • Altria to Use Bluetooth to Prevent Youth Use

    Altria to Use Bluetooth to Prevent Youth Use

    Image: sdx15

    Altria is finalizing submissions to the U.S. Food and Drug Administration for Njoy products in blueberry and watermelon flavors, according to Billy Gifford, Altria CEO, reports BNN Bloomberg. The company is currently waiting for a decision from the FDA on a menthol version.

    The fruit-flavored products would use Bluetooth technology to prevent underage use, though the company has not detailed how it will do so.

    “We’ve demonstrated the age-gating restrictions are effective at preventing underage access in virtually all cases,” said Gifford at the Consumer Analyst Group of New York conference yesterday.

  • Nicotine a Top ‘Intangible’ Sector

    Nicotine a Top ‘Intangible’ Sector

    Photo: Smoore

    The tobacco and vaping business is the world’s most “intangible” sector in relative terms, according to the brand valuation consultancy Brand Finance.

    Intangible assets are identifiable, non-monetary assets without physical substance. They can be grouped into three broad categories—rights (including leases, agreements, contracts), relationships (including a trained workforce) and intellectual property (including brands, patents and copyrights).

    According to Brand Finance, intangible assets account for 91 percent of the tobacco and vaping sector’s total enterprise value—a condition that the consultancy attributes to tobacco and e-cigarette companies’ heavy investments in proprietary vaping-related technology and patented intellectual property. The China National Tobacco Corp., BAT and Philip Morris, for example, have each accumulated significant disclosed intangibles and goodwill due to large acquisitions.

    “While tobacco products are increasingly regulated in developed markets, e-cigarettes are at nascent stage and currently proving to generate high intangible value thanks in part due to lack of regulation of marketing these products in some jurisdictions,” Brand Finance writes in its report.

    Remarkably, the tobacco and vaping business was the second-largest contributor (after semiconductors) to the performance in the rankings of Japan, which saw the value of its intangible assets jump by $587 billion this year.

    “Our research aims to demonstrate the continued growing importance of intangible assets like strong brands and innovative technology in driving productivity and growth potential,” said Annie Brown, general manager at Brand Finance UK, in a statement. “Companies that strategically deploy their intangible assets have the ability to significantly outperform their competitors.”

  • CME to Invest in Packaging Automation

    CME to Invest in Packaging Automation

    Image: CME Automation Systems

    CME Automation Systems, a specialist in automated packing line solutions, has announced ambitious growth plans following significant backing from private equity. The investment enables CME to strengthen its offering to customers internationally in the pharmaceuticals, fast-moving consumer goods, cannabis and tobacco sectors.

    For 40 years, the CME brand has helped companies to improve efficiency and throughput through the use of automation in product handling for primary and secondary packaging systems. The new investor has identified the potential to build on CME’s expertise and reputation for innovation, especially given the company’s recent success in developing new solutions for growth markets such as cannabis and clinical trials.

    The investment comes from a specialist fund for small-sized and medium-sized U.K. enterprises and will be invested in a combination of resources, infrastructure, new product development and channels to market.

    In today’s hyper-competitive markets, the use of automation can deliver the competitive edge to balance productivity, profit and growth.

    Paul Knight, CEO, CME Automation Systems

    “Automation is critical for manufacturers who need to pack products at speed and at scale. In today’s hyper-competitive markets, the use of automation can deliver the competitive edge to balance productivity, profit and growth,” said CME Automation Systems CEO Paul Knight.

    “At CME, we provide the tools to help them achieve value through automation. As well as our core markets, we’re seeing significant interest from some of the world’s most rapidly growing sectors. So this investment is well timed to help us realize our business’s potential—and to help even more customers to meet their automation challenges.”

    The CME range offers standard and turnkey line solutions to support a variety of packing functions, including tax stamping, wrapping, collating, cartoning, filling and product handling. This is complemented by in-house capability for certain bespoke machinery design and build to help customers with specialist requirements.

    “CME has a proven track record but also huge future potential,” said CME Financial Director Scott Cullen. “We’re delighted to have a new investor for this ambitious growth plan, which will help to strengthen the CME brand internationally and grow sales in pharmaceuticals, FMCG, cannabis and tobacco.”

  • Vaporesso Launches Products in Dubai

    Vaporesso Launches Products in Dubai

    Vaporesso, the open system arm of the world’s largest atomization company, Smoore International, unveiled two groundbreaking products, the Vaporesso COSS and Vaporesso ECO, at the World Vape Show held at the Dubai World Trade Centre from June 21 to 23.

    “We are thrilled to introduce Vaporesso COSS and Vaporesso ECO to more vapers at the show. These two revolutionary products are set to enhance the vaping experience, with their user-friendly features and eco-friendly design,” said Jimmy Hu, vice president of Vaporesso.

    The COSS is being labeled as a “game-changer in the vaping industry,” according to a press release. The system addresses the pain points of existing products and offers an intuitive design that caters to the vaping habits of users.

    “The product’s slogan, Convenient Operating, Smart Supplying, embodies its features. The Vaporesso COSS boasts the smallest size of vaping device and the longest battery life,” according to the release. “It also comes with an automatic liquid filling and charging feature. With Coil-oil Separation System, the Vaporesso COSS ensures a fresh taste without any leakage, and its consistent taste is a unique feature that sets it apart from other products.”

    The ECO emphasizes the value of being eco-friendly, economical, and eco-self, according to the release. It is refillable and rechargeable. Along with its larger capacity, longer battery life, reduced heavy metal content, and leather paper packaging that can be reused and recycled, the ECO is more cost-saving, eco-friendly, and safer for both the environment and humans when compared to disposable products. The product’s daily usage costs are reduced by 60 percent, which makes it accessible to a wider audience.

    “In addition to COSS and ECO, the company also has an IP counter featuring its highly popular XROS Series and LUXE X Series, along with a special display counter for its TARGET Series and GEN Series,” the release states.

  • Innovation Inside

    Innovation Inside

    Continuous innovation is the foundation for the advancement of Smoore and the e-cigarette industry. | Photo: Smoore International Holdings

    Of the few vaping products that survived regulatory scrutiny, many have been manufactured by Smoore.

    By Timothy S. Donahue

    The U.S. premarket tobacco product application (PMTA) process is one of the world’s most rigorous regulatory pathways to market for nicotine products. Out of nearly 7 million applications, only 23 e-cigarette-style products have been approved for marketing by the Food and Drug Administration. Most of the approved products have been manufactured by a single company.

    Smoore International Holdings, through its subsidiary, Shenzhen Smoore Technology, manufactures the Njoy Ace, Njoy Daily, Logic Power and Logic Pro devices. The Njoy Ace is the most technologically advanced vaping product to receive marketing approval in the U.S. It is the first e-cigarette authorized by the FDA that is equipped with ceramic coils that are manufactured by FEELM, the atomization brand owned by Smoore Technology. The Ace marketing orders mark the first approval by the FDA of a pod-style vaping product.

    Garnering the marketing orders required plenty of forethought and investment from Smoore. Based on PMTA requirements, Smoore established a comprehensive analytical testing and safety assessment system, including the vaping industry’s first corporate toxicology laboratory, which explores the health impacts of exposure to e-cigarette vapor by means of cytotoxicity tests. These test the reaction of living cells to different components of e-cigarette vapor. The company has also developed the third generation of in-house safety standards, Smoore 3.0, which covers all of the necessary PMTA tests, including testing for harmful and potentially harmful constituents.

    In a conversation with Tobacco Reporter, FEELM Marketing Director Sofia Luo attributed the success of Smoore products in the regulatory process to the company’s detailed and lengthy research and development process, which includes a rigorous testing and safety assessment system.

    “FEELM ceramic coils have more than seven years of research and development. It is the first black ceramic atomization coil that presents high harm reduction performance in the electronic atomization industry. It provides more flavor than a cotton coil,” Luo said. “‘FEELM Inside’ technology has also been upgraded and optimized continuously since its debut. We believe that only innovation from bottom to top can lead to industry breakthroughs and allow us to provide outstanding products for our clients.”

    Because of their innovative atomization technology, FEELM coils significantly increase Smoore clients’ chances of garnering an FDA marketing order and meeting China’s e-cigarette standard. Currently, the top four Chinese e-cigarette brands with the highest production quotas (amounting to 80 percent of the total) are partnered with the FEELM brand.

    A quality coil is a much-needed component for generating flavor in vaping products. Looking at the current regulatory landscape, tobacco will likely remain the dominating flavor in both the U.S and China. Tobacco taste-only policies could also impact other regions. According to Luo, Smoore has upgraded its ceramic coils, which can be specifically tailored toward tobacco flavors.

    “To comply with the Chinese national standard for e-cigs released this year, domestic brands use materials directly extracted from tobacco for e-liquid production, making it harder for coil manufacturers to produce a suitable device,” explains Luo. “We developed a comprehensive technology solution [that helps Smoore’s] Chinese and overseas clients to study [and develop new innovations] and produce better e-cigarette products. This continuous innovation is the foundation for the advancement of Smoore and the rapid development of the e-cigarette industry.”

    Innovation is important for the industry. Smoore has been a frontrunner in innovation and has applied for 4,300 global patents. The company must also be diligent in protecting its intellectual property. Last October, Smoore filed a complaint under the U.S. Tariff Act accusing 38 American and Canadian companies and individuals of infringing on three of its patents and one of its trademarks. As of April 20, 17 of the 38 defendant companies had signed consent letters or settlement agreements.

    To stay ahead in innovation, Smoore has recruited over 1,500 R&D experts, accounting for more than 40 percent of its total staff. The company has applied for more than 500 vaping-related heating patents. Recently, Smoore launched the FEELM Max, the world’s first ceramic coil disposable pod solution. The ceramic coil allows for a higher level of safety and harm reduction compared to previous devices.

    Smoore presented its FEELM Max disposable technology solution at the Indonesia Electronic Atomization Exhibition (IECIE 2022), which took place at the Jakarta International Convention and Exhibition Center in late October. Speaking at the exhibition, Smoore Vice President Clayton Shen highlighted the importance of technological innovation in driving progress in the vaping industry.

    During his presentation, Shen explained that the closed system is the fastest-growing category in the next-generation tobacco market and will claim a significant market share over time. According to Smoore, ceramic coils solve longstanding coil challenges such as leaking liquid and a burnt taste. FEELM’s ceramic coils, said Shen, are used by many of the leading vapor product manufacturers, such as Relx and Njoy.

    Founded in 2009, Smoore was one of the first companies to join the e-cigarette industry and later became China’s first billion-dollar vapor company. Smoore International Holdings, parent to Shenzhen Smoore Technology, is also the first vapor company to be listed on the Stock Exchange of Hong Kong. Globally, Smoore is considered one of the most valuable vapor industry manufacturers. According to Frost and Sullivan, Smoore is No. 1 in the global vaping device market with a 22.8 percent market share in 2021.

    Smoore is parent to Vaporesso and FEELM, two vaping brands that have gained global recognition for their innovative products. Vaporesso is an open system product brand created in 2015 and is “dedicated to establishing a smoke-free world while raising the quality of life for its users,” according to Luo. “Based on its continuous innovation, strict quality control and substantial commitment, Vaporesso creates products that can fit all levels and styles of vapers.”

    FEELM is a closed system technology brand that has been devoted to providing comprehensive atomization technology for global tobacco giants and independent e-cigarette brands, according to Luo, adding that FEELM manufactures FEELM Inside and FEELM Air, the latest in closed pod systems, and FEELM Max, a disposable system.

     “This year, FEELM has started to bring the advanced technology of ceramic coils to the field of disposable vapes, hoping to bring our consumers of disposable products the same atomizing experiences as a closed pod system. Compared to other disposable products, FEELM presents a better performance on safety and harm reduction,” Luo said. “Developing and upgrading atomization technology to better optimize the user experience has been a goal, and we wanted to support our clients in launching disposable vapes with ceramic coils in the global market rapidly. This has provided end consumers with more choices.”

    When Smoore International announced its financial results for 2021, it reported annual revenues of RMB13.75 billion ($2.16 billion), representing a year-on-year increase of approximately 37.4 percent. The company credited its FEELM brand and its innovative vaping solutions for its growing success. “The driving force of the atomization industry is technological innovations, which brings fundamental breakthroughs in product safety and flavor reproduction,” said Smoore board chairman Chen Zhiping during the presentation.

    In its effort to provide consumers more choices in harm reduction products, Smoore has now launched Metex, its heat-not-burn division. The company’s goal is to create a new heating technology R&D platform “that connects the present and the future, balancing the beauty of technology and life,” according to the Metex website. Metex aims to provide its business partners with one-stop supply chain solutions, from core heating technology research to product development and final production.

    While Smoore began as an e-cigarette company, the company increasingly views itself as a technology company. Recently, it changed its email address from @smoorecig to @smooretech to better reflect the company’s growing goals. Luo said that changing the email suffix was a way to “better convey our technology” concept to the public, and at least 10 percent of the company’s profits every year are reinvested into its science and technology components, including Smoore’s 14 research institutes that the company has established around the world.

    Smoore is growing rapidly. The company expects the e-cigarette market to continue growing at a significant stride over the next five years. Industry experts say product innovation, too, is going to continue at a rapid pace. Luo said that smoking alternatives are becoming increasingly popular worldwide as more consumers and governments realize the significance of e-cigarettes in supporting harm reduction. Improvements in the manufacturing process, she says, will help increase the options for consumers, and manufacturers will inevitably move from semiautomated production lines toward fully automated production lines.

    “Regarding the technical development in the overall e-cigarette market, we believe that improving safety, taste optimization and improving the efficiency of nicotine delivery are the major trends in the future. We also are conducting in-depth research on these important technologies internally,” Luo said. “As for the device development trend, we believe that consumers prefer to purchase environmentally friendly and carbon-reducing products as we move toward the future. Consumers need more diversified choices.”

    Smoore’s new FEELM Max disposable pod line includes products featuring concepts that help minimize environmental concerns, according to the company. FEELM also published its Carbon Neutral Plan, and the company is committed to implementing increasingly high sustainability standards into its business strategy. “We are moving toward carbon neutrality,” Luo said. “It’s part of [our] strategic plan moving forward.”

    With atomization technology being the foundation for Smoore, the company is looking toward more diversification over the next five years and growing outside the vaping industry. Luo said that the company is increasing its research and development investments for atomization improvements in the medical and beauty/cosmetics industries, for example.

    “In addition to vaping products, Smoore is committed to integrating atomization technology into more industries, distributing these technologies to other industries,” Luo said. “Our medical atomization and beauty atomization products are now being tested. After their launch, they will broaden the business categories of Smoore and increase the scope of our clients. We are very excited about enhancing our future development through multiple driving incentives and wider roads. And we firmly believe that atomization makes life better.”

    Timothy Donahue is the assistant editor of Tobacco Reporter. Since joining our team in January 2013, he has become not only an expert on the traditional tobacco business but also a well-respected voice in the rapidly developing vapor industry. Tim spends much of his time on the road, attending conferences and interviewing industry representatives. His networking skills, work ethic and quick mind are valuable assets to our diverse audience.
  • European Support for Smoke-Free Technology

    European Support for Smoke-Free Technology

    Photo: trodler1

    Smoke-free technologies should complement the EU’s existing tobacco control measures, according to participants in a survey commissioned by Philip Morris International, according to Eureporter.

    Carried out Nov. 10–15 by Povaddo and presented in Brussels on Nov. 17, the poll surveyed 13,000 adults spread over 13 European countries.

    Among the participants, 73 percent said that industries should be incentivized to develop innovative products that are better for consumers and the environment. Sixty-nine percent said interested adult smokers should be encouraged to switch to scientifically substantiated, smoke-free alternatives by taxing these products at rates that are lower than cigarettes but high enough to deter youth and nonsmokers. Additionally, six in 10 respondents agreed that government endorsement of innovative tobacco products would have a positive impact on smokers.

    “We know the potential to do better for adult smokers exists, as several member states have carried out similar policy approaches in, among others, energy, cars and alcohol,” said PMI Senior Vice President for External Affairs Gregoire Verdeaux during the presentation of the survey results.

    “Pragmatic policies have the power to improve people’s lives, incentivizing companies to innovate for the better and provide equitable access to technological advances, especially in a time of economic instability.”

    Povaddo Research President William Stewart said he hoped the results would encourage EU and national authorities to assess the results of current policies and consider other approaches, including “sensible regulation and taxation, while creating an environment that fosters innovations.”

  • Engineer 3D-Prints Cigarette Machine

    Engineer 3D-Prints Cigarette Machine

    A packaging machinery engineer has built a cigarette machine relying partly on 3D printing.

    According to Hackaday, creating the machine required overcoming several mechanical challenges, including a sticky raw material (tobacco) and fragile paper tubes.

    Controlled by an Arduino and driven by an AF Motorshield V1, the device contains solenoid-powered tappers and a stepper-driven revolver mechanism to put the empty papers into just the right place.

    According to the designer, who goes by the screenname Fraens, building the machine required extensive testing. “A lot of power is needed to press the tobacco,” Fraens wrote on YouTube. “I achieve this through a knee lever construction. An IGUS steep thread spindle is used to drive the press.”

  • Smoore Presents Feelm Max in Jakarta

    Smoore Presents Feelm Max in Jakarta

    Photo: Smoore

    Smoore presented its Feelm Max disposable technology solution at the Indonesia Electronic Atomization Exhibition (IECIE 2022), which took place at the Jakarta International Convention and Exhibition Center.

    Speaking at the exhibition, Smoore Vice President Clayton Shen highlighted the importance of technological innovation in driving progress in the vaping industry.

    Feelm Max features a ceramic coil technology that offers more puffs and consistent flavor, according to a company press release. It is currently sold in more than 10 countries, including the United States and the United Kingdom. Other features include a semi-translucence mouthpiece and environmentally friendly packaging.

    During his presentation of the Feelm Max, Shen explained that the closed system is the fastest-growing category in the new tobacco market and will claim a significant market share in the long run.

    According to Smoore, ceramic coils solve longstanding challenges such as liquid leakage and burnt taste. Ceramic coils, said Shen, are used by leading vapor product manufacturers, such as Reynolds Vapor Co., Relx and Njoy.

    One of the most influential exhibition platforms for companies operating in the vaping sector, the IECIE covered an area of over 12,000 square meters in Jakarta, with over 100 exhibitors and more than 10,000 visitors.

    In recent years, Southeast Asia has become a new industry hub by virtue of its population base and market development potential. Euromonitor expects the Southeast Asian vaping market to grow by 29 percent in 2023.