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  • Report: Latvia Lost €67M to Illicit Cigarette Trade

    Report: Latvia Lost €67M to Illicit Cigarette Trade

    Latvia lost an estimated €67 million to the illicit cigarette trade in 2024, a 31% increase over the previous year, as reported by KPMG at the National Forum on Smuggling. The study showed that contraband now accounts for 18% of total cigarette consumption in the country, with 340 million units consumed. Belarus remains the main source of smuggled cigarettes according to the report, supplying half of the illicit market, while counterfeit products surged 40% to 140 million units.

    Philip Morris Latvia public affairs head Guntars Grīnvalds warned that simplistic excise tax hikes can exacerbate smuggling rather than increase revenue. He advocated for a differentiated taxation approach: higher duties on traditional cigarettes, but lower rates for less harmful alternatives to encourage switching among adult smokers. The findings underscore the need for balanced excise and regulatory policies, as well as stronger measures against counterfeiting and illegal production, to effectively combat the growing illicit market.

  • CAPHRA Slams WHO Over Barriers to COP11 Participation

    CAPHRA Slams WHO Over Barriers to COP11 Participation

    The Coalition of Asia Pacific Tobacco Harm Reduction Advocates (CAPHRA) criticized the World Health Organization’s Framework Convention on Tobacco Control (WHO FCTC) for imposing what it calls “insane” registration requirements for the upcoming COP11 in Geneva. Executive Coordinator Nancy Loucas said the late opening of registration, coupled with onerous demands for personal documentation, a letter of intent, a full CV, and a declaration of zero tobacco funding, is deliberately designed to exclude consumer advocacy groups and harm reduction voices. Despite the FCTC being in place for two decades, not a single consumer group has ever been granted observer status, while only 26 NGOs have been approved overall, far fewer than in comparable UN forums such as climate negotiations.

    CAPHRA said the WHO’s restrictive interpretation of Article 5.3 has been weaponized to silence stakeholders, including people who smoke or use safer nicotine products. Proceedings remain closed to the media and the public, with no live streaming or meaningful transparency, a practice Loucas calls fundamentally undemocratic. CAPHRA is urging reform to allow full and fair participation, stressing that genuine tobacco harm reduction requires including the very consumers most affected by global policy decisions.

  • Kenyan Retailers Push Back Against Tobacco Control Bill

    Kenyan Retailers Push Back Against Tobacco Control Bill

    Bar owners and retailers in Kenya held a protest today (September 24) and urged the Senate to halt the progress of the Tobacco Control (Amendment) Bill, 2024, citing a lack of public consultation. The Bars, Hotels and Liquor Traders Association of Kenya (BAHLITA) and the Retail Traders Association of Kenya (Retrak) also submitted a joint petition, arguing that consumers, retailers, and manufacturers—those most affected by the proposed law—have been excluded from the legislative process. They contend that the bill, sponsored by ODM Senator Catherine Mumma, has been rushed forward without meaningful stakeholder input.

    The petitioners warn that the bill’s stricter regulations on nicotine products, including synthetic nicotine and e-cigarettes, could harm small and medium-sized businesses, increase compliance costs, and inadvertently drive legal trade into the illicit market. With half of Kenya’s cigarette market already illegal, they argue that the legislation could exacerbate black-market activity, threaten livelihoods, and reduce employment in retail. The groups are calling for inclusive, transparent consultations before the bill proceeds to the Committee of the Whole House stage.

  • Altria and KT&G Partner in Pursuit of Modern Nicotine Growth

    Altria and KT&G Partner in Pursuit of Modern Nicotine Growth

    Altria Group, Inc. and KT&G Corporation announced they have signed a non-binding global collaboration memorandum of understanding (MOU) “to pursue joint growth opportunities in modern oral nicotine, non-nicotine wellness products, and operational efficiency in traditional tobacco.” The partnership builds on Altria’s long-term goal of expanding into adjacent international categories beyond cigarettes, first outlined in 2023.

    The companies said their complementary strengths would accelerate innovation and market expansion. As an initial step, an Altria subsidiary will acquire an ownership interest in Sweden-based Another Snus Factory (ASF), concurrent with KT&G’s purchase of the company, giving both parties a foothold in the LOOP nicotine pouch brand. They also plan to evaluate ways to expand Altria’s on! and on! PLUS oral nicotine products to select markets.

    Beyond nicotine, the collaboration extends into the U.S. wellness and energy space through Altria and KT&G’s Korea Ginseng Corporation, which will jointly explore new product opportunities. The two firms will also work to improve operational efficiency in traditional tobacco businesses, with the aim of strengthening competitiveness and creating transferable capabilities for future international smoke-free ventures.

  • Pakistan’s Tobacco Farmers Say Delayed Quotas Spark $23M Loss

    Pakistan’s Tobacco Farmers Say Delayed Quotas Spark $23M Loss

    Tobacco growers in Pakistan claim delayed quota announcements and reduced allocations have triggered overproduction, a price crash, and losses exceeding Rs6.56 billion ($23 million). According to the Dawn, the government normally sets quotas by October, but this year’s lower quota was delayed until December, forcing farmers to sell surplus tobacco at the minimum indicative price (MIP) of Rs548 ($1.92) per kg—far below the market average of Rs720 ($2.52). Growers accuse multinational and local companies of exploiting the situation by purchasing surplus cheaply.

    According to the Dawn, industry figures warn that farmers are being squeezed between rising production costs and falling incomes, with many unable to recover expenses. According to the Tobacco Growers Association, companies have failed to meet quota commitments, while export figures tell a different story—Virginia tobacco exports jumped 129% to 48 million kilograms in 2024-25, even as domestic quotas were cut, the newspaper said. Farmers claim losses of up to Rs3 million ($10,500) per hectare under current pricing.

    The downturn threatens broader economic impacts, including reduced government revenue, falling exports, and job losses in tobacco-producing regions. Growers also point to climate-related crop damage this year, for which they have received no compensation. The National Assembly’s standing committee on tobacco is set to meet in Islamabad on September 23 to discuss possible relief measures, though farmers remain skeptical about immediate action.

  • Cuba Boosts Logistical Support for Tobacco Growers

    Cuba Boosts Logistical Support for Tobacco Growers

    Cuba’s state-owned tobacco group, Tabacuba, intensified its support for local growers ahead of the 2025 harvest, deploying new logistics and equipment to improve efficiency and reduce reliance on intermediaries. The group added five new Howo fuel trucks to the six existing vehicles, along with 12 tractors and trailers, aimed at ensuring direct delivery of diesel and materials to farms and facilitating transport from the port of Mariel. Marino Murillo, president of Tabacuba, said these measures are expected to benefit around 7,000 growers, while the first Freely Convertible Currency supply store for tobacco producers was also inaugurated, offering a range of agricultural and hardware products.

    Additional programs include technical support for the cultivation of covered tobacco in Sancti Spíritus, targeting high-quality export crops for about 20 producers. The initiative provides growers with guidance across all stages of production, from seed planting to curing. Previous investments this year included six Mercedes-Benz vehicles for growers, highlighting Tabacuba’s strategy of combining logistical support with incentives to stabilize and encourage tobacco output amid concerns over declining production and its impact on export revenues.

  • Bangladesh Pushes for Tobacco-Free Generation

    Bangladesh Pushes for Tobacco-Free Generation

    Tobacco industry stakeholders are closely monitoring calls from Bangladeshi experts and advocacy groups to amend the country’s tobacco control law with the stated goal of creating a “tobacco-free generation.” While public health advocates link tobacco use to rising rates of non-communicable diseases and urge stricter restrictions, the industry cautions that sweeping amendments could have wide-ranging economic and social impacts. Bangladesh’s tobacco sector supports millions of livelihoods, from farmers to small retailers, and contributes significantly to government revenue through taxes and export earnings. Industry representatives stress that any legal reforms must balance health objectives with the realities of employment, trade, and fiscal stability.

    From the industry’s perspective, an outright tightening of laws—such as bans on e-cigarettes and vaping—risks pushing consumers toward illicit markets, undermining both health and tax collection goals. The sector emphasizes the importance of pragmatic regulation, transparency, and meaningful dialogue between policymakers, public health groups, and industry stakeholders.

  • ITGA Meeting Focuses on Sustainability, Eyes COP11

    ITGA Meeting Focuses on Sustainability, Eyes COP11

    The International Tobacco Growers’ Association (ITGA) held its Annual General Meeting (AGM) last week, with discussions covering market trends, regulation, and sustainability. Growers expressed concern over oversupply pressures and shrinking profitability, while new analysis from Euromonitor International suggested global leaf tobacco demand will remain stable in the medium term. ITGA stressed that advocacy must start with farmers’ lived experiences, which provide credibility and balance in regulatory debates.

    Looking ahead to COP11, ITGA warned of insufficient agricultural expertise in global policymaking and vowed to press for more inclusive dialogue. The AGM also reaffirmed its commitment to securing a living income for farmers, with ITGA President José Aranda cautioning that ignoring this issue could threaten entire markets.

  • STG Global Finance Files Interim Report, Valentin Officially Departs

    STG Global Finance Files Interim Report, Valentin Officially Departs

    Today (September 22), STG Global Finance B.V. held its general meeting, approving the annual accounts for STG Global Finance B.V. for the financial year 2024. Furthermore, Mette Valentin, senior vice president for legal and public affairs, officially resigned from the management board. Valentin announced her retirement in June after 30 years with STG.

  • Tobacco Tax Hikes No Longer Boosting Revenue, Says Dutch Officials

    Tobacco Tax Hikes No Longer Boosting Revenue, Says Dutch Officials

    The Dutch government’s tobacco tax hikes have stopped generating extra revenue due to cross-border cigarette purchases and declining smoking rates, according to a Ministry of Finance report. A 5-cent tax increase per pack was once projected to add €7 million annually, but that figure is now revised to zero. “At the current level of tobacco excise, further increases are expected to trigger strong behavioral changes that will fully offset any extra revenue,” the report stated.

    Finance officials expect tobacco tax receipts to hold steady at €2.5 billion in both 2025 and 2026, with the current excise duty set at €7.81 per pack and no further hikes planned. Customs data showed that 45% of cigarette packs lacked a Dutch excise stamp last year, up from 15% in 2021, illustrating the scale of cross-border buying. Most were legally purchased abroad, where prices are lower, but over 10% were counterfeit.

    Health officials say the hikes are curbing smoking, as the National Institute for Public Health and the Environment estimates 7% of smokers quit after the most recent increase, while 22% cut back.