Tag: Featured

Stories featured at the top of tobaccoreporter.com

  • Zimbabwe: Tobacco Has Kept Covid at Bay

    Zimbabwe: Tobacco Has Kept Covid at Bay

    Photo: Taco Tuinstra

    Zimbabwe has kept Covid-19 at bay during the 2020 tobacco selling season, reports The Sunday Mail. According to the Tobacco Industry and Marketing Board (TIMB), here have been no reported cases of infection at tobacco auction floors since marketing began on April 29.
     
    Tobacco sales have traditionally concentrated in the Zimbabwe’s capital, Harare. To prevent spread of the coronavirus, the TIMB distributed sales throughout the country. Sales this year also took place in Manicaland, Mashonaland West and Mashonaland Central. The Boka Tobacco Floors, for example, established new sales floors in Karoi, Mvurwi and Rusape.
     
    The TIMB also banned informal trading outside the sales venues. Farmers were not allowed to sleep outside the floors while waiting to sell the commodity.
     
    “I am pleased to say that there has been no confirmed case(s) of the coronavirus infection at all the floors. As the tobacco industry regulator, we put in place strict measures that are meant to curb the spread of the disease, and it has worked thus far,” said TIMB chief executive officer Andrew Matibiri.

    Tobacco Reporter covered Zimbabwe’s unusual 2020 selling season in depth in its June print edition.

  • JTI Warns of ‘Gathering Storm’ in Black Market

    JTI Warns of ‘Gathering Storm’ in Black Market

    Photo: dexmac from Pixabay

    Japan Tobacco International (TJI) has published a report, independently verified by Intrinsic Insight, entitled ‘The Gathering Storm’, on how the illegal tobacco trade is operating during the Covid-19 pandemic and preparing to reap the rewards in the economic aftermath.

    Law enforcement agencies around the world have welcomed the report, which is based on 63 field studies, conducted across 50 countries including Russia, Canada, Malaysia and the Philippines where tobacco smugglers currently have a strong presence. JTI intelligence found that the global public health crisis and financial downturn has created the conditions for a ‘perfect storm’ where organized criminal groups will further exploit public demand for cheap goods, and capitalize on dwindling buying power in the impending global recession, particularly in countries with high tax regimes.

    The report has provided JTI with a global picture of four emerging trends, consistent with Euromonitor and Europol intelligence:

    1. Evidence shows that criminal groups are biding their time in readiness for an anticipated boom in illegal tobacco sales
    2. Western countries have seen relatively little reduction in the production and availability of illegal tobacco. Since April 2020, local enforcement agencies have made significant seizures of illegal factories or their components in the Czech Republic, Greece, Ireland, Belgium and Spain
    3. Changed law enforcement priorities and border restrictions have been mixed in limiting supply and the availability of illegal tobacco: whilst governments and authorities in Far East Asia were quicker to impose restrictions, those in the West failed to act with such precision
    4. Technology has been increasingly deployed throughout the pandemic to enable sales of illegal tobacco to continue where strict lockdowns were put in place by governments throughout Eastern Europe, the Middle East, Africa and Asia Pacific, where WhatsApp and Facebook have provided quick and easy methods of communication between the consumer and criminals. Furthermore, the International Chamber of Commerce predicts that global counterfeit trade will reach $4 trillion by 2022, primarily fueled by e-commerce.

    According to the World Bank, the global trade in illegal tobacco is already worth an estimated $40 billion-to-50 billion each year to the criminal groups who produce, manufacture, smuggle, distribute and sell tobacco products on which there is no tax duty paid. The loss of revenue to law-abiding retailers is also significantly felt, as is the impact on consumers who are lured into buying sub-standard products.

    “To some consumers illegal tobacco is a victimless crime, which is why we need to inform them not only of the hidden dangers they are consuming, but the wider social consequences of buying from criminal groups who also traffic people and arms,” said Ian Monteith, JTI’s global anti illicit trade director. “Our report, shared with over 160 law enforcement agencies across the world, is the first of its kind for intelligence gathering during the pandemic, and we hope it will serve as a warning to governments of ‘the gathering storm’ in the black market.”

    To tackle ‘the gathering storm,” JTI is calling for:

    • Improved enforcement at national borders
    • Improved intelligence sharing through public and private partnerships between all industries and law enforcement agencies
    • Exploration of fiscal measures that will allow consumer confidence to grow and avoid the temptation to spend on illegal products
    • Coordinated global campaigns to inform consumers through increased awareness about the dangers of illegal tobacco and the consequences that arise through its trade.
  • Hangsen Releases Synthetic Nicotine

    Hangsen Releases Synthetic Nicotine

    Image: Hangsen

    Hangsen Technology has released of SYN Nicotine, the company’s first series of synthetic nicotine products. The inaugural batch of custom-made SYN Nicotine e-liquids will be used in Geek Vape’s Geek Bar product, which is set to launch soon in North America.

    “When it comes to nicotine, the first thing people think of is tobacco,” said Howard, executive director of Hangsen Technology, in a statement. “Whether it’s traditional tobacco, electronic cigarettes or medicinal nicotine, almost all vaping e-liquids in today’s market uses tobacco-derived nicotine. However, there is a way to produce non-tobacco nicotine, which is also known as synthetic nicotine. SYN Nicotine is devoid of many of the harmful impurities that tobacco-derived nicotine contains and is an ideal alternative for manufacturers who may not wish to use pure nicotine derived from tobacco.”

    Hangsen Technology says it was both the first PG/VG e-liquid maker and the first to use natural plants as ingredients in the industry. The company has continued to invest in the research and development of e-liquids during its 10+ years of providing high-quality products around the world.

    In 2019, Hangsen Technology entered the field of synthetic nicotine. According to Hangsen, the SYN Nicotine series boasts the same smoke and taste and satisfaction as other nicotine products but without residue of harmful impurities.

    All SYN series products must also pass the China National Accreditation Service for Conformity Assessment standard laboratory accreditation and other testing certifications.

  • KT&G Highlights its 2019 Social Contributions

    KT&G Highlights its 2019 Social Contributions

    Photo: KT&G

    KT&G has published a report detailing the company’s social contribution activities in 2019.

    Unlike most South Korean companies that disclose only integrated environmental, social and governance reports, KT&G has been publishing a separate social contribution report since 2018.

    KT&G practices social responsibility based on three core values—hope, coexistence and creativity. The report highlights the achievements of KT&G’s Welfare Foundation, Scholarship Foundation and Youth Startup, among other initiatives.

    In 2019, KT&G the Minister of Employment and Labor recognized KT&G for its contributions toward fostering social enterprises. The company was also certified as an “excellent organization sponsoring culture and arts” by the Ministry of Culture, Sports and Tourism.

    In the report, KT&G also presents various activities to overcome the Covid-19 crisis. For example, in February, KT&G launched its Covid-19 Response Contingency Plan, which included monetary donations, customized support for vulnerable people and psychological support to those suffering from the pandemic.

    “KT&G has taken the lead in creating social values as a leading company in sustainability management, and has faithfully reflected these details in the report,” said Kim Kyung-dong, KT&G director of social contribution, in a statement. “We will continue to fulfill our social responsibilities as a corporate citizen and do our best to coexist with the local community.”

  • RAI Recognized as ‘Great Place to Work’

    RAI Recognized as ‘Great Place to Work’

    Photo: RAI

    For the fourth consecutive year, Reynolds American Inc. (RAI) has been certified as a “great place to work” and has again been named by Fortune as one of its 2020 Best Workplaces.

    With more than 85 percent of employees stating that the company is a great place to work, these honors underscore Reynolds’ ongoing dedication to creating A Better Tomorrow by actively promoting and fostering an inclusive and positive work culture that supports the company’s success, according to the company.

    Guy Meldrum

    “We are extremely proud that our employees continue to have a positive and high-trust experience here at Reynolds, enabling us to once again be certified as a great place to work. We always strive to make our organization a place where all our employees thrive and always feel accepted, appreciated and valued,” said Guy Meldrum, president and CEO of RAI in a statement. “Our steadfast commitment to continuous learning and development, and also to living by our ethos and our diversity and inclusion principles, enables us to innovate, transform and drive better business results.”

    RAI says attracting and retaining top talent is one of the key drivers of the transformation taking place at the firm. The company continues to implement progressive policies and programs, and offers first-in-class benefits, including:

    • A comprehensive parental leave policy with 16 weeks of paid leave for new parents
    • Employee resource groups comprising individuals with common interests or backgrounds and their allies
    • The Women of Transformation initiative, a corporate effort to highlight and celebrate innovative female leadership
    • On-site health clinics and cafeterias
    • Tuition reimbursement programs and company-wide bonus plans
    • Enhanced policies, programs and benefits aimed at optimizing employee safety and health, particularly during the Covid-19 pandemic

    “Recruiting and developing a talented, high-performing workforce is our top priority,” said Anna Dolgikh, Reynolds’ senior vice president, human resources. “To drive our business forward, we have accelerated our efforts to develop a strong, diverse bench of transformational leaders across the organization and to enhance our support of employee volunteerism for civic and charitable causes.”

  • Guerra Joins BAT as Non-Executive Director

    Guerra Joins BAT as Non-Executive Director

    Karen Guerra will join the board of British American Tobacco (BAT) as an independent non-executive director and member of the nominations and remuneration committees with effect from Sept. 14, 2020.

    Guerra has been a non-executive director of Amcor PLC since June 2019 and Electrocomponents since January 2013.

    Previously, Guerra has held a variety of executive roles, including president and director general of Colgate Palmolive France, and chairman and managing director of Colgate Palmolive UK. Guerra has also served as a non-executive director of Swedish Match, Davide Campari-Milano, Paysafe, Inchcape and Samlerhuset.

    “I would like to welcome Karen to the Board of British American Tobacco,” said Richard Burrows, chairman of BAT, in a statement. “Karen brings with her a range of valuable international experience, particularly in marketing and consumer goods, and I am looking forward to her contribution to the board.”

  • Zimbabwe Deliveries Exceed 181 Million Kg

    Zimbabwe Deliveries Exceed 181 Million Kg

    Photo: Taco Tuinstra

    Tobacco farmers in Zimbabwe have earned US$452 million from leaf sales to date this season, reports The Herald citing statistics from the Tobacco Industry and Marketing Board.

    Tobacco deliveries have surpassed 181 million kg as contract floors continue to receive leaf despite the curtain coming down on the selling season for auction floors late last month.

    The 2020 tobacco auction season closed on August 28.

    The volume received so far is 24 percent smaller than that sold by farmers during the same period last season.

    Auction sales were down due to the decentralization that was implemented to avoid the spread of the coronavirus.

    On day 89, farmers had sold 171.5 million kg of tobacco worth US$426 million through the contract floors, while auction floors sold a cumulative 9.1 million kg of tobacco worth US$27.7 million.

    The highest price offered by buyers at the auction floors remained at US$4.99 per kg, while that of the contract floors was US$6.60 per kg.

    Following a radical program of land reform, Zimbabwe’s tobacco business is now dominated by small-scale growers.

    Tobacco Reporter last covered the market in-depth in 2018.

  • Japanese Firm to Invest in Azerbaijan

    Japanese Firm to Invest in Azerbaijan

    Photo: Taco Tuinstra

    A Japanese company plans to invest $40 million in tobacco growing in Azerbaijan, reports AzerNews.

    The initiative was discussed during a meeting between the vice president of the National Confederation of Entrepreneurs of Azerbaijan, Vugar Zeynalov, and the vice president of the Japan International Development Co. (JIDC), Munechika Tanio.

    JIDC comprises more than 1,000 investors and has been working in Azerbaijan since last year.

    Tanio stressed that an initial investment has been made in tobacco, and a tobacco drying station has been built in the Oguz region of Azerbaijan. In addition, funds are being invested for this purpose in Tovuz region.

    About 100 Japanese investors are expected to visit Azerbaijan in October to gather detailed information in various areas during their visit to region.

  • U.S. Youth Vaping Down Significantly

    U.S. Youth Vaping Down Significantly

    Photo: Aliaksandr Barouski – Dreamstime.com

    Youth e-cigarette use declined significantly in the U.S., according to results of the 2020 National Youth Tobacco Survey, which were released by the U.S. Food and Drug Administration (FDA) and the Centers for Disease Control and Prevention (CDC) yesterday. The drop comes after two years of increases in youth vaping.

    The data show 1.8 million fewer U.S. youth are currently using e-cigarettes compared to 2019. While overall use has declined, there was an increase in use of disposable e-cigarettes. Of high school e-cigarette users, 26.5 percent used disposable e-cigarettes compared to 2.4 percent in 2019. For middle school e-cigarette users, 15.2 percent reported disposable e-cigarette use compared to 3 percent in 2019. Flavored products, such as fruit, mint, candy, and menthol, were reportedly used by 8 out of 10 youth e-cigarette users.

    In 2020, 19.6 percent of U.S. high school students (3.02 million) and 4.7 percent of middle school students (550,000) reported current e-cigarette use. Among current e-cigarette users, 38.9 percent of high school students and 20 percent of middle school students reported using e-cigarettes on 20 or more of the past 30 days; 22.5 percent of high school users and 9.4 percent of middle school users reported daily use. Among all current e-cigarette users, 82.9 percent used flavored e-cigarettes, including 84.7 percent of high school users (2.53 million) and 73.9 percent of middle school users (400,000).

    Among high school current e-cigarette users, the most used device types were prefilled pods or cartridges, followed by disposables and tanks. Among middle school current e-cigarette users, the most used device types were prefilled pods or cartridges, followed by tanks and disposables.

    Health advocates attributed the decline to a combination of public education and cessation efforts, along with public policy actions. Last fall, several state governors took emergency action to halt the sale of flavored e-cigarettes. In November 2019, Massachusetts became the first state to pass a law prohibiting the sale of all flavored tobacco products, including flavored e-cigarettes.

    In first four months of 2020, New Jersey, New York and Rhode Island enacted bans on the sale of flavored e-cigarettes, and last week California became the second state to prohibit the sale of both flavored e-cigarettes and menthol cigarettes.

    Nicotine industry representatives welcomed the decline in youth e-cigarette use.

    “We are encouraged that underage use has declined significantly, which shows the importance of evidence-based interventions,” Juul Labs wrote in a statement.

    Health advocates said the decline was not enough.

    “It is good news that the results of 2020 National Youth Tobacco Survey released today show a significant decline in youth e-cigarette use after two years of alarming increases. However, youth e-cigarette use remains unacceptably high at nearly 20 percent of high school students and more than 3.5 million kids altogether,” representatives of the Campaign for Tobacco-Free Kids, The Truth Initiative and Bloomberg Philanthropies wrote in joint press note.

  • Florida Governor Vetoes Flavor Ban

    Florida Governor Vetoes Flavor Ban

    Image: PixaBay

    Florida Governor Ron DeSantis vetoed a bill to raise the age to buy tobacco products from 18 to 21 because it would have also banned the sale of flavored liquid nicotine products used in vaping.

    DeSantis said that hundreds of thousands of Floridians vape as a lower risk alternative to smoking.

    “This legislation would almost assuredly lead more people to resume smoking cigarettes and it would drive others to the hazardous black market,” DeSantis wrote, citing lung injury associated with black market products.

    Federal law, he pointed out, already raised the age to buy tobacco to 21.

    DeSantis said eliminating legal products for adults would not reduce youth vaping. He said it also would devastate small businesses that sell vapor products.