The government of Kazakhstan is backing a shift from stricter restrictions on hookah businesses toward a regulated licensing framework, with the Ministry of Finance estimating the move could generate about 50 billion tenge ($100 million) in additional budget revenue. Finance Minister Madi Takiyev said existing restrictions have proven ineffective and argued that licensing hookah operators would improve oversight while bringing the sector into the formal economy. The proposal would allow businesses to continue operating under government supervision and would remain under legislative consideration.
Tag: hookah
-
Calif. Town Criticized for Ending Hookah Exemption
Redwood City, Calif., voted 4-2 to adopt San Mateo County’s tobacco retailer ordinance, eliminating the city’s longstanding exemption for hookah-serving businesses and effectively banning the sale and on-site use of flavored tobacco shisha. The move primarily affects three downtown establishments that built their business models around traditional hookah service. Under the ordinance, retailers must comply with county restrictions on flavored tobacco products and obtain county tobacco retail permits, while future provisions will further restrict tobacco marketing and sales practices.
Business owners and industry supporters criticized the decision as a disproportionate response to concerns over youth access to flavored tobacco products. “I have never seen a kid walking on the street with a hookah and two charcoals on top,” said David Kassouf, owner of The Sandwich Spot, arguing that regulators were conflating adult-only hookah lounges with vape shops accused of selling youth-oriented products. Opponents described the ordinance as a blunt policy tool that targets established hospitality businesses and cultural gathering spaces in order to address enforcement issues involving a relatively small number of alleged bad actors, while supporters maintained the county framework was the most practical way to strengthen tobacco enforcement and reduce youth access.
-
Al Fakher Owner Moves Ahead with Nasdaq Listing
Advanced Inhalation Rituals (AIR), the Dubai-based owner of hookah tobacco brand Al Fakher, is proceeding with plans to go public on Nasdaq through a merger with Cantor Equity Partners III, with the deal potentially closing in early May. The company recently submitted its second filing to the U.S. Securities and Exchange Commission, and if approved, the transaction—valuing the combined entity at approximately $1.75 billion—will move to a shareholder vote.
“The SEC’s declaration of effectiveness of our registration statement is an important regulatory milestone in our journey to become a public company,” said AIR CEO Stuart Brazier, “and we look forward to our planned debut on the Nasdaq as a pure-play social inhalation leader in the coming months.”
AIR reported 2025 net revenue of $400 million, up 6% year over year, with profits rising to $47 million. The company serves around 14 million consumers globally and operates across 90 markets, with manufacturing facilities spanning the Middle East and Europe. Growth remains driven by expansion in markets such as the U.S., Europe, and Saudi Arabia.
While operations have not been directly impacted by the ongoing Middle East conflict, supply chains have faced disruption due to the closure of the Strait of Hormuz, increasing logistics costs. The company said it has rerouted shipments and is working to offset higher expenses through cost controls and selective price adjustments, while maintaining its outlook for continued growth in 2026.
-
Kazakhstan to Regulate Hookah Bars, as Ban Proved Ineffective
Kazakhstan is moving toward the formal legalization and regulation of hookah businesses after more than a decade of largely unenforced bans. Despite prohibitions on smoking in public places and hookah use in catering establishments since 2013, hookahs remain widely available in cafes and restaurants, with authorities acknowledging that enforcement has been ineffective. An early draft of amendments to the Public Health Code notes that the country now has roughly 22,000 hookah establishments, four times the number before the ban, highlighting the gap between law and practice.
The proposed legislation would create a licensed legal category for hookah establishments, with operators required to pay a fee of about $1,700. While legalization aims to regulate the industry rather than allow unrestricted use, smoking would still be prohibited in malls, theaters, cinemas, and sports facilities. Restaurants and cafes serving hookah would need to meet ventilation standards and maintain designated smoking areas, signaling a shift toward controlled oversight rather than outright prohibition.
-
Jordan to Tighten Regs on Shisha Tobacco
Jordan will prohibit the sale of loose shisha tobacco starting April 1, requiring all products to be sold in officially approved packaged containers, according to the country’s Income and Sales Tax Department. The measure is part of new regulations governing the licensing and operation of shisha tobacco factories introduced in 2025, aimed at strengthening oversight of manufacturing and distribution while ensuring compliance with tax and regulatory requirements. Authorities said the move will help regulate the trade of shisha tobacco and improve monitoring across the supply chain.
Under the updated rules, factories must meet a range of operational requirements, including locating facilities in designated industrial zones, maintaining a minimum production area of 1,000 square meters, and employing at least 10 registered Jordanian workers. Producers must also comply with national production standards, maintain computerized accounting and inventory systems, and meet regular tax reporting obligations. Existing factories have been given up to one year to bring operations into compliance, while traders have been urged to prepare for the packaging-only sales requirement before the April 2026 implementation date.
-
Kyrgyzstan Tightening Hookah Laws
Kyrgyzstan opened public consultation on draft legislation that would tighten the regulation of hookah use by banning water pipes, shisha, and nargile in all public places. Under the proposal, hookah consumption would only be allowed in specially designated, licensed venues equipped with ventilation systems and restricted to adults aged 18 and over. The draft also amends the country’s licensing and permitting law, formally requiring businesses offering hookah services to obtain a dedicated operating license, marking a significant step toward stricter oversight of the sector.
-
AIR Study Finds New Hookah Lowers Indoor Toxicants
AIR Limited said a newly published, peer-reviewed study found significantly lower levels of indoor air pollutants from its OOKA electronic waterpipe and from e-cigarettes compared with conventional hookah and combustible cigarette use. The research, published in December 2025 in Contributions to Tobacco & Nicotine Research, was authored by cardiovascular researcher Dr. Ian M. Fearon and based on testing commissioned by AIR and conducted by Al Futtaim Element Materials Technology Dubai LLC in an unventilated facility.
According to the study, conventional charcoal-heated waterpipes and cigarettes generated the highest increases in carbon monoxide, formaldehyde, particulate matter (PM10 and PM2.5), and other toxicants. By contrast, AIR’s OOKA device, which does not use charcoal, produced negligible carbon monoxide and roughly 40% lower particulate matter than conventional hookah in single-user scenarios, while e-cigarettes produced the lowest particulate levels overall. In multi-occupant scenarios, elevated volatile organic compounds and polycyclic aromatic hydrocarbons were observed primarily during cigarette smoking.
AIR CEO Stuart Brazier said the findings support the view that electronic delivery systems may reduce secondhand exposure risks in indoor environments while maintaining social smoking traditions. The study comes as AIR prepares for a proposed business combination with Cantor Equity Partners III, which would take the company public on Nasdaq under the ticker “AIIR” in the first half of 2026, pending regulatory approvals.
-
AIR Acquires German Premium Hookah Brand NameLess
Global hookah company AIR Limited announced the acquisition of NameLess, a well-known German brand of premium flavored hookah products. The move strengthens AIR’s leadership in the global flavored hookah market and expands its portfolio alongside flagship brand Al Fakher, the company said.
The acquisition allows AIR to leverage its global distribution network across more than 90 markets to introduce NameLess’ offerings, including its top-selling Black Nana grape-mint flavor, to new audiences worldwide. The deal aligns with AIR’s strategy to meet rising demand for reduced-risk social inhalation products with premium flavors and fortifies its presence in Germany, a key growth market, the company said.
CEO Stuart Brazier emphasized that the acquisition complements AIR’s product expansion initiatives, including the recent launch of Crown Switch, a rechargeable pod vape system in Germany featuring Greentank’s next-gen Quantum Vape and Coldstream technologies. AIR plans to roll out NameLess flavors internationally in the coming months.
-
Kazakhstan to Ease Ban on Hookahs, Not Vapes
Kazakhstan may ease restrictions on hookah use, according to Deputy Minister of Internal Affairs Sanzhar Adilov. He confirmed that the issue is under review, with a final decision to be made after assessments and public hearings. Officials are considering allowing the import of hookah equipment, permitting hookah use in entertainment venues, and defining a list of substances and conditions for use.
Adilov emphasized that the current ban on vapes will remain in place, with additional measures introduced to strengthen criminal penalties for their sale and transport. “On vaping, our position is clear: increased responsibility and zero tolerance,” he said.
-
AIR Partners with Snoop Dogg for New Hookah Flavors
Global hookah company AIR Limited announced a collaboration with entrepreneur Snoop Dogg to launch a premium line of Al Fakher hookah flavors. The new collection includes “Cloud 92,” “Dogg’s Delight,” “Midnight Blues,” “Tha G’z Mix” and “Money Honey,” available internationally at hookah.com
“The partnership blends Al Fakher’s expertise in hookah craftsmanship with Snoop Dogg’s cultural influence, offering premium ingredients and science-backed safety research,” the company said. AIR CEO Stuart Brazier highlighted the company’s commitment to innovation, noting $115 million invested since 2019 and over 100 active or pending patents.