Tag: Featured

Stories featured at the top of tobaccoreporter.com

Tobacconists Donate $50,000 For Advocacy

Photo: 13 Motortion – Dreamstime.com
The Tobacconist Association of America (TAA) will donate $50,000 to the Premium Cigar Association (PCA) to aid in the industry’s growing work in local and state legislation impacting the premium cigar and pipe industries.
“The PCA would like to thank the TAA for this outstanding show of support as our industry is facing some of the most egregious tax grabs and potential smoking bans in recent history,” said PCA Executive Director Scott Pearce. “The PCA is hard at work in over two dozen states already fighting tax increases that, at the best of times, are harmful to our small business retailers. Especially during the pandemic that could potentially put our members out of business.”
PCA President John Anderson echoed Pearce’s gratitude, urging retailers everywhere to engage in the fight. “We are at our best when we are all participating in this fight, and we need all of our retailer voices to join in to ensure we will not be steamrolled by misguided public policy,” Anderson said. “TAA’s support will help ensure that we can continue to be active and put all of our resources towards defending our retailers across the country.”
“The TAA is happy that it can support the brick-and-mortar community in these most challenging times,” said Joe Arundel, TAA president. “The TAA recognizes and appreciates the outreach that PCA gives to our retail members in their respective communities across this country. We are confident that PCA can effectively help defend our stores and businesses in the coming months.”
Founded in 1933, the PCA represents and assists retailers, manufacturers and suppliers of premium tobacco products. Established in 1968, the TAA supports its members with tools and relationship building opportunities to optimize their success in the brick-and -mortar business.

January 27, 2021
Tanzania Eyes New Tobacco Markets

Photo: Taco Tuinstra
The government of Tanzania wants to extend its tobacco market to the Middle East, Northern Africa and eastern Asia, reports All Africa.
The tobacco industry is the largest source of foreign currency in the country, and the minister for agriculture, Adolf Mkenda, has concerns about the current foreign buyers trying to monopolize the crop.
Mkenda stated that the government wanted to export its finest tobacco to China, Saudi Arabia, Indonesia, Algeria, Egypt and Sudan, among other countries. “The current system is not good,” he said. “Some buyers are skipping locally produced tobacco or demand to buy at a low price … they push farmers to sell their produce to Zambia. For no reason traders go to Zambia to buy the same crop they rejected in Tanzania and at a high price … this is unacceptable.”
Deputy Minister for Agriculture Hussein Bashe said global demand for tobacco declined by 5 percent. He noted, however, that tobacco production in Tanzania is expected to rise to 67,000 metric tons in 2020-2021 from 42,000 metric tons in 2019-2020. “This is due to the emergence of local buyers,” he said.
Of the cigarettes produced in Tanzania, 65 percent are exported to foreign countries.

January 27, 2021
PMTA Included in White House Rules Freeze

Photo: David Mark from Pixabay
The new U.S. administration has frozen all new and pending rules introduced in the last days of the Trump administration. Included in the freeze are the new finalized rules for premarket tobacco product applications (PMTA) and substantial equivalence (SE) that were announced on Jan. 19, the last full day of the Trump administration.
The Food and Drug Administration’s CBD enforcement policy draft guidance, which had been under review at White House Office of Management and Budget (OMB) since July, was also withdrawn.
Stakeholders and lawmakers have been anticipating the guidance for two years, since the 2018 Farm Bill gave the FDA authority over hemp-derived CBD. Representatives from the U.S. Hemp Roundtable and the National Industrial Hemp Council, both of which met with OMB to discuss the draft guide in late July, say the lack of regulatory clarity from FDA has led to uncertainty in the hemp and CBD industry.
A memo, issued by White House Chief of Staff Ronald Klain, calls on the heads of executive departments and agencies to “propose or issue no rule in any manner—including by sending a rule to the Office of the Federal Register [OFR]—until a department or agency head appointed or designated by the president after noon on January 20, 2021, reviews and approves the rule.” Previous administrations, including those of Trump and Barack Obama, issued similar memos to stop last-minute actions by the outgoing administration.
What this means for the nicotine business is unclear. It does not change the rules concerning the Sept. 9 deadline to submit a PMTA to be eligible to stay on the market for year. Because the rule was not formally published in the Federal Register by the U.S. FDA before the end of Trump’s presidency, the Biden administration could move forward with the rule as is, make changes to the rule or scrap the rules entirely.
An note on the Federal Register website reads,” The Food and Drug Administration withdrew this document while it was on public inspection. It will remain on public inspection until the close of business on January 27, 2021. A copy of the withdrawal request is available at the Office of the Federal Register.”
The White House memo also explains that it does not strictly apply to “rules” but also to “any substantive action by an agency (normally published in the Federal Register) that promulgates or is expected to lead to the promulgation of a final rule or regulation, including notices of inquiry, advance notices of proposed rulemaking, and any agency statement of general applicability and future effect that sets for a policy on a statutory, regulatory, or technical issue or an interpretation of a statutory or regulatory issue.”
January 27, 2021
Jose Maria Costa Joins Newco

Jose Maria Costa
Jose Maria Costa will join Newco’s global team as an advisor to management effective Feb. 1, 2021.
Over the course of his 28-year career, Costa held various managerial positions at Pyxus International and its predecessor companies. His most recent roles include executive vice president of value-added agricultural products in Lilongwe, Malawi; executive vice president of global operations and supply chain in Raleigh, North Carolina, USA; and regional director for Europe and the U.K.
In his new role, Costa will focus on growing Newco’s business through diversification and sustainability.
January 27, 2021
Heavy Smokers More Likely to be Hospitalized From Covid-19

Photo: Taco Tuinstra
A new study in JAMA Internal Medicine shows that heavy smokers are twice as likely as nonsmokers to be hospitalized from Covid-19. Heavy smokers are also 89 percent more likely to die from the coronavirus than nonsmokers.
Medics from The Cleveland Clinic in Ohio and Florida analyzed more than 7,000 coronavirus patients, looking at smoking history. Those with more than 30 years of smoking history showed higher instances of hospitalization and death.
“The findings showed a dose-response association between pack-years [number of years smoking] and adverse Covid-19 outcomes,” the medics wrote. “The results of this study suggest cumulative exposure to cigarette smoke is an independent risk factor for hospital admission and death from Covid-19.”
January 26, 2021
Higher-Nicotine Juuls May Facilitate Switching

Photo: Juul Labs
The nicotine delivery of Juul products available in the United States and Canada (59 mg/mL or 5 percent nicotine by weight) more closely resembles the nicotine delivery and experience of cigarette smoking than Juul products available in the European Union, which contain 18 mg/mL and/or 9 mg/mL of nicotine, according to a new study from Juul Labs published in Nicotine & Tobacco Research.
Researchers posited that heavier and more dependent smokers in particular may require the greater nicotine delivery of the higher nicotine concentration Juul pods (59 mg/mL) in order to successfully transition away from cigarettes.
The new study, which consisted of 24 adult smokers, assessed the nicotine delivery and subjective effects of combustible cigarettes compared to the Juul system with three nicotine concentrations: 59 mg/mL (U.S. and Canada), 18 mg/mL (U.K. and Canada) and 9 mg/mL (U.K.).
At each of five study visits, participants used one of four Juul products or smoked their usual brand of cigarette during controlled (10 puffs) and ad libitum use (5 minutes) sessions. Blood samples were collected, and levels of nicotine in the bloodstream were measured for each study product. Subjective effects, including relief of craving for cigarettes and withdrawal symptoms, were assessed 30 minutes after participants used each product.

The higher concentration (59 mg/mL) Juul product delivered significantly greater levels of nicotine and significantly reduced craving and withdrawal compared to the Juul with 18 mg/mL and 9 mg/mL nicotine concentrations. Researchers concluded that the lower nicotine delivery and craving relief from the 18 mg/mL and 9 mg/mL Juul pods available in the EU may limit the product’s ability to provide a satisfying alternative to cigarette smoking—particularly for more dependent adult smokers living in that region.
“When considering laws and regulations governing nicotine concentration in ENDS, policymakers should bear in mind that the availability of a variety of alternative nicotine products may facilitate even more smokers transitioning away from cigarettes,” said Mark Rubinstein, vice president of global scientific affairs at Juul Labs.
January 26, 2021
Pyxus to Divest Cannabis Business

Photo: Pyxus International
Pyxus International intends to divest its cannabis business in order to focus on its more profitable tobacco and e-liquid businesses. In addition, the company has taken action to restructure its industrial hemp and CBD operations to minimize financial investment in that business.
“Our strategic decision to exit cash-flow negative cannabinoid operations will allow us to reduce corporate SG&A [Selling, general and administrative expense] and sharpen our focus on growing our more profitable tobacco and e-liquid businesses such that these complementary businesses can fully leverage Pyxus’ 145-year heritage and existing relationships,” said Pieter Sikkel, president and CEO of Pyxus International, in a statement.
“We maintain our belief that there is value in FIGR and its growth can be accelerated with the right capital structure and partner. The completion of our financial restructuring, global operations efficiency program, and continued investment in agronomy, traceability and sustainability are proving to be of significant value to our tobacco customers as we have started to work together on long-term strategic partnerships that support our objective of growing our market share.”
In connection with the plan, the company’s three Canadian cannabis subsidiaries, FIGR Brands, Canada’s Island Garden (FIGR East) and FIGR Norfolk filed for and received protection from their creditors under the Companies’ Creditors Arrangement Act (Canada).

January 25, 2021
Californians to Vote on Flavor Ban

A referendum to overturn California’s ban on flavored tobacco products qualified on Friday, reports AP.
Voters will nw decide in November 2022 whether to uphold the ban. The law won’t take effect until voters have decided.
The ban restricts the sale of flavored products but doesn’t criminalize possession of these products. Loose-leaf tobacco, premium cigars and shisha tobacco are exempt. Flavors including, but not limited to, “fruit, chocolate, vanilla, honey, candy, cocoa, dessert, alcoholic beverage, menthol, mint, wintergreen, herb or spice” are included in the ban. Those caught selling banned products face a fine of $250.
Supporters of the law argue that these products are targeted at youth and Latino and Black communities while opponents of the ban argue that it goes too far and takes away products preferred by these communities while allowing continued sales of products preferred by wealthy communities.
Former state Senator Jerry Hill sponsored the legislation. He stated that his goal is to target products contributing to youth addiction, and he said tobacco companies are attempting to “delay the inevitable.”
“Voters are a lot smarter than Big Tobacco thinks they are,” Hill said.
January 25, 2021
Next Generation Assigns Patent

Photo: Martinmark – Dreamstime.com
Next Generation Labs (NGL), the world’s largest manufacturer of TFN R-S, S and R isomer nicotine, has assigned the rights of its Republic of Korea R-S nicotine manufacturing patent to NextEra Co.
NGL said it has taken this step “to help strengthen direct in-market enforcement efforts by NextEra against unscrupulous manufacturers who have attempted to ship unauthorized synthetic, nonsynthetic and, in some instances, counterfeit or mislabeled TFN synthetic nicotine vape products into the South Korea market.”
NextEra is NGL’s exclusive TFN partner and is the largest flavor formulator and distributor of synthetic nicotine vape products in South Korea. Under the assignment, NextEra products containing TFN will continue to be sold, and NextEra will use all means available to protect the market and prohibit violative brands from entering South Korea.
“This is a strategic patent assignment that will give NextEra the full freedom to use all legal means at its disposal to seek enforcement of existing intellectual property rights related for TFN recreational nicotine in the market,” NGL wrote in a statement
“Next Generation Labs fully expects NextEra to immediately take action against violators and utilize all necessary legal remedies against any business seeking to either: divert R-S nicotine product sales into South Korea from other markets, attempt to sell mislabeled tobacco-derived nicotine as a synthetic product, or to sell counterfeit TFN products in South Korea,” the company added.
The terms of the patent transaction have not been made public, and the transaction will not impact Next Generation Labs’ other patents in South Korea or impact control of patents in any other jurisdiction worldwide.
January 25, 2021
Tobacco Firms Named Top Employers

Image: Top Employer Institute
British American Tobacco (BAT), Japan Tobacco International (JTI) and Imperial Brands have been recognized by the Top Employers Institute.
BAT and JTI were certified as two of only 16 “Global Top Employers.” Imperial Brands was named a “Top Employer Europe” for a fourth consecutive year in 2021.
“Receiving Global Top Employer certification for the fourth-year running is a fantastic achievement as it acknowledges our commitment to creating an inclusive and innovative working environment that our employees enjoy being a part of,” said Hae In Kim, director, talent, culture and inclusion at BAT, in a press note.
“Our employees are our most important asset, and we are particularly proud of the resilience and determination they have displayed during the pandemic. Without doubt, they are a key driver in our continued strong performance as we transform our business and build A Better Tomorrow for all our stakeholders.”
“The Top Employer certification is not an end-in-itself,” said Steve Dyer, JTI’s vice president, global talent management, in a statement. “For us, it is confirmation that we have always been on the right track by making our workplace a safe and flexible environment for all our employees, whether they are farmers, scientists, office or factory workers.
“This seventh consecutive certification also sends a strong message to our future employees: we constantly give our people the opportunity to develop their career under the best conditions in order to perform to their highest abilities while being themselves.”
“I am delighted that Imperial has been recognised for another year with the Top Employer certification,” said Alison Clarke, chief people and culture officer at Imperial Brands, in a statement.
“Our HR Practices have been surveyed against an international benchmark with a thorough methodology. This accreditation is a symbol of the high standards that we aspire to deliver every day for our people.”
“Despite the challenging year we have experienced, which has certainly made an impact on organisations around the globe, our regional top employers have continued to demonstrate the power of putting their people first in the workplace,” said David Plink, CEO of the Top Employers Institute.
Top Employers Institute is the global authority on recognizing excellence in the conditions that businesses create for their people.
Companies participating in its prestigious certification program have the potential to gain top employer status following a comprehensive analysis of people development practices.
The institute’s analysis covers 600 practices across a number of areas including: talent strategy, workforce planning, on-boarding, learning and development, performance management, leadership development, career and succession management, compensation and benefits and culture.
January 25, 2021