Japan Tobacco Inc. is aiming to capture 40 percent of what it refers to as Japan’s T-vapor market by the end of 2020.
The T-vapor (tobacco vapor) category, which is otherwise known as the heat-not-burn or heating-tobacco category, is subdivided, among other ways, according to the method of heating the tobacco contained in the consumable units of the various devices on offer.
JT’s Ploom TECH is described as a tobacco-infused vapor product with low-temperature heating technology unique to JT. ‘The technology, which does not involve combustion or direct heating of tobacco, enables Ploom TECH to offer a clear taste with no smoke, smoke smell or ash and no negative impact on the surrounding air quality,’ the company said in a press note issued today.
‘Since the expansion of Ploom TECH’s sales area to nationwide in June 2018, the total sales volume of the device has reached more than four million units as of July 2018.’
JT said it had been receiving positive consumer feedback, including references to the device’s producing “no smoke smell” and being “easy to use”.
Meanwhile, the company said that it intended to take 40 percent of the T-vapor market by providing ‘a wider range of choices that satisfy the varying needs of consumers’.
And to this end it announced today that it would be launching a tobacco capsule with a new flavor, MEVIUS Mix Green Cooler for Ploom TECH.
‘MEVIUS Mix Green Cooler for Ploom TECH is one of JT’s menthol products, which has a flavor that reminds consumers of a mixture of European and Asian pear, with 100 percent natural menthol,’ the note said. ‘These features offer a rich and pleasant taste.’
The new-flavor capsules are due to be made available gradually in convenience stores across the country and selected tobacco retail stores from September 3.
Tag: Japan
Vapor capture
Smoking incidence falls
The incidence of tobacco-smoking in Japan has fallen to 17.9 percent according to figures compiled during Japan Tobacco Inc’s most recent Japan Smoking Rate Survey, which was conducted in May.
The survey, which has been carried out annually since 1965, showed the smoking incidence down by 0.3 of a percentage point, from 18.2 percent in 2017.
The incidence of smoking among men was down by 0.4 of a percent point to 27.8 percent, while that among women was down by 0.3 of a percent point to 9.0 percent.
Using figures from the Statistics Bureau of the Ministry of Internal Affairs, JT calculated that Japan’s smoking population stood at 18.80 million in May, down from 19.17 million in 2017.
The male smoking population was reckoned to be down from 14.26 million to 14.06 million, while the female smoking population was estimated to be down from 4.91 million to 4.74 million.
In announcing the survey results, JT said it was of the view that the smoking rate in Japan had been on a declining trend because of various factors, including the aging of society, growing awareness about the health risks associated with smoking, the tightening of smoking-related regulations, and tax and price hikes.
The company said it would continue its efforts to realize a society in which smokers and non-smokers could co-exist in harmony.
According to JT, the survey was conducted in May 2018 using a stratified two-stage sampling method, by mailing questionnaires to about 32,000 adult men and women using ‘tobacco products, including cigarettes, T-vapor products, pipe, cigar and other tobacco products’ nationwide. It said it had collected 19,442 (60.6 percent) valid responses from the population surveyed.Smoking ban passed
Japan’s Diet yesterday passed an amendment that will ban smoking in public facilities, according to a story by Tomohiro Osaki for the Japan Times.
The ban will be implemented in stages, coming into full force by April 2020, just ahead of the staging in Tokyo of the 2O20 Summer Olympics, which are due to start in July of that year.
The revision to the Health Promotion Law has been watered down from the health ministry’s original proposal, falling short of a comprehensive smoking ban in restaurants and bars.
Under the updated law, an estimated 55 percent of eateries nation-wide will end up being exempt.
This has prompted criticism from some quarters that though the amendment is a step forward, it is a far cry from the anti-smoking ordinance adopted by the Tokyo Metropolitan Government last month, which is expected to make more than 80 percent of eateries across the capital effectively smoke-free.
The revised national law will make smoking in some designated institutions illegal for the first time, penalizing non-compliant operators and smokers with fines of up to ¥500,000 and ¥300,000, respectively.
The measure, according to the health ministry, is expected to raise the World Health Organization’s grading of Japan’s anti-smoking efforts by one rank – to the second-lowest level.
The Times story reported that the amendment had been watered down after facing fierce resistance from the ruling Liberal Democratic Party and industry groups. Japan had long been soft on smoking due largely to vested interests and pork-barrel politics, a system in which the tobacco industry had thrived, it said. Even corporate giant Japan Tobacco Inc. was partially owned by the finance ministry.
The amendment makes the premises of public institutions such as schools, hospitals and municipal offices non-smoking. That is, smoking will be prohibited both indoors and outdoors in principle, though smoking spaces may be set up outside those buildings.
A less rigorous measure will apply to other public facilities, including restaurants and bars, where only indoor smoking will be outlawed. But even inside, smoking will be allowed in segregated, well-ventilated rooms, where no drinking or eating will be permitted.
Smaller restaurants will be exempt altogether.
People under the age of 20 will be prohibited from entering these establishments.
Newly established bars and restaurants will be obliged to ban smoking, regardless of size.
Under the amendment, users of heat-not-burn devices will be allowed to dine and drink in ventilated smoking rooms.JT's domestic sales down
Japan Tobacco Inc.’s domestic cigarette sales volume during June, at 7.0 billion, was down by 11.7 percent on that of June 2017, 8.0 billion, according to preliminary figures issued by the company today. The June 2017 figure was down by 10.1 percent on that of June 2016.
Volume during January-June, at 40.4 billion, was down by 13.8 percent on that of January-June 2017, 46.8 billion. The January-June 2017 volume was down by 11.2 percent on that of January-June 2016.
JT’s market share stood at 61.9 percent during June, at 61.5 percent during January-June, and at 61.3 percent during January-December 2017.
JT’s domestic cigarette revenue during June, at ¥41.9 billion, was down by 11.3 percent on its June 2017 revenue, ¥47.2 billion, which was down by 10.2 percent on its revenue of June 2016.
Revenue during January-June, at ¥241.3 billion, was down by 13.3 percent on that of January-June 2017, ¥278.5 billion, which was down by 9.0 percent on its revenue of January-June 2016.Restrictions spreading
The Chiba Municipal Government is following the lead of Tokyo by seeking to make the majority of eating and drinking establishments in Chiba smoke-free, according to a story by Hiromi Kumai for Asahi Shimbun.
Chiba officials have drafted regulations that would prohibit smoking inside eateries where at least one employee is working, regardless of the dimensions of the premises – regulations that are similar to those of Tokyo’s ordinance.
The Government estimates that about 70 percent of the approximately 3,200 dining establishments in the city will be subject to the new regulation, though the percentage will drop to 66 percent if bars or taverns are excluded.
Chiba officials, who sought opinions from the public, aim to have the anti-smoking law in place no later than the 2020 Tokyo Olympics and Paralympics are due to take place.
By comparison, under a central government bill, smoking is prohibited in principle at eateries, offices and hotels. But such facilities may set up special rooms for the exclusive use of smokers – albeit rooms where no food or drink will be served. Existing eateries with customer seating areas of up to 100 square meters and capital of up to ¥50 million are exempted from the smoking ban and are not required to set up separate smoking areas if they display a sign in front of their buildings indicating that they allow smoking.
The central-government bill restricts also the use of heat-not-burn products by requiring eateries to set up special smoking rooms if they want to allow their customers to use such devices while they dine.
The Tokyo measure will cover an estimated 84 percent of restaurants and bars across the capital, whereas 45 percent are likely to be regulated by the national law.
The new Tokyo ordinance is said to seek to protect the well-being of those deemed vulnerable, particularly children and employees, with a ban on tobacco smoking on public-facility premises, such as kindergartens, schools and day care centers.
Although tougher than the national legislation, the Tokyo ordinance stops short of banning smoking in all facilities.
A less stringent measure, for example, will apply to the premises of institutions such as universities, hospitals and government offices, where smoking can be allowed in designated areas outside buildings.
Among those subject to the most relaxed regulation are gyms, hotels and some eateries, where only indoor smoking will be outlawed. And even inside, people will be able to smoke tobacco in segregated rooms specially equipped to prevent smoke from leaking out.
Tokyo’s ordinance is set to take effect from April 2020, just a few months before the start of the Olympics.
Chiba’s proposed ordinance will regulate all restaurants and eateries with at least one employee, though smoking will be permitted in smoking areas.
Under the Chiba ordinance, however, bars or taverns that are subject to the law regulating adult entertainment businesses will be required only to make reasonable efforts to comply. They will not merit punishment for the time being based on the belief that smoking at such drinking establishments is socially accepted.
However, the regulation will be strengthened for such alcohol-related establishments after the prohibition against lighting up becomes customary at restaurants and eateries.Sporting chance for smokers
The Tokyo Metropolitan Assembly has passed an anti-smoking ordinance that is stricter than the national version currently under consideration, according to a story in The Japan Times.
The Times said the capital city’s smoking ban, which had preceded the passage of a similar amendment to the Health Promotion Law that was being deliberated by the national Diet, was intended to rein in second-hand smoke and create a tobacco-free 2020 Olympics.
The Tokyo measure will cover an estimated 84 percent of restaurants and bars across the capital, whereas 45 percent are likely to be regulated by the revised national law.
The new ordinance is said to seek to protect the well-being of those deemed vulnerable, particularly children and employees, with a ban on tobacco smoking on public-facility premises, such as kindergartens, schools and day care centers.
Although tougher than the national legislation, the ordinance stops short of banning smoking in all facilities.
A less stringent measure, for example, will apply to the premises of institutions such as universities, hospitals and government offices, where smoking can be allowed in designated areas outside buildings.
Among those subject to the most relaxed regulation are gyms, hotels and some eateries, where only indoor smoking will be outlawed. And even inside, people will be able to smoke tobacco in segregated rooms specially equipped to prevent smoke from leaking out.
Tokyo’s ordinance is set to take effect from April 2020, just a few months before the start of the Olympics.Japan opting for restrictions
Japan’s Lower House has passed an antismoking bill, paving the way for its enactment and implementation before the 2020 Tokyo Olympics and Paralympics, according to a story in the Japan Times.
The bill to revise the Health Promotion Law bans indoor smoking at schools, hospitals and public institutions, with violations resulting in fines.
But the bill is said to have drawn controversy because the government has largely relaxed requirements for eateries to qualify for exemptions on indoor smoking restrictions, amid opposition from the ruling Liberal Democratic Party whose members have strong ties to the tobacco and restaurant industries.
Under the bill, smoking is prohibited in principle at eateries, offices and hotels. But such facilities may set up special rooms for the exclusive use of smokers – albeit rooms where no food or drink will be served.
Eateries with customer seating areas of up to 100 square meters and capital of up to ¥50 million are exempted from the smoking ban and are not required to set up separate smoking areas if they display a sign in front of their buildings indicating that they allow smoking.
The bill restricts also the use of heat-not-burn products by requiring eateries to set up special smoking rooms if they want to allow their customers to use such devices while they dine.
The bill is due to go to the Upper House.Cigarette sales falling
Japan Tobacco Inc.’s domestic cigarette sales volume during May, at 7.1 billion, was down by 12.8 percent on that of May 2017, 8.2 billion, according to preliminary figures issued by the company today. The May 2017 figure was down by 6.4 percent on that of May 2016.
Volume during January-May, at 33.4 billion, was down by 14.2 percent on that of January-May 2017, 38.9 billion. The January-May 2017 volume was down by 11.4 percent on that of January-May 2016.
JT’s market share stood at 61.5 percent during May, at 61.4 percent during January-May, and at 61.3 percent during January-December 2017.
JT’s domestic cigarette revenue during May, at ¥42.8 billion, was down by 12.4 percent on its May 2017 revenue, ¥48.9 billion, which was down by 6.0 percent on its revenue of May 2016.
Revenue during January-May, at ¥199.4 billion, was down by 13.8 percent on that of January-May 2017, ¥231.3 billion, which was down by 8.8 percent on its revenue of January-May 2016.Price increase in Japan
Philip Morris Japan said yesterday that it would increase the prices of all 86 cigarette products it sells in the country on October 1, on which date tobacco tax is due to rise by ¥1 per cigarette, according to a story in The Japan Times.
The company said it would increase the price of packs of 10 cigarettes by ¥20 and that of packs of 20 cigarettes by ¥50.
For its flagship Marlboro brand, the price of most packs of 20 will be increased to ¥520 from the current ¥470.
The price increases are subject to approval from the Finance Ministry.
The decision to raise cigarette prices above that required by the tax increase had been made after a comprehensive assessment of the market environment, the company said.
The company is considering also a price revision for its iQOS heat-not-burn tobacco products in line with the tax increase.HNB prices cut
Japan Tobacco Inc is cutting the prices of its heated tobacco products after a similar move by Philip Morris International, signaling increased competition on Japan’s nascent market for alternative cigarettes, according to a story by Taiga Uranaka and Ritsuko Shimizu for japantoday.com.
Japan, where electronic cigarettes delivering nicotine are effectively banned, has become the main market for heat not burn (HNB) products. The country accounts for more than 90 percent of the $5 billion HNB market, according to Euromonitor.
Tobacco makers initially struggled to keep up with demand as they began limited introductions of HNB products in Japan a few years ago. They have since ramped up production, but investors are now worried about slowing growth in the sector.
JT said was cutting the price of its Ploom TECH device to 3,000 yen from 4,000 yen.
“We are finally prepared and confident that we can reverse our position and go on the offensive,” Chito Sasaki, president of the company’s domestic tobacco business, reportedly told Reuters.
The company, with a 60 percent share of the traditional cigarette market, has been lagging rivals in the HNB category.