Tag: Featured

Stories featured at the top of tobaccoreporter.com

Consumer Group Urges Liberal Tobacco Policies

Illustration: The Consumer Choice Center
The liberalization of vaping has considerable potential to help millions of people switch from traditional tobacco smoking to vaping, according to the Consumer Choice Center (CCC). Vaping is widely believed to be a less harmful way of consuming nicotine than smoking.
The CCC examined 61 countries and assessed how “smart” tobacco harm reduction policies could make the switch easier.
Fred Roeder
“We looked at 61 countries (including the U.K.) around the world and compared the current rate of daily and occasional vapers,” said Fred Roeder, health economist and managing director of the CCC. “We used the United Kingdom’s progressive tobacco harm reduction policies as a reference point and estimated how many current smokers could be helped to switch to vaping by having a more permissive vaping framework.”
“More liberal rules on advertising to smokers, displaying products at the point of sale for cigarettes, lower taxation, and public health bodies endorsing the evidence of vaping being at least 95 percent less harmful than traditional smoking can help smokers to switch to vaping.”
The CCC estimates that nearly 200 million adults in the analyzed 60 countries could switch to vaping and urges public health bodies and regulators to endorse tobacco harm reduction
June 1, 2020
The Global Forum on Nicotine 2020 Moves Online

Photo: Rudy and Peter Skitterians from Pixabay
The Global Forum on Nicotine (GFN) will take place online June 11-12, 2020, following the cancellation of the face-to-face event in Warsaw due to Covid-19.
The conference is free of charge and open to everyone with an interest in nicotine science and policy.
During the conference, experts will discuss advances in nicotine science, the ethical arguments in favor of tobacco harm reduction and the human rights issues for all those who advocate for the right to health will be explored.
“As always, and perhaps even more so in this critical year, GFN is open to everyone with an interest in nicotine science and policy,” said Paddy Costall, co-director of the conference.
“It is open to everyone who wants to reduce the toll of tobacco-related death and disease worldwide. And it is open to everyone who recognizes that global tobacco control will fail without the strategic addition of tobacco harm reduction, in the form of widespread access to safer nicotine products. We look forward to welcoming you on the 11 and 12 June—and hope to see many of you in Warsaw, where we plan to meet again in June 2021.”
Participants can register now.
May 29, 2020
E-Cigarettes Gain Popularity in Taiwan

Youth smoking is up for the first time in a decade, according to government figures. Photo: Taco Tuinstra
The number of young Taiwanese people smoking rose for the first time in a decade in 2019, reports Taiwan News, citing a report by the Ministry of Health and Welfare’s Health Promotion Administration.
Remarkably, considering that e-cigarettes are illegal in Taiwan, the popularity of vaping rose by half.
An estimated 81,000 young Taiwanese smoked combustible cigarettes last year, while 57,000 youths vaped, Central News Agency (CAN) reported.
The survey found that the proportion of junior high school students with a smoking habit rose from 2.8 percent in 2018 to 3 percent in 2019, and the proportion of senior high school students from 8 percent to 8.4 percent.
Four out of every 10 young smokers smoke flavored cigarettes, which are more popular with women, the study discovered. The most popular motivator to start smoking cited was curiosity, followed by “seeing other people smoke,” parents smoking and the desire to relieve pressure.
The popularity of vaping among young people surged from 2.7 percent in 2018 to 4.2 percent last year, with male senior high school students the most likely category to use e-cigarettes.
May 29, 2020
Health Labels Planned for October 2021

Image: FDA
The U.S. Food and Drug Administration (FDA) has set Oct. 16, 2021, as the new effective date for graphic health warning labels for combustible cigarettes.
The FDA signed off March 18 on a new set of 11 graphic warning labels for traditional cigarettes that are toned down considerably from its first attempt in 2012, which was abandoned after an industry legal challenge.
The new set of warnings contains images of diseased lungs, a man experiencing erectile dysfunction, a man with surgical stitches from heart or lung surgery and a child with an oxygen mask. But there is no smoke coming out of a tracheal hole, no cadaver and no photo of a man who appears deathly ill, as the FDA proposed.
The labels must cover the top 50 percent of the front and rear panels of packages, as well as at least 20 percent of the top of advertisements. The messages must be randomly and equally displayed and distributed on cigarette packages and rotated quarterly in cigarette advertisements.
The warnings were mandated by a federal judge for cigarette packaging and marketing. The ruling does not affect other tobacco products, such as electronic cigarettes.
Initially, the agency set a deadline for June 18, 2021. However, on April 3, Philip Morris USA, R.J. Reynolds Tobacco Co., ITG Brands and Liggett Group filed a joint motion requesting a preliminary injunction on implementing the labels and a ruling to prohibit enforcement. The manufacturers insist that the labels violate the First Amendment of the U.S. Constitution, which guarantees free speech.
On May 8, the FDA and the manufacturers filed a joint motion to extend the deadline by 120 days. The manufacturers said the pandemic has complicated their ability to meet the June 18, 2021, deadline.
Despite the postponement of the deadline, the FDA urged manufacturers to submit plans for compliance as soon as possible.
“Early submission will facilitate timely FDA review of plans prior to the effective date of the required warnings, encourage dialogue with entities regarding any implementation concerns, and provide time to consider proposals by entities in a timely manner,” the FDA said.
May 29, 2020
BAT to Resume Legal Action Against South Africa’s Tobacco Ban

Photo: Sang Hyun Cho from Pixabay
British American Tobacco South Africa (BATSA) will resume legal action against the country’s government’s decision to extend the ban on tobacco sales during Level 3 of the nationwide lockdown, reports Polity.
“BATSA has made every effort to constructively engage with the government since the ban came into force, including making detailed submissions, along with other interested parties, to various ministers, as well as directly to the presidency,” the company said in a statement.
“To date, no formal response has been received from the government, and BATSA has also not been included in any of the government’s consultation processes so far.”
The Fair Trade Independent Tobacco Association has already taken the government to court to challenge the ban in a separate case.
Minister of Cooperative Governance and Traditional Affairs, Nkosazana Dlamini-Zuma, argued that, while Covid-19 is a relatively new disease, early studies support the view that using tobacco products increases not only the risk of catching the disease but also the risk of contracting a more serious form of the disease.
“This, in turn, increases strain on the public health system, by increasing the number of people who will need access to resources such as intensive care unit beds and ventilators,” she said.
BAT said the ban threatens the survival of South Africa’s legal tobacco sector, which employs thousands.
May 29, 2020
InterTabac Postponed, Organizers Working on Alternative Format

Photo: Messe Dortmund
The InterTabac and InterSupply trade fairs planned for Sept. 18-20, 2020, in Dortmund, Germany, will not be held in their customary formats this year due to the Covid-19 pandemic.
The traditional versions of both fairs will be postponed to Sept 16-18, 2021
The decision was taken by agreement between the organizer, Messe Dortmund and the partner associations representing the tobacco industry, tobacco product wholesalers and retailers.
The parties involved have agreed to work on an alternative format to take place in autumn 2020 leveraging the strengths of the trade fair for tobacco products and smoking accessories and of the trade fair focusing on the manufacturing process for tobacco products, e-cigarettes, pipes and shisha tobaccos.
“Even though there have been signs of relaxation in Germany in recent weeks regarding the Covid-19 pandemic, and local authorities have again made it possible to hold trade fairs with limited attendance while observing appropriate hygiene measures, we as organizers continue to pay particular attention to our responsibility to protect the health of everyone involved”, explained Sabine Loos, managing director of Westfalenhallen Unternehmensgruppe, the parent company of organizer Messe Dortmund.
“As a result, working closely with our partner associations, we have decided to jointly develop a new concept for this autumn, and to present it in detail shortly.”
May 28, 2020
Universal Ups Dividend Despite Headwinds

Photo: Universal Corp.
Universal Corp. reported net income for the fiscal year ended March 31, 2020, of $71.7 million, compared with $104.1 million for the prior fiscal year. Excluding restructuring and impairment costs and certain nonrecurring items, net income declined by $25.3 million. Operating income was $126.4 million for the fiscal year, down from $161.2 million for the fiscal year ended March 31, 2019.
Results reflected earnings declines in Universal’s North America and Other Regions segments, partially offset by earnings improvements in the company’s Other Tobacco Operations segment.
George C. Freeman III
“We could not have predicted that we would be closing out our fiscal year in the throes of a global pandemic,” said George C. Freeman, III, chairman, president and CEO of Universal.
“Uncertain market conditions, mainly driven by the ongoing Covid-19 pandemic, led to extreme weakening of the Indonesian rupiah, Brazilian real and Mexican peso relative to the U.S. dollar, all of which experienced double-digit depreciation during the month of March.”
These currency weaknesses were the primary drivers for unfavorable currency comparisons, according to Freeman.
“Towards the end of our fiscal year, we also saw some shipment delays in certain regions due to the Covid-19 pandemic and slower customer orders, which increased our uncommitted inventory levels,” said Freeman.
“In addition, as we have discussed throughout the fiscal year, our results for fiscal year 2020 have been negatively impacted by lower carryover volumes compared to fiscal year 2019, mainly in North America and Africa. Our gross margins for fiscal year 2020, however, remained relatively flat compared to fiscal year 2019.”
While some of Universal’s processing facilities experienced partial or total closures due to Covid-19, nearly all operations have resumed with measures to protect employees against infection, according to Freeman.
In related news, Universal declared a quarterly dividend of $0.77 per share, payable August 3, 2020.
“Today’s dividend increase is a milestone for our company,” said Freeman. “It is our 50th consecutive annual dividend increase, and we are very proud of this achievement. It represents the continuation of our strong record of returning value to our shareholders through our consistent dividend delivery. We have raised our common dividend every year since 1971.”
Universal’s annual meeting of shareholders will take place August 4, 2020.
May 28, 2020
Lawmakers Push for ‘Nicotine Pack’ Tax

Russian lawmakers want to start taxing orally consumed nontobacco nicotine products (“nicotine packs”).
A bill that aims to impose an excise duty on such products has been submitted to Russia’s government for review.
Because nicotine packs are a viable alternative to smoking, they should be subjected to state control, argues the bill’s author, Sergey Katasonov, who also serves as first deputy chair of the State Duma committee on budget and taxes.
Katasonov noted that authorities across the Eurasian Economic Union, of which Russia is a prominent member, have already started asserting control over new nicotine products, such as e-cigarettes and heat-not-burn (HNB) products.
At present, the State Duma public health committee is studying a bill envisaging massive changes to Russia’s tobacco legislation. Among other amendments, the bill seeks to treat e-cigarettes and HNB devices like traditional tobacco products.
May 28, 2020
UAE Postpones Digital Tax Stamps

Photo: Gerd Altmann from Pixabay
The United Arab Emirates Federal Tax Authority (FTA) has postponed the starting date of its requirement for waterpipe tobacco and electrically heated cigarettes to carry digital tax stamps until Jan. 1, 2021, reports Gulf News.
The measure, which seeks to discourage commercial fraud, minimize health risks and combat tax evasion, had previously been scheduled to come into effect on June 1, 2020.
The FTA explained that the deadline was extended to address the challenges posed by the coronavirus pandemic, which is preventing producers, importers, distributors and stockpilers from meeting the previously set deadline.
“This extension on the timeline provides them with seven additional months to prepare for the mandatory implementation of the ban,” said FTA Director General Khaled Ali Al Bustani.
“It also comes in response to the concerns expressed by stakeholders in the tobacco sector and their requests for such an extension that would allow them to sort out any issues resulting from the current difficult circumstances and the necessary precautionary measures that were enforced to prevent the spread of the novel coronavirus.”
Emirati authorities have implemented strict precautionary measures to curb the spread of Covid-19, including temporarily closing cafes and restaurants and banning them from serving waterpipes.
May 28, 2020
Coresta Extends Abstract Submission Deadline

Photo: manekj from Pixabay
Coresta extends abstract submission deadline
In response to the coronavirus disruption and numerous requests, Coresta has extended the deadline for submitting abstracts for its 2020 Congress to June 1.
Abstracts can be submitted online.
The Coresta Congress will be held at the Hilton Vienna Hotel in Vienna, Austria, Oct. 11–15, 2020, at the invitation of the Japan Tobacco Group.
May 27, 2020