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  • Why Naturally Extracted Tobacco Never Scaled

    Why Naturally Extracted Tobacco Never Scaled

    By Jon Rankin, Black Note

    Most tobacco-flavored e-liquid on the market has never been near a tobacco plant. That is not a criticism. It is simply how the category got built.

    Tobacco flavor, like nearly every other flavor in vapor products, is assembled. A flavor house supplies a concentrate engineered to read as tobacco on the palate, the manufacturer doses it to specification, and the result is fast, inexpensive, and identical from batch to batch. For a category that had to scale quickly under commercial and regulatory pressure, that was the only sensible way to build.

    There is another method. Cured leaf can be macerated directly, extracting its flavor into the base rather than recreating that flavor from aroma compounds. The product is called naturally extracted tobacco. Black Note has manufactured this way since 2015.

    The question worth asking is not which approach tastes better. That argument is unwinnable and largely beside the point. The question is why, a decade into a category worth billions, extraction has remained a niche production method rather than a mainstream one.

    The answer is industrial, not sentimental

    Start with time. Maceration is measured in weeks. Mixing to a flavor specification is measured in hours. Every week of maceration is working capital sitting in a tank, and it costs a manufacturer the ability to respond to demand. If orders spike, a formulator mixes more that afternoon. An extractor cannot.

    Then there is variability, which is the harder problem. Tobacco is an agricultural input. Crop years differ. Growing regions differ. Two lots of the same varietal, cured the same way, do not extract identically. A flavor formulation carries no such exposure, and that predictability is precisely why the industry standardized on it. Extraction imports an entire agricultural supply chain into a product consumers expect to taste the same every time. Correcting for it means blending across lots, adjusting process, and a willingness to reject material that does not meet the mark, none of which appears on a formulator’s cost sheet.

    Then the regulatory arithmetic. Under the PMTA framework, every distinct product a US manufacturer sells carries its own application and its own scientific burden. That pushes every manufacturer, extraction or not, toward fewer product lines rather than more. It lands harder on a producer whose cycle is already slow and whose inputs already vary, because the cost of carrying a line is fixed while the difficulty of producing it consistently is not.

    None of this is a complaint. It is an explanation. The economics of formulation are better, and for most of this category’s history the market did not distinguish sharply enough between formulated and extracted tobacco flavor to justify the difference in cost.

    What changed is the regulatory perimeter

    Flavor restrictions have moved through market after market, and tobacco is typically among the characterizing flavors that remain permitted where others do not. The specifics vary by jurisdiction and the picture is still moving. But the direction has been consistent: the flavor segment with the most durable regulatory outlook is the one that tastes like tobacco.

    That makes the production question more relevant than it was five years ago, not less. If tobacco flavor is where the category’s permitted volume concentrates, then how tobacco flavor is actually made stops being a craft curiosity and becomes a supply question. A market selling mostly tobacco flavor will eventually be asked what that flavor is made of, by regulators, by retailers, and by consumers who came across from combustible cigarettes and therefore hold an unusually well-calibrated reference point.

    Extraction will not displace formulation

    The cost structure does not support it and probably never will. A category at scale cannot run on a process that takes weeks and varies by harvest.

    But a category built almost entirely on one production method, now concentrating into the single flavor where the alternative method has something real to offer, deserves more attention than it currently receives. The interesting question for the next few years is not whether extraction wins. It is whether anyone can make it faster, cheaper, or more consistent than it is today, and whether the market will pay for the difference if they do.


    Jon Rankin is Content & Partnerships at Black Note, a US manufacturer of naturally extracted tobacco e-liquid. He writes and reviews Black Note‘s guides so the choices around vaping and nicotine are clear instead of confusing. A UCLA English graduate and former professional miler, he turns complicated topics into guidance readers can actually use.

  • Pouch Strength Labels Lack a Common Unit, Index Finds

    Pouch Strength Labels Lack a Common Unit, Index Finds

    European nicotine pouch retailer PouchSpot recently published a cross-brand strength index arguing that voluntary nicotine caps are often undercut by inconsistent labelling. Cans variously print milligrams per pouch, milligrams per gram, or words such as “extra strong,” so a 0.7 g pouch labelled 20 mg/g holds 14 mg per pouch, not 20.

    In PouchSpot’s catalogue, products named “extra strong” range from 6 mg to 20 mg per pouch. The index standardizes 30 brands to milligrams per single pouch, drawn from 357 products, with values from 1.5 mg to 50 mg and asterisks on listings whose units are ambiguous. PouchSpot says brand ranges barely overlap: Zyn spans 1.5 mg to 13.5 mg, while Killa starts at 13.2 mg. The company argues a mandatory per-pouch figure on the front of the can would make any cap, voluntary or statutory, more readable at the shelf.

  • Zimbabwe Eyes Tobacco SEZs to Boost Value Addition

    Zimbabwe Eyes Tobacco SEZs to Boost Value Addition

    Zimbabwe’s tobacco sector is reaching record production levels but declining returns are highlighting the need for greater local processing and value addition, according to local authorities. Tobacco sales reached 358.3 million kg this season, up 1% from 353.3 million kg in 2025, while farmer revenue fell 24% to $892.6 million as average prices dropped 25% to $2.49 per kg. Industry officials and economists warn that global cigarette consumption is declining and the shift toward slim and super-slim products is reducing leaf demand, limiting the value of further production increases.

    Industry experts are urging Zimbabwe to establish tobacco-specific special economic zones (SEZs) modeled on manufacturing hubs in the United Arab Emirates. Tapiwa Masedza, founder of Chevron Tobacco, said targeted fiscal incentives, streamlined regulations and improved logistics could encourage investment in cut-rag processing and cigarette manufacturing. Zimbabwe aims to increase tobacco industry revenue to as much as $7 billion by 2030, raise production to 500 million kg and increase local value addition from about 2% to 30%.

    Proposed SEZ incentives include a five-year zero corporate tax rate, duty-free imports of complementary foreign leaf for processing and re-export, deferred or zero-rated VAT on inter-merchant and export transactions, accelerated capital allowances, and excise-free exports. Zimbabwe has installed capacity to produce about 18 billion cigarettes annually but manufactures only around 4 billion, according to industry sources. Masedza said removing VAT on local grade exchanges and providing greater regulatory certainty would help merchants blend and process tobacco domestically, allowing Zimbabwe to capture more value from each kilogram of leaf rather than relying on raw exports.

  • Chemular Launches Child-Resistant Packaging for Nicotine Pouches

    Chemular Launches Child-Resistant Packaging for Nicotine Pouches

    Chemular announced the launch of Safeguard Mark I, a patent-pending child-resistant packaging platform designed to convert existing nicotine pouch cans into compliant child-resistant packaging without requiring container redesigns or replacement of manufacturing infrastructure. The external system is designed to preserve existing labels, branding, and UPC barcodes while minimizing manufacturing disruption and changes to products with PMTA submissions under FDA review.

    Safeguard uses a proprietary spring-based locking system designed to provide child resistance while maintaining adult usability. Chemular said the platform can accommodate multiple can formats and product lines using a single application station, potentially reducing redevelopment and capital costs for manufacturers.

    Chemular, a regulatory consultancy specializing in tobacco and nicotine products, is working with brands and manufacturers to evaluate Safeguard for existing and new nicotine pouch products.

  • Ispire Technology Names Przybyla President

    Ispire Technology Names Przybyla President

    Ispire Technology appointed Steven Przybyla as president, effective immediately. He will retain his roles as Chief Legal Officer and secretary and lead investor communications, working with the CEO and CFO on investor relations. The company said the move strengthens its U.S.-based leadership and provides investors with a consistent point of contact on its regulatory strategy and growth plans.

    Przybyla has served as Ispire’s chief legal officer and secretary since September 2023 and has more than 10 years of experience in nicotine and tobacco regulation. He previously served as a director and corporate secretary of IKE Tech, Ispire’s joint venture developing biometric age verification, product authentication and compliance technology for regulated nicotine markets. He previously held legal and executive roles at 22nd Century Group and Jushi.

  • Dubai Customs Seizes 70M Illicit Cigarettes Bound for Europe

    Dubai Customs Seizes 70M Illicit Cigarettes Bound for Europe

    Dubai Customs intercepted an attempt to export more than 70 million illicit cigarettes to a European country after detecting nine shipments across three air cargo facilities. The shipments contained 360,500 cartons, or nearly seven tons of tobacco, concealed in consignments declared as clothing.

    Risk analysis and shipment-data reviews revealed links between the consignments, which were ultimately traced to a single importer. Customs teams identified a common pattern across the nine shipments before they could leave the UAE.

    Dubai Customs said the operation demonstrated the effectiveness of data analysis and risk-based targeting in identifying connections between shipments and preventing illicit goods from moving through Dubai’s air cargo network.

  • Kuwait Tightens Tobacco and Nicotine Regs

    Kuwait Tightens Tobacco and Nicotine Regs

    Kuwait’s Health Ministry issued new regulations covering tobacco and nicotine products, including e-cigarettes, heated tobacco, nicotine liquids, cartridges, and pouches. Ministerial Decision No. 237 of 2026 bans sales in educational and health facilities, government institutions, sports clubs, youth centers, and venues serving children and young people. Sales are also prohibited through websites, apps, social media, delivery services, vending machines, and outlets within 200 meters of educational institutions.

    All covered products must be registered and approved by the Health Ministry, with manufacturers and suppliers required to disclose ingredients, nicotine concentration, country of origin, and batch information. Products of unknown origin, those exceeding approved limits or those designed or marketed to appeal to young people are prohibited. Health warnings, including text and images, must cover at least 50% of the main packaging area.

    Sales to people under 21 are prohibited, along with advertising, promotion, sponsorship, free samples, gifts, and discounts. E-cigarettes and heated tobacco products will face the same restrictions as smoking in public and enclosed places where smoking is prohibited. The regulations take effect Jan. 1, 2027.

  • FDA’s Koplow to Address NATO’s Anniversary Event

    FDA’s Koplow to Address NATO’s Anniversary Event

    The National Association of Tobacco Outlets announced that Acting FDA Center for Tobacco Products Director Dr. Bret Koplow will deliver a keynote address and participate in a fireside chat at the association’s 25th Anniversary Celebration & Legislative Update on Sept. 29-30 in Washington, D.C. Koplow is expected to discuss regulatory developments involving the CTP.

    The event will also feature a bipartisan review of the political landscape, FDA analysis, legislative and Capitol Hill engagement sessions, and a NATO membership listening session.

  • LT Group Hits Record Income on Banking, Tobacco Gains

    LT Group Hits Record Income on Banking, Tobacco Gains

    LT Group Inc. — one of the Philippines’ largest business groups, controlled by the Lucio Tan family — reported a 14% increase in attributable net income to a record P17 billion ($272 million) in the first half of 2026, driven by higher earnings from its banking and tobacco businesses. Philippine National Bank contributed P8.2 billion ($131 million), or 48% of group earnings, while Fortune Tobacco Corp. contributed P6.1 billion ($98.1 million), or 36%.

    Fortune Tobacco’s net income rose 13% to P6.2 billion ($98.6 million), supported by higher equity earnings from its 49.6%-owned associate PMFTC Inc. PMFTC benefited from cigarette price increases implemented in March and a 2% increase in offtake volume to 11 billion sticks, matching overall industry growth. LT Group also said government enforcement and seizures had reduced illicit tobacco activity, with stricter port controls and action against machinery used to produce illicit tobacco expected to support further progress.

  • FRE Launches Limited-Edition Platform

    FRE Launches Limited-Edition Platform

    FRE announced the launch of FRE Labs, a new platform for limited-edition, small-batch flavors developed with consumer feedback. The platform will allow adult nicotine users to vote on which flavors return and potentially join the brand’s permanent lineup.

    The first release is Blackberry Lemon Ice, part of the new Ice line featuring fruit-forward profiles with a menthol cooling component. The products will be offered in 6mg and 12mg nicotine strengths and sold exclusively online, with additional flavors to be revealed as the series progresses. The Turning Point Brands affiliate says the initiative is intended to give its consumer community a greater role in product development.