Tag: Featured

Stories featured at the top of tobaccoreporter.com

Vuse Named ‘Pacesetter’

Photo: R.J. Reynolds Vapor Co.
R.J. Reynolds Vapor Co.’s (RJRVC) Vuse Alto and Vuse Ciro e-cigarettes were named two of the Top-10 product pacesetters by Information Resources Inc. (IRI), a data and analytics research group that closely monitors the consumer package goods (CPG) industry.
Each year top CPG brands are recognized as IRI New Product Pacesetters, a list highlighting innovation that are resonating most with consumers.
“Today’s adult nicotine consumers are looking for unique products that fit their modern-day lives, and Vuse has built a portfolio of options that have consumer moments in mind,” said Leila Medeiros, U.S. head of the Vuse brand.
“Our dynamic approach to developing vapor products, paired with our team’s unrivaled industry knowledge, global market scale and commitment to responsible marketing, means we can create brands that adult nicotine consumers prefer, and products that deliver unique, enjoyable and reliable experiences.”
R.J. Reynolds has submitted several Vuse products to the U.S. Food and Drug Administration for marketing authorization.
June 24, 2020
PM: Irish Menthol Ad Was A Mistake

Peter Nixon, managing director of Philip Morris for the U.K. and Ireland.
Photo: Dave Parker
Philip Morris has told Irish retailers it made a mistake in labeling its new Marlboro Bright brand as a “menthol blend’ in a trade press advertisement, reports The Irish Times.

The company introduced Marlboro Bright after menthol cigarettes became illegal across the European Union on May 20. The new brand replaces the company’s old Marlboro Green cigarettes.

Writing in Retail News, Peter Nixon, the managing director of Philip Morris for the U.K. and Ireland, said the advertisement should not have run.

The ad for retailers had described Marlboro Bright as “the Marlboro menthol blend—without methylation.”

Nixon said “methylation” was a typo that should have read “without menthol.” He insisted Marlboro Bright is a traditional cigarette without menthol and thus in compliance with the ban.

Public health advocates have been watching the tobacco industry’s actions closely in the wake of the EU ban. Earlier, Japan Tobacco International (JTI) was criticized for continuing to use menthol during the manufacturing process of its Silk Cut Choice Green brand.

JTI insisted this is legal as long as the additive does not result in a characterizing smell or taste in the cigarettes other than tobacco.

The Health Service Executive is investigating if any tobacco companies are in breach of the menthol ban.

The Irish market for menthol cigarettes was worth €250 million ($282.82 million) prior to the ban.
June 23, 2020
Dutch Plan to Ban Flavored Vapor in 2021

The Netherlands plans to ban flavored vapor products beginning sometime next year. The goal is to make vaping less attractive to young people, the government said on Tuesday.
Flavors currently available range from mojito and strawberry ice cream to mango and chocolate, the government said. With its sweet tastes and perceived lower health risks, vaping has rapidly become popular among young non-smokers, who are often seen to use them as a stepping stone to regular tobacco products, according to an article from Reuters.
“It is unacceptable that 20,000 people die every year in our country from the effects of smoking and that every day around 75 kids start smoking”, deputy health minister Paul Blokhuis said. “The smoke-free generation we see coming also needs to be free of electronic cigarettes.”
The government will refine the tobacco law to include the ban on flavored e-cigarettes, which is likely to take effect in the first half of next year, the government said. Tobacco-flavored vaping products will remain available, mainly to help regular smokers kick their habit, it said.
A Dutch government report in 2017 said that over a quarter of people aged 12-16 said they had tried vaping at least once. Electronic cigarettes and water pipes have been banned in the Netherlands for anyone under the age of 18 since 2016.
June 23, 2020
AR Packaging Consolidates Brands

Harald Schulz, CEO of AR Packaging
AR Packaging is incorporating all its brands under the AR Packaging identity.

The seven brands now becoming one are AR Packaging, A&R Carton, Flextrus, CC Pack, SP Containers, Maju Jaya and AR Packaging Digital. The four recently acquired brands Nampak Carton Nigeria, K+D, RLC Packaging and BSC Drukarnia Opakowan will also be incorporated under the new name.

According to AR Packaging, the move is in line with its corporate strategy as the company prepares for further growth organically and through acquisitions.

AR Packaging group of companies is one of Europe’s leading manufacturers in the packaging sector with net sales of more than €900 million ($1.02 billion) and factories in 13 countries.
June 23, 2020
New Leadership at Philippines’ National Tobacco Administration

Photo: PMFTC
Philippine President Rodrigo Duterte appointed Robert Victor Seares Jr. as administrator and chief executive officer of National Tobacco Administration (NTA) on June 10, reports The Philippine Star.
Seares took his oath before Malabon Regional Trial Court Judge Josie Rodil in a ceremony held at the NTA central office in Quezon City.
Previously the mayor of Abra, Seares Jr. replaces his father, Robert Seares Sr., who died on March 19 this year.
Seares Jr. vowed to continue the programs that his father started as well as protect the welfare of tobacco farmers.
An agency of the Department of Agriculture, the NTA aims to promote the interest of tobacco farmers and other industry stakeholders.
June 22, 2020
Andhra Pradesh to Intervene in Tobacco Auctions

Photo: Taco Tuinstra
The government of Andhra Pradesh said it will intervene in the tobacco auction to address pricing problems, reports The New Indian Express.

“In the next two [days] to three days, a special committee will be formed to solve tobacco farmers’ problems,” said Andhra Pradesh Chief Minister Y.S. Jagan Mohan Reddy on June 18.

In addition to fixing minimum prices for all tobacco qualities, the state government will require all licensed traders to participate in the auctions.

Nearly 20 million kg of low-grade and medium-grade varieties of tobacco, which account for most of the produce, have been rejected by traders this year. Growers also complained that buyers were staying on the sidelines. Of the 920 companies licensed to buy tobacco, fewer than 15 were participating in the auction, the growers said.
June 22, 2020
China Tobacco’s Overseas Unit Issues Profit Warning

China Tobacco International exports cigarettes and imports tobacco leaf from overseas markets.
Photo: Taco Tuinstra
China Tobacco International (CTI) warned its revenue and net profit may slump by 50 percent to 60 percent from a year ago during the first half of this year.

The company attributed the drop to seasonal fluctuation in the import of tobacco leaf products from Brazil. Also, the sales volume of cigarettes in duty-free outlets in China and the relevant regions declined significantly because of the drop in passenger traffic amid the coronavirus pandemic, the company said.

A subsidiary of the China National Tobacco Corp.—the world’s largest cigarette manufacturer—CTI primarily procures leaf tobacco for its parent company, earning revenue mainly from a fixed markup on the sale of leaves to domestic cigarette makers.

The international unit is also the sole exporter of Chinese cigarette brands such as Yuxi and Hongtashan to duty-free outlets. In May 2018, it began exporting heat-not-burn tobacco products made in China.
In June 2019, shares of CTI started trading on the Hong Kong Stock Exchange.
June 22, 2020
Pyxus to Delist From New York Stock Exchange

Photo: skeeze from Pixabay
The New York Stock Exchange (NYSE) has commenced proceedings to delist Pyxus International. Trading in Pyxus’ common stock has been suspended.
The NYSE determined that Pyxus is no longer suitable for listing under after the company filed for relief under Chapter 11 of the United States bankruptcy code. Pyxus does not intend to appeal the NYSE’s determination.
Pyxus’ common stock began to be quoted on the OTC Pink marketplace on June 17, 2020, under the symbol PYXSQ. Investors can find quotes for the company’s common stock on.
Pyxus does not expect a transition to the OTC Pink marketplace to affect the company’s operations.
“The company can provide no assurance that its common stock will continue to trade on this market, whether broker-dealers will continue to provide public quotes of the company’s common stock on this market, whether the trading volume of the company’s common stock will be sufficient to provide for an efficient trading market or whether quotes for the company’s common stock may be blocked by OTC Markets Group in the future,” Pyxus wrote in a statement.
June 22, 2020
South Korea to ‘Refresh’ Tobacco Health Warnings

Photo: KT&G
South Korea will introduce new graphic warning images this year, reports the Yonhap News Agency.

Of the 12 photos currently used on cigarette packs, nine will be replaced with new images starting Dec. 23, the Ministry of Health and Welfare said.

The new images will highlight the greater chances of smokers contracting lung and oral cancer, heart disease, stroke and early death, as well as the dangers of secondhand smoking and smoking during pregnancy.

Warning images showcasing the heightened risk of laryngeal cancer, sexual dysfunction and dangers posed by electronic cigarettes will be retained as they have been shown to be effective in enhancing risk awareness, according to the ministry.

South Korea’s rules require 75 percent of a cigarette pack to be covered in warning images and text. Images must account for 55 percent of the packs with both the front and back required to show graphic pictures. These images need to be revised every 24 months.
June 22, 2020
Co-founder Resigns From Boikon

Jeroen Oosterhof (right) and Erik Oosterhof
Jeroen Oosterhof has announced his resignation as co-director and co-owner of Boikon, a Dutch engineering firm that develops track-and-trace solutions for the tobacco industry, among other technologies.
Oosterhof founded Boikon almost 25 years ago with his brother Erik Oosterhof in an attic, where they made technical drawings. The firm has experienced considerable growth and evolved into a leading technological innovator serving a wide variety of industries.
In 2018, Boikon won a Tobacco Reporter Golden Leaf Award in the Most promising product introduction category for its Djura technology.
Erik will acquire Jeroen’s shares in Boikon and continue the company’s day-to-day management.
“Boikon is a great company with nice colleagues and relations,” said Jeroen. “I have full confidence in Erik continuing the company and wish Boikon and all her relations a bright future.”
June 22, 2020