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  • Sampoerna Opens Third-Party Factory

    Sampoerna Opens Third-Party Factory

    Photo: Sampoerna

    Sampoerna opened a new third-party operator (TPO) factory for hand-rolled kretek cigarettes (SKT) in Jaten, Central Java, Indonesia, on March 27.

    Owned and operated by Attin Sigaret Indonesia, Jaten facility employs approximately 2,000 people.

    During the inauguration ceremony, Directorate General of Customs and Excise Representative Iyan Rubiyanto lauded the anticipated economic impact of the new factory.

    “We hope that the opening of this TPO will continue to absorb workforce and create a multiplier effect on the surrounding economy,” he was quoted as saying. “The sustainability of the industry is among the focus of the Directorate General of Customs and Excise, Ministry of Finance. Therefore, let’s maintain economic sustainability as a positive impact of the SKT industry.”

    Following a period of sustained decline, the SKT segment started recovering in 2020 after the government started supporting the segment in an effort to boost employment. Partially as a result of its measures, the SKT’s share of the tobacco market increased from 17 percent in 2019 to 28 percent in 2023.

    “On behalf of Sampoerna and tens of thousands of SKT hand-rollers, I would like to express my gratitude for the concern and support of the Directorate General of Customs and Excise, which represents the central government, in ensuring the sustainability of the tobacco industry, including protecting the SKT labor-intensive sector through various policies,” said Sampoerna Director Elvira Lianita in a statement.  

    TPO Jaten is one of five new TPOs that officially started operations in the first quarter of 2024. It complements Sampoerna’s other new SKT partnerships in Cilacap, Purwodadi, and Kebumen Regencies in Central Java, as well as Bojonegoro Regency in East Java.

    Sampoerna now has partnerships with 43 TPOs, all of which are owned and operated by local entrepreneurs and/or local cooperatives. The company now employs, directly and indirectly, more than 90,000 people, about 90 percent of whom are working in SKT production facilities.

  • Contraband Crackdown to Boost Russian Budget

    Contraband Crackdown to Boost Russian Budget

    Photo: Sabphoto

    Recent measures to strengthen control over the tobacco market could significantly boost Russia’s budget, reports Interfax, citing comments by Finance Minister Anton Siluanov.

    “Together, we estimated that the volume of funds mobilized from measures to control the tobacco market could reach about 150 billion rubles [$1.64 billion]. This is a significant amount of a resource that we now need,” Siluanov said at an April 2 meeting of Rosalkogoltabakkontrol, which assumed regulatory authority over the production and circulation of  tobacco and nicotine-containing products on March 1.

    Tax-avoiding products accounted for 13 percent of Russia’s tobacco market in 2023, up from 11 percent in 2021, according to Siluanov.

    Rosstat data show that tobacco companies produced 198 billion cigarettes in 2023, which is 10.7 percent less than the previous year. In response to Russia’s invasion of Ukraine, some multinationals have exited the market.

    Tax authorities expect to collect RUB824.152 billion in excise taxes from tobacco products this year.

    As part of its new responsibilities, Rosalkogoltabakcontrol must identify and stop the illegal production and trafficking of tobacco and nicotine-containing products. In addition, it will monitor manufacturer compliance with licensing and mandatory requirements for production, supply and the purchase and transportation of raw materials and finished products.

  • WAI Releases Anti-Smoking Policies Index

    WAI Releases Anti-Smoking Policies Index

    Photo: carlosseller

    We Are Innovation (WAI) released the 2024 Effective Anti-Smoking Policies Global Index. The index assesses around 5.5 billion people, nearly 70 percent of the world’s estimated 8 billion population. It offers an analysis of the public policies to eradicate smoking in 69 countries across four regions. Evaluating a range of 11 categories, the index delves into the intricacies of innovative noncombusted nicotine products, scrutinizing aspects such as regulatory frameworks, prohibitions, taxation and governmental measures for switching from traditional smoking.

    The 2024 Effective Anti-Smoking Policies Global Index includes 11 new countries. The newcomers are China, Finland, India, Norway, Qatar, Taiwan, Thailand, Turkmenistan, the United Arab Emirates, the United States and Vietnam.

    The top 20 countries in the global anti-smoking index, including the U.K., Sweden, Slovakia, Ireland, the Czech Republic, Switzerland, Lebanon, Greece, the U.S., Spain, New Zealand, Romania, Italy, France, Canada, Germany, Saudi Arabia, Poland, Croatia and Austria, collectively impact almost 1 billion people worldwide. European nations dominate the list, with 15 out of the 20 spots occupied by countries from this region. However, non-European nations like the U.S., Lebanon, New Zealand, Canada and Saudi Arabia also make significant strides in terms of regulations.

    The index emphasizes the urgent need for global advancements in anti-smoking policies as the majority of the world’s population resides in countries where such policies still need improvement, according to WAI.

    “With over 8 million lives lost annually to smoking-related diseases, the need for effective anti-smoking measures is more urgent than ever,” said WAI CEO Federico N. Fernandez in a statement.

    “Nations like Sweden and New Zealand are leading the way by embracing innovative nicotine products in the fight against combustible tobacco. Their public policies allowing alternatives have yielded remarkable results, with smoking rates around 5 percent—nearly smoke-free. This success highlights the vital role innovation must play in consigning smoking to history. Policymakers worldwide must follow the example set by these countries, fully harnessing safer products to uproot smoking’s devastating toll on global health.”

  • Investor Welcomes Independent Directors

    Investor Welcomes Independent Directors

    Photo: KT&G

    Flashlight Capital Partners, a significant shareholder of KT&G Corp. welcomed the cigarette manufacturers’ appointment of an independent director, which the investor said would enhance governance and shareholder value.

    At its recent annual meeting, KT&G appointed Kyung-Man Bang as its new CEO. Shareholders also approved the appointment of Dong-hwan Shon and Sang-wook Kwak as outside directors

    “We view this appointment as a victory for all shareholders, irrespective of size or nationality,” said Sanghyun Lee, managing partner of Flashlight Capital, in a statement. “With the addition of a truly independent director committed to advancing shareholder interests, KT&G has taken a crucial step towards governance normalization.”

    In a letter addressed to KT&G’s new board of directors, Lee outlined asked the company to link the compensation of the board and CEO to performance; investigate the underperformance of KT&G’s Lil heat-not-burn product in Japan; and exit the asset management business, among other actions.

    “With the appointment of the new board of directors, especially Mr. Shon, we are optimistic that KT&G’s future will be characterized by increased transparency and improved governance standards,” said Lee.

  • Second Lawsuit for Menthol Inaction

    Second Lawsuit for Menthol Inaction

    U.S. health groups filed a second a second lawsuit against the Food and Drug Administration for the agency’s inaction on banning menthol cigarettes. The case comes more than seven months after the FDA’s initial date for finalizing the new rule.

    “The relentless and racist tobacco industry targeting has killed too many members of the Black community,” said Carol McGruder, co-chair of the African American Tobacco Control Leadership Council, which filed the suit along with Action on Smoking and Health and the National Medical Association. “If Black lives truly matter, then we must end the sale of menthol cigarettes and do it now.”

    The plaintiffs’ first lawsuit was filed on June 17, 2020. The initial complaint sought to compel the FDA to act on its earlier conclusions that removing menthol cigarettes from the marketplace would benefit public health. The lawsuit asked the court to compel the FDA’s determination on whether to add menthol to the list of prohibited characterizing flavors—a determination that the FDA delayed making for over 10 years. The joint lawsuit followed the 2013 Citizen Petition from the Public Health Law Center, which called on the FDA to prohibit the sale of menthol cigarettes.

    “We’re extremely disappointed to be forced to file this second lawsuit against the FDA in support of protecting Americans from menthol cigarettes,” said Laurent Huber, executive director of Action on Smoking and Health, in a statement. “The FDA’s own research confirms that a menthol ban would save lives; there is no scientific reason to delay finalizing this rule.”

    In 2011, the FDA’s scientific advisory committee concluded that the “Removal of menthol cigarettes from the marketplace would benefit public health in the United States.”

    As a result of the plaintiffs’ first lawsuit, the FDA made the landmark determination to add menthol to the list of banned characterizing flavors in cigarettes. To begin that rulemaking process, the FDA issued a Notice of Proposed Rulemaking to ban the sale of menthol cigarettes in the marketplace. In response, the plaintiffs voluntarily dismissed their initial lawsuit. 

    After setting an initial date of August 2023 to issue its menthol rule, the FDA has unreasonably and unlawfully delayed this life-saving rule, according to the plaintiffs.

    “As African American physicians, we are deeply disturbed at the continuing delays in FDA’s finalizing of the ban on menthol cigarettes,” said Yolanda Lawson, president of the National Medical Association. “Our patients, more than any other group, become disabled and die prematurely due to the continued use of these cigarettes,” she said.

    The plaintiffs accuse the Biden Administration of falling for “disinformation and fear-mongering” by the tobacco industry. “The industry is sowing doubt and confusion and taking advantage of real issues in our country and claiming that removing menthol will harm Black lives, when just the opposite is true,” the groups wrote in a statement. “We remain disheartened to be forced to call on the Biden Administration to prioritize human life.”

  • Tea Sticks Under Scrutiny

    Tea Sticks Under Scrutiny

    Photo: cirquedesprit

    European legislators are mulling restrictions on herbal heating products, which have been gaining popularity across the continent and elsewhere, reports Reuters.

    In the wake of an EU ban on flavored tobacco-heating products last year, tobacco companies have been developing tobacco-free alternatives made from nicotine-infused substances such as rooibos tea.

    The European Commission said it is currently evaluating EU tobacco laws, and any changes would be subject to the findings of that effort, public consultation and an impact assessment.

    Already, some member states are looking to tighten national legislation.

    In Latvia, for example, a draft bill would classify the zero-tobacco sticks as tobacco substitutes and subject to related controls. Croatia, too, intends to regulate herbal heat sticks, according to that country’s health ministry.

    Regulation of such products is also being discussed internally in Lithuania.

    German authorities, meanwhile, are arguing with manufacturers over whether existing tobacco tax laws cover the new products, according to a spokesperson for the Federal Customs Authority.

    BAT said it supports the introduction of evidence-based regulation and appropriate excise taxes for its zero-tobacco sticks, adding that 15 EU member states have already introduced excise duties.

    Philip Morris International also believes any nicotine-containing cigarette alternative should be regulated and taxed appropriately, a spokesperson said. The multinational notes that flavors play an important role in encouraging adult smokers to switch away from smoking.

  • Malawi 2024 Volume Up 17 Percent

    Malawi 2024 Volume Up 17 Percent

    Photo: Taco Tuinstra

    Malawi will produce 17 percent more tobacco this year than it did in the 2023 growing season, reports Malawi24, citing a survey conducted by the Tobacco Commission (TC).  

    The TC projects production of 140 million kg this season. Last year, the country’s farmers sold 120 million kg.

    While the projections are up over those of last year, they are down from earlier estimates. The first crop survey conducted in January 2024 showed a 21 percent increase in 2024 tobacco production from that of 2023.

    TC Public Relations Officer Telephorus Chigwenembe attributed the decrease to prolonged dry spells in most parts of the country and the poor establishment and performance of some dark fire cured tobacco in the Malawi’s northern region

     The report of the first nationwide survey credited the good prices offered in 2023, increased number of growers, increased sponsorship and availability of inputs as reasons for the larger crop estimates.

    Tobacco estimate surveys in Malawi are conducted by players in the industry and are coordinated by the Tobacco Commission.

  • Celebrating Two Decades of Excellence

    Celebrating Two Decades of Excellence

    Odiri Erewa-Meggison

    Odiri Erewa-Meggison reflects on the significance of BAT’s Ibadan factory in Nigeria as it celebrates its 20th anniversary.

    Contributed

    This year, BAT celebrates the 20th anniversary of its Ibadan factory in Nigeria. To mark the occasion, Precise Platform, a PR agency, interviewed Odiri Erewa-Meggison, external affairs director of BAT West and Central Africa.

    Precise Platform: Please tell us about the significance of celebrating 20 years of manufacturing excellence for your organization.

    Odiri Erewa-Meggison: Celebrating 20 years of manufacturing excellence holds immense significance for BAT West and Central Africa on several fronts. Firstly, it marks a significant milestone in our journey, showcasing two decades of dedication, innovation and resilience in the manufacturing industry within the region. This achievement underscores our commitment to quality, responsible and sustainable business practices in all aspects of our operations.

    [We are] celebrating our two decades of quality output, impacts and milestones despite the economic challenges and regulatory changes that have made a lot of foreign companies quit their investments in the country. We are able to adapt to the market dynamics and impact on our operating environment with over 350,000 job opportunities and boost the economy of the nation through our export operation.

    From the excellent productions in our Ibadan factory, we export to 11 West and Central Africa countries and recently to the USA, with $110 million annual foreign exchange from export, among other socioeconomic impacts. These achievements, which are worth celebrating, speak volumes of our strong contributions and the vital roles British American Tobacco has played in driving economic growth with social progress in our operating environment and also provide an opportunity for us to express gratitude to our employees, partners and stakeholders, whose unwavering support and dedication have been instrumental in our success. Their commitment and passion have been integral to our journey toward manufacturing excellence.

    In essence, celebrating 20 years of manufacturing excellence is not just about looking back at past achievements but also about looking forward with optimism and determination toward a future of continued success and positive impact as BAT Nigeria is here for the long haul.

    How has BAT Nigeria’s Ibadan factory evolved and grown its manufacturing capabilities while achieving sustainability milestones over the past two decades?

    British American Tobacco Nigeria has undergone substantial evolution and growth in terms of its manufacturing capabilities, reflecting its commitment to meeting the dynamic needs of the market and its stakeholders. BAT Nigeria has continually invested in upgrading its manufacturing facilities with cutting-edge technologies. These advancements have enhanced production efficiency and quality control measures, enabling the company to stay competitive in the manufacturing industry.

    Also, BAT Nigeria places a strong emphasis on maintaining high-quality standards across its manufacturing operations. The company adheres to stringent quality control protocols and certifications to ensure that our operations meet or exceed both regulatory requirements and consumer expectations for safety.

    We have also integrated sustainability practices into our manufacturing processes, aiming to minimize environmental impact and promote social responsibility. In order to reduce our carbon footprint, in 2022, we transitioned from diesel[-powered] to gas-powered generation, and in 2023, we installed our 1.4-megawatt solar plant in our manufacturing facility, which was recently launched by the executive governor of Oyo State, Seyi Makinde, during our 20th anniversary celebration. We also installed a wastewater treatment plant with a 30,000-cubic-meter storage capacity to recycle and reuse all wastewater. This earned us the Alliance for Water Stewardship (AWS) certificate. These initiatives encompass our evolution and efforts to reduce energy consumption, minimize waste generation [and] support local communities, to promote responsible business practices within the manufacturing sector.

    The success of BAT Nigeria’s manufacturing operations, particularly at the Ibadan factory, can be attributed to several key strategies and initiatives that have been instrumental in achieving milestones, beginning with our investment in the state-of-the-art manufacturing facility and sustainable technologies that enable efficient resource utilization and minimize environmental impact. These strategies have led to 100 percent waste recycling and transitioning from diesel to gas operation at our Ibadan facility.

    BAT fosters a culture of continuous improvement, where employees are encouraged to identify opportunities for optimization and innovation across all aspects of manufacturing operations. We also work closely with our suppliers and partners to promote responsible sourcing practices and ensure the integrity of our supply chain. This proactive approach enables the implementation of cost-saving measures, quality enhancements and sustainability initiatives.

    Another factor that has contributed to the success we are celebrating is our large investments in human capital training and development programs to equip employees with the skills and knowledge necessary to excel in their roles and contribute to manufacturing excellence. This includes technical training on operating equipment, safety protocols and environmental stewardship practices.

    How does BAT Nigeria guarantee the highest quality standards in its manufacturing processes while simultaneously prioritizing sustainability and environmental considerations, as outlined by the AWS and the International Renewable Energy Certificates (IREC)?

    We implement rigorous quality control measures at every stage of the manufacturing process, from sourcing raw materials to packaging finished products. This includes comprehensive testing, inspections and audits to ensure that our products meet or exceed regulatory requirements and consumer expectations for safety, consistency and quality.

    By adhering to internationally recognized certifications and standards for quality management, environmental management, and occupational health and safety, we foster a culture of continuous improvement, where employees are empowered to identify opportunities for enhancing quality, efficiency and sustainability in manufacturing operations. This includes implementing lean manufacturing principles, conducting root cause analyses and investing in training and development to drive continuous improvement initiatives.

    By prioritizing quality, sustainability and environmental considerations in our manufacturing practices, we not only meet regulatory requirements and consumer expectations but also contribute to the long-term viability and resilience of our business and the well-being of the communities and environments in which we operate.

    BAT Nigeria prioritizes maintaining the highest quality standards in its manufacturing processes while adhering to sustainability and environmental principles outlined by the Alliance for Water Stewardship and the International Renewable Energy Certificates.

    Our dedication to sustainability extends beyond energy efficiency and waste reduction. We prioritize responsible water management practices, evident in our state-of-the-art wastewater treatment plant. This impressive facility boasts a 30,000-cubic-meter storage capacity, allowing us to capture and treat all effluent wastewater generated during production. This commitment to water stewardship ensures no untreated wastewater is released into the environment.

    More importantly, we don’t simply treat the wastewater; we reuse it. In 2023 alone, we successfully recycled a significant amount—17,388 cubic meters of treated wastewater. This recycled water is likely used for noncritical processes within the factory, reducing our dependence on freshwater resources.

    This approach exemplifies our commitment to minimizing our environmental impact and operating responsibly. By effectively managing our wastewater, we not only conserve precious freshwater resources but also demonstrate our alignment with the principles set forth by the AWS certification that we hold.

    The IREC compliance translates to our using energy-efficient machinery and exploring renewable energy sources in line with the recently commissioned 1.4 MW solar plant. This reduces the factory’s dependence on fossil fuels and lowers our carbon footprint.

    This multifaceted approach allows BAT Nigeria to be a leader in manufacturing excellence. We believe this commitment to quality, sustainability and responsibility sets us apart and contributes to a brighter future.

    As BAT Nigeria celebrates two decades of manufacturing excellence in a multi-category industry, how will you leverage your achievements to further enhance and sustain your competitive advantage? Additionally, how does your annual environmental, social and governance (ESG) forum contribute to this strategy, fostering collaboration and innovation for a sustainable future?

    As we celebrate 20 years of manufacturing excellence, we are committed to further enhancing and sustaining our organization’s competitive advantage in the industry through strategic initiatives and forward-thinking plans. Here are some of our key plans:

    We will continue to invest in cutting-edge technologies beyond what we have achieved so far and innovation to optimize our manufacturing processes, improve efficiency and enhance product quality.

    We will reinforce our commitment to sustainability and environmental stewardship by implementing additional initiatives to minimize our environmental footprint, reduce waste generation and promote responsible sourcing practices. With a steadfast commitment to sustainability, we will sustain our recycling cigarette butts initiative and annually hold our private sector ESG forum to continually drive our advocacy for a sustainable environment in alignment with the sustainable development goals.

    By implementing these plans and initiatives, we aim to further enhance and sustain our organization’s competitive advantage in the industry, ensuring continued success and growth for the next 20 years and beyond.

    Our annual ESG forum plays a critical role in these strategies by fostering collaboration and innovation for a sustainable future. The forum brings together industry stakeholders, experts and thought leaders. This allows BAT Nigeria to share its own sustainability journey and learnings while also gaining valuable insights from others.

    Added to this, by facilitating open discussions on key ESG challenges and solutions, the forum fosters collaboration across the industry. This can lead to the development of innovative approaches to tackling environmental and social issues.

    The ESG forum allows BAT Nigeria to stay abreast of emerging trends and best practices in sustainability. This ensures we can continuously adapt and improve our strategies to maintain a competitive edge in a future increasingly focused on ESG performance.

    Is there any message or reflection you would like to share with the employees, stakeholders and customers who have been a part of this 20-year journey of manufacturing excellence?

    I would like to extend my appreciation to all our employees and stakeholders, who have been integral to our 20-year journey of manufacturing excellence. The BAT Nigeria team’s unwavering support, dedication and commitment have been instrumental to our success and achievements over the years.

    As we reflect on this milestone, we are reminded of the collective efforts, resilience and passion that have propelled us forward, even in the face of challenges and uncertainties. Together, we have overcome obstacles, embraced opportunities, and [we] continuously strive for excellence in everything we do.

    As we embark on the next phase of our journey, we remain committed to upholding the highest standards of excellence and sustainability in all aspects of our operations. Together, we will continue to innovate, collaborate and lead the way toward a future of continued success and positive impact.

    Thank you for being a part of our 20-year journey of manufacturing excellence. Here’s to many more years of partnership, growth and shared achievements ahead.

  • Half Measures

    Half Measures

    Photo: Be Free

    Though a generational tobacco ban is not without merit, the U.K. will not allow it to work in the way that it could—and thus the measure should be shelved.

    If I have this correctly, the U.K.’s proposed generational tobacco sales (GTS) ban has been attacked by libertarians as being contrary to the principles that people should be allowed to make their own choices about the risks they are prepared to take in life and to take responsibility for the consequences of those choices, providing they act within the law and their actions do not harm others.

    These are powerful arguments, but are they enough to defeat the proposal, which, as currently envisaged, would mean that from Jan. 1, 2027, anyone born on or after Jan. 1, 2009, could never be sold tobacco products legally in the U.K.? I suspect not.

    One problem arises because the first duty of the government is to protect U.K. citizens, and while, by not allowing smoking in public places, the U.K. government might be seen mostly to have discharged that responsibility in the case of smoking, it is not difficult to imagine how some might argue otherwise. Smokers may still smoke at home, affecting family members, and because, we are told, smoking has a negative economic impact on society, it must be seen as causing harm to nonsmokers by robbing society of the funds to help those in need.

    These are powerful arguments, but are they enough to support the radical idea of a GTS ban? I suspect not.

    A major problem to my way of thinking is that the GTS ban is based, as is much else to do with tobacco and vaping, on faulty statistics and information and on ideological rather than rational ideas. Regulatory skyscrapers have been and are being built on dodgy foundations.

    Here is an example. The first words of a GTS ban blog post from the U.K. Department of Health on Jan. 30, titled “Creating a smoke-free generation and tackling youth vaping: What you need to know,” had it that “The prime minister has set out plans to build a better and brighter future for children.”

    I find it intolerable that I am being told by a government department that I need to know something that is misleading. A Feb. 20 story by social policy editor Patrick Butler published in The Guardian newspaper and quoting the Association of Directors of Children’s Services had this to say: “In a withering assessment of the government’s record over the past few years, they said ministers had presided over deepening child poverty, crumbling schools and an exploding health and well-being crisis in young people, with low-income families worst affected. The government’s failure to prioritize the post-pandemic needs of children in England was a ‘massive missed opportunity’ that would leave many thousands of youngsters ‘left behind.’”

    The prime minister referred to in the blog is Rishi Sunak, who has been either prime minister or chancellor of the exchequer during almost the entire time frame referred to in The Guardian piece. Does it really sound like he has been building a better and brighter future for children?

    Of course not. So the question arises as to why anybody should believe anything else in the blog or any of the other so-called information put out by the government in relation to the GTS ban. And the answer is that there is no reason to believe and every reason to suspect one is being conned. You have only to gaze briefly at the graphic “warnings” on tobacco packages to realize how misleading they are and, I would contend, are meant to be. And the statistics linking diseases and death directly to smoking and to no other causes (drinking, eating highly processed food and taking nonprescription drugs, etc.) are clearly misleading.

    But as they say, we are where we are, and whether you accept the necessity of the GTS ban will probably depend largely on whether you believe the information put out by the government. So let’s for the moment accept the government’s position and say that because of the tragic consequences of smoking, and smoking alone, it is necessary to put an end to the habit.

    At this point, we need to ask whether the GTS ban is the best approach, and I think you have to say that probably it is. Nearly everyone dismisses the idea of outright prohibition because they say it would not work, and once you say that, you know it won’t be allowed to work—you have set yourself up to fail. Another idea would be to employ tobacco harm reduction (THR), but this will take forever because there are so many people opposed to it, and even those who believe in it can be made to jump and think again simply by saying, “Boo! Children!”

    So a GTS ban is the best game in town? Possibly, but that is not to say that even it would work. Let’s take a look. Despite what I wrote in the second paragraph, the blog actually says that from Jan. 1, 2027, anyone born on or after Jan. 1, 2009, “will never be able to legally sold tobacco.” That does not make sense, of course, and it makes you wonder how much effort has gone into the GTS proposal, which is being hurried along in an election year. But, no matter, the idea is not without merit. It has the advantage that, in theory, nobody who has taken up smoking after being sold tobacco products legally will ever be forced to quit.

    It has the advantage, too, that it is not really a ban. Smokers, we are told, smoke for the nicotine, and, as things stand and in theory, those who are born after Jan. 1, 2009, will still be able to buy nicotine in inhalable and possibly other forms once they have turned 18. I write that with a feeling of trepidation, however, because a U.K. representative at the February meeting of the Conference of the Parties to the World Health Organization Framework Convention on Tobacco Control said that no nonsmoker should use a vape. Whether this was meant to be simply a moral judgement whose basis was not spelled out or whether it heralded a regulatory extension of the GTS to cover vapes was not clear. If the latter is the case, GTS is probably dead in the water.

    If, on the other hand, the former is the case, it looks like GTS is set to roll, right? Not so fast. One of the major objections made against the ban is that it would create a two-tier society where some people are allowed to buy tobacco products and some are not. I am not sure that this should be seen as a huge problem because we already have age-determined dividing lines in our society in respect of many products and activities; it would just be the case that the dividing line would be on a sliding scale in respect of one product, which is not something that should send us into an intellectual death spiral. After all, the pension age has also been moved on to such a scale.

    A connected and more concerning issue to my mind is that the ban would put retailers in an invidious position because they would be required to tell the difference between two adults, one of whom was one year older than the other. There is age estimation technology available that can reliably tell if somebody is under 25 and therefore trigger a request for that person to prove they are over 18, but it seems unlikely that it could split, say, a 40-year-old from a 41-year-old.

    There are ways around this problem using some form of identity documents but none that I can think of that would be foolproof in a society where not everybody has such documentation and where not everybody who does carries it with them. And it would be a brave politician who raised the specter of a universal system of identity cards in the U.K. simply to help smokers.

    The only answer to this problem as I can see it is to make it illegal for anyone born after Jan. 1, 2009, to buy tobacco products, putting the onus on the buyer rather than the seller, who would nevertheless still be required not to sell to those under the age of 18.

    The objection here would be that people would ignore the rules and buy tobacco products illegally. But would this really matter? The law would be in place in large part to protect the individual so that if an individual decided to sidestep the law, it would be their fault if they fell ill from smoking, were fined, not an unlikely outcome at some time given that they would need to buy a pack every day or two, or if somewhere down the line they were forced to quit because the last licit smoker had died or if manufacturers withdrew cigarettes on the grounds that there were too few people left who could buy tobacco legally.

    So, we are back on track? A GTS ban it is? No, sorry, there are still a few things we need to clear up. For a GTS ban to work, in my view, it is necessary to have a long-term THR policy in force that provides a range of attractive, reasonably priced, less risky alternative products to help those who want to quit smoking and, importantly, so as not to discriminate against people based on age—one year of age. And despite the U.K.’s reputation of having embraced THR, we are nowhere near having a comprehensive policy that people can rely on to still be in force next month. Snus is banned, and the government continues to dither over heat-not-burn products. Even vapes are subject to winds of change. The government is going to ban disposable products, it is set as I write this piece to further tax these products, and, because the middle classes said, “Boo! Children!,” it is going to ban various flavors.

    And worse is to come. Because, despite what it says, the government will not adequately fund the organizations charged with controlling the retail sale of products to those underaged, the general media will soon be crawling with stories about how little Johnny, the light of his mother’s life, was sold vaping products laced with crack, drawn into a den of vice and reduced to a life that was solitary, poor, nasty, brutish and short.

    Let’s face it: Though GTS is not without merit, it is not going to be allowed to work in the way that it could, and it needs to be shelved. It is true that it is simply too risky to design policy initiatives when politicians are trawling for votes, as they currently are in the U.K.

    George Gay is Tobacco Reporter’s European editor, but his territory spans the globe. Based in London, George has covered the tobacco industry since 1982, initially for a U.K.-based publication and since 2004 for Tobacco Reporter. George’s understanding of industry issues, combined with his keen sense of observation and dry wit, have earned him a loyal following among Tobacco Reporter’s readers.
  • Zimbabwe Aims for $60 Billion Tobacco Industry

    Zimbabwe Aims for $60 Billion Tobacco Industry

    Zimbabwe plans to create a $60 billion tobacco industry by 2028, according to The Herald.

    The government is currently working to increase processing and value addition of tobacco from 2 percent to more than 30 percent to boost earnings.

    Zimbabwe currently earns about $1 billion from its annual tobacco exports, which is 6 percent of the global market.

    “In terms of the value transformation strategy, we must tap into the value of our tobacco,” said Obert Jiri, permanent secretary for Lands, Agriculture, Fisheries, Water and Rural Development, noting that the tobacco produced is worth over $60 billion when fully processed across the value chain.

    “We understand that most of our tobacco is exported, and the strategy is to tap into that value chain. We are happy that some are doing cigars, some little value addition in terms of cigarette production. The strategy we have as a government is really to ensure that we encourage investments in proper value addition so that we don’t export our raw materials.”

    According to Kutsaga CEO Frank Magama, the board is breeding tobacco seeds for international markets. “We have trials that are happening in Italy, Brazil, China, and our varieties are also grown in China. The direction that we take from the government, in terms of breeding, is that we must make sure that we have quality products. We excel in tobacco, so our products are now found in the region where we are able to earn foreign currency for the country,” he said.

    The Kutsaga Tobacco Research Board recently introduced climate-smart tobacco varieties, enabling farmers to continuously have good harvests despite climate change and new pathogens.

    Zimbabwe’s plans are part of the government’s ambitious Tobacco Value Chain Transformation plan.