Tag: Featured

Stories featured at the top of tobaccoreporter.com

  • In Memoriam: William Maksymowicz

    In Memoriam: William Maksymowicz

    Photo: <a href="https://www.dreamstime.com/close-up-orange-candle-flame-lily-flowers-dark-background-image153705634" NetPix – Dreamstime.com

    Tobacco agronomist William “Bill Maks” Maksymowicz of White House, Tennessee, USA, died Nov. 27, 2020.

    Born Jan. 15, 1949, in Providence, Rhode Island, USA, Maksymowicz earned a bachelor of science degree in agronomy from Clemson University in 1971, a masters of science degree in agronomy from the University of Kentucky in 1973, and a PhD in plant physiology from Clemson University in 1988.

    Following completion of his PhD, he served on the faculty of the University of Kentucky for 13 years. He then joined the Vector Corp., where he worked for five years before joining Burley Stabilization Corp. where he worked until his death.

    He is survived by his wife, Melinda Maksymowicz; son and daughter-in-law, Gerald and Catharine Johnson; brother and sister-in-law, Dan and Alice Maksymowicz; and grandchildren, William and Richard Johnson.

  • Vype Has Cigarette Levels of Nicotine

    Vype Has Cigarette Levels of Nicotine

    Photo: BAT

     Vype ePen 3, British American Tobacco’s (BAT) flagship vapor product, can provide smokers with similar levels of nicotine as standard cigarettes, according to new research. If used exclusively, ePen3 could help smokers avoid many of the risks associated with smoking, BAT said in a statement.

    The Scientific Reports study compared both Vype ePen 3 and Vype ePen 2 to combustible cigarettes. It assessed a variety of e-liquids and nicotine strengths for each product and how nicotine concentration and delivery device combined to affect user preference.

    Results from the study show that Vype ePen 3 was superior to Vype ePen 2 for nicotine delivery and ranked significantly higher for user satisfaction, with the newer device scoring nearly double for likability compared to its predecessor.

    The study showed that the maximum concentration of nicotine in the blood after using the Vype ePen 3 (18 mg/mL protonated nicotine) was on average twice that achieved using Vype ePen 2 (18 mg/mL unprotonated nicotine). 

    David O’Reilly

    “We know that for many smokers, nicotine levels are an important factor in choosing a vaping product, particularly when initially switching,” said David O’Reilly, BAT’s director of scientific research.

    “They want it to work for them, delivering the nicotine they want in a device they like. We think we have achieved this with Vype ePen 3 and hope that through continued product innovation we can encourage and enable those who would otherwise continue to smoke to switch to a reduced-risk alternative which has been scientifically substantiated.”

    This study is a part of a comprehensive program of scientific research designed to assess and substantiate the reduced-risk potential of noncombustible products.

  • Opportunities for Tax Stamps Highlighted

    Opportunities for Tax Stamps Highlighted

    Photo: Reconnaisance International

    New investment in track-and-trace systems, rising excise taxes and wider commercial applications will drive tax stamp growth in the next five years, according to a new report published by Reconnaissance International.

    The third edition of the “Tax Stamps & Traceability: A Market Analysis and Technical Update” identifies cannabis and vapor products as new markets for tax stamps to tap into at a time when the continued trade in illicit tobacco and alcohol sees revenue agencies using the devices as effective weapons in the fight against counterfeiters and criminals.

    The report also points to the fact that by 2023, tobacco products in at least 60 countries will need to have track-and-trace systems in place to comply with the World Health Organization’s (WHO) Framework Convention on Tobacco Control (FCTC) Protocol to Eliminate Illicit Trade in Tobacco Products. This could open up additional tax stamp markets and more commercial opportunity for an established product.

    Nicola Sudan

    “This is an important strategic report, offering insight, analysis and to those with a vested interest in tax stamps, the knowledge needed to progress with their own plans in this burgeoning sector,” said the report’s editor Nicola Sudan of Reconnaissance International. “Tax stamps offer a cost-effective way to secure excise revenue, while the authentication benefits provided cannot be overstated. It is why they will continue to be highly regarded and used by revenue authorities around the world well into the future.

    “So whether your country, state or jurisdiction currently uses a tax stamp scheme, or is considering investing in such a scheme, it would be beneficial to find out what a modern program can deliver and why now is the right time to introduce them or expand your current scheme. This report will aid in making the right decisions and choices.”

  • PMI Announces New Parental Leave Policy

    PMI Announces New Parental Leave Policy

    Photo: PMI

    Philip Morris International (PMI) will launch a new parental leave scheme that focuses on “people raising families” rather than the gendered stereotype of “women having children.” It will go into effect Jan. 1, 2021.

    The new global minimum parental leave principles will be implemented in phases across all markets as part of PMI’s commitment to creating an inclusive and diverse workforce.

    PMI’s new minimum leave principles will provide primary caregivers with a minimum of 18 weeks fully paid parental leave and secondary caregivers with a minimum of eight weeks fully paid parental leave. Countries may exceed these principles if, for example, local laws require it or local management teams choose to implement a different package.

    “Our new minimum parental leave principles are inclusive as they apply to all employees regardless of gender or sexual orientation and regardless of whether they become parents through birth, adoption or surrogacy,” said Silke Muenster, PMI’s chief diversity officer, in a statement. “I see it as another demonstration of how PMI is creating a more inclusive, diverse work environment to meet the challenges and expectations of our people for the 21st century workplace.”

  • Consumer Group Urges Law Enforcement

    Consumer Group Urges Law Enforcement

    Fred Roeder

    The Consumer Choice Center has released a new report that considers existing age restrictions on the sale of vaping products and then suggests several policies to reverse low enforcement rates of current rules.

    To reduce the rate of vaping by youth, the Consumer Choice Center report recommends four actions:

    • Enforce strict age restrictions on vaping devices and liquids at the point of sale.
    • Use modern age-verification technology for online sales.
    • Learn from other industries such as alcohol and fireworks on how to improve compliance rates.
    • Retail and industry should be encouraged to be more proactive with the enforcement of rules.
    • Don’t punish legal adult vapers for the lack of enforcement of age restrictions.

    According to Fred Roeder, health economist and author of the report, most countries have already enacted age-to-purchase laws.

    “We don’t face a lack of legislation but a lack of compliance with existing rules and regulations. We looked at similarly regulated industries such as alcohol and gambling and found that these tend to have smarter enforcement mechanisms,” he wrote.

    “There are many innovative tools out there to ensure only adult customers can buy vaping products. Digital ID checks and industry initiatives to ID customers that look young are better ways to solve the problem than additional laws such as flavor bans.”

  • Trade Body Holds Seminar on Tax Stamps

    Trade Body Holds Seminar on Tax Stamps

    Photo: ITSA

    The International Tax Stamp Association (ITSA) will hold a seminar on Dec. 3 examining the central role tax stamps play in securing revenues as international supply chains continue to be threatened by counterfeiters and smugglers take advantage of the Covid-19 pandemic to trade in illicit tobacco.

    The trade in fake tobacco is worth between $40 billion and $50 billion annually worldwide and churns out more than 600 billion fake cigarettes, according a 2020 World Bank Report.

    Properly implemented tax stamp and traceability programs can help governments protect and recoup much-needed revenues as they battle to get their public finances back on track, says ITSA.

     “The need for tax programs has increased dramatically in the global coronavirus pandemic, which has seen government revenues plummet, deficits rise, and debt levels swell to eye-watering proportions,” said Juan Carlos Yanez, chair of ITSA.

    “Whether your country, state or jurisdiction currently uses a tax stamp scheme or is considering introducing such a scheme, it would be worth finding out what a modern initiative can deliver and why now is the right time to introduce or expand your current scheme.”

    Webinar attendees also have the chance to discuss the importance of effective production monitoring and the need for a global information sharing focal point that facilitates the exchange of important data and best practice between countries.

    More than 150 revenue agencies (national and state governments) globally use tax stamps to collect tax duties and excise payments, involving the worldwide production of some 140 billion stamps annually. As well as providing visible proof of tax payment and revenue collection, tax stamps have also taken on a key role in product authentication, anti-tampering and track and trace applications.

  • New Market Placement Rules on Jan. 1

    New Market Placement Rules on Jan. 1

    Illustration Skypixel – Dreamstime.com

    Vapor companies that want to place an e-cigarette on the U.K. market will have to send their notifications through different routes after Jan. 1 due to Brexit.

    The Medicines and Healthcare products Regulatory Agency (MHRA) will remain the competent authority for the notification scheme for e-cigarettes and refill containers in Great Britain and Northern Ireland.

    From January 2021 producers of nicotine-containing electronic cigarettes and refill containers will be required to:

    • Submit notifications for Great Britain using the MHRA Submission Portal
    • Submit notifications for Northern Ireland using the European Common Entry Gate (EUCEG)

    Retailers do not need to submit information for any products they sell unless they also qualify as a producer.

    The U.K. government has published several guidance documents and videos explaining the process on its website.

    Click here to read Tobacco Reporter‘s in-depth analysis of Brexit’s impact on the tobacco and vapor industries.

  • ITGA Concludes First Online Annual Meeting

    ITGA Concludes First Online Annual Meeting

    Image: ITGA

    The International Tobacco Growers’ Association (ITGA) held its 35th annual general meeting online for the first time in history. This new experience presented a unique opportunity to open the session to a wider range of participants. As a result, the event attracted 174 attendees from four continents and 24 countries.

    The 2020 gathering kicked off with the finance committee on Nov 18th, a closed session for ITGA members only, followed by the “issues day” on Nov 24.

    The issues day was opened by Malawi’s Minister of Agriculture, Robin Lowe, who discussed the challenges and prospects facing growers in the wake of a global pandemic and deepening economic crisis. Lowe reinforced the government of Malawi’s commitment to the tobacco sector and all its stakeholders.

    ITGA President Abiel Kalima Banda emphasized the resilience of the tobacco sector and the importance of collaboration throughout the supply chain, while Antonio Abrunhosa, ITGA’s CEO, stressed the mission of the association, as the only global voice of tobacco growers, to defend the growers from the effects of new regulations that are putting ever more pressure on their daily activities.

    The panel comprised 14 speakers that covered a wide range of topics, including a global tobacco market overview, innovations for sustainable agriculture, social and environmental good practices.

    ITGA tobacco industry expert Ivan Genov analyzed the tobacco leaf market providing the latest production data and forecasts. Despite the prevailing volume declines across multiple markets, Shane MacGuill, Euromonitor’s senior head of tobacco research, noted that the consumption of tobacco products remained stable amid the pandemic. However, the crisis could establish a new, more restrictive normal for tobacco control, he added.

    MacGuill also discussed the emerging demand for new substances and the growth potential of the legal cannabis market. In relation to the increasing need to diversify, William Snell, co-director of the Kentucky agricultural leadership program highlighted opportunities in the hemp industry.

    The issues day also featured representatives from major tobacco manufacturers, merchants and suppliers. Speakers included Vuk Pribic, leaf supply chain due diligence director at Japan Tobacco International; Carlos Palma, sustainable agriculture global manager at British American Tobacco; Lea Scott, vice-president of agronomy services at Universal Leaf Tobacco Co.; and Gary Foote, head of global sustainability at Alliance One International.

    UNITAB Secretary General Przemyslaw Noworyta discussed the future of tobacco growing in the European Union; Heliodoro Campos Castillo, manager of the National Tobacco Fund in Colombia highlighted the tobacco-growing sector’s resilience in Colombia; and Mayiwepi Jiti, founder and president of Zimbabwe Integrated Commercial Farmers Union shared her view on the agricultural labor practices and challenges in the country.

    Karima Jambulatova, executive director at ECLT Foundation, and Nadia Fengler Solf, manager at the Growing Up Right Institute addressed the problem of child labor.

    Matija Zulj, CEO of AGRIVI, and Rodrigo Tissera, head of business at KILIMO, shared their visions on innovation in the tobacco sector with presentations about e-agriculture.

  • Malawi Gears up for Cannabis Production

    Malawi Gears up for Cannabis Production

    Malawians are hoping that hemp earnings will help offset declining tobacco revenues.
    (Photo: Taco Tuinstra)

    Malawi is ready to start commercial production and processing of cannabis for medicinal and industrial use, reports Reuters, citing the country’s newly created Cannabis Regulatory Authority.

    In February, Malawi’s parliament passed a bill that makes it legal to cultivate and process cannabis for medicines and hemp fiber used in industry but stops short of decriminalizing recreational use.

    The board chair of Malawi’s regulator, Boniface Kadzamira, said his board had received more than 100 applications for licensing which were under review.

    The license fees will range from $100 to $10,000 a year for the cultivation, selling, storage, distribution of industrial and medicinal hemp.

    Kadzamira believes hemp has the potential to surpass earnings from tobacco, currently the country’s main export crop.

    Malawi’s earnings from tobacco have fallen dramatically over the years in part due to declining demand and poor weather.

    During the 2020 season, Malawi’s tobacco output fell by 31.3 percent, resulting in a 26.4 percent decline in the country’s overall tobacco revenues.

    Due to the disappointing earnings, the country’s tobacco auctioneer, Auction Holdings, has failed to pay salaries for the last two months.

  • New York Top State for Tobacco Smuggling

    New York Top State for Tobacco Smuggling

    Map: Tax Foundation

    Excessive tax rates on cigarettes in some U.S. states induce substantial black and gray market movement of tobacco products into high-tax states from low-tax states or foreign sources, according to a new report by the Tax Foundation.

    New York has the highest inbound smuggling activity, with an estimated 53.2 percent of cigarettes consumed in the state deriving from smuggled sources in 2018. New York is followed by California (47.7 percent of consumption smuggled), Washington (40.1 percent), New Mexico (36 percent), and Minnesota (35.8 percent).

    New Hampshire has the highest level of outbound smuggling at 66.8 percent of consumption, likely due to its relatively low tax rates and proximity to high-tax states in the northeastern United States. Following New Hampshire is Idaho (27.4 percent outbound smuggling), Wyoming (23.1 percent), Virginia (22.8 percent), and North Dakota (20 percent).

    Rhode Island, following a cigarette tax increase from $3.75 to $4.25 in the Summer of 2017, has seen a significant increase in smuggling into the state, moving it from a ranking of 18th to 8th highest inflow of cigarettes in the U.S.

    Cigarette tax rates increased in 39 states and the District of Columbia between 2006 and 2017.

    “Lawmakers interested in taxing and regulating electronic cigarettes should understand the policy trade-offs related to high taxation or bans of nicotine products,” the Tax Foundation wrote in its report. “With distribution networks already well-developed, criminal gangs are poised to expand into vapor products.”