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Tag: regulation

  • Cyprus Compromise May Solve EU Tobacco Impasse

    Cyprus Compromise May Solve EU Tobacco Impasse

    International Policy Digest is reporting that a new compromise proposal from Cyprus may help break the long-standing deadlock among EU member states over revising the Tobacco Excise Directive, which has not been updated since 2011. The European Commission’s 2025 proposal sought to raise minimum excise duties and extend taxation to newer products such as heated tobacco and nicotine pouches, but faced strong opposition from several countries concerned about market disruption and illicit trade.

    The Cyprus proposal retains higher taxes and broader product coverage but introduces a more gradual approach, including transition periods for implementation and limits on automatic inflation-linked increases. It also offers more flexibility for member states in applying taxes to newer nicotine products, addressing key concerns raised in earlier negotiations that stalled progress.

    Initial reactions from EU governments suggest cautious support for the revised approach, though unanimous agreement from all 27 member states remains required. The outcome is time-sensitive, as failure to reach a deal during Cyprus’s presidency could shift negotiations to Ireland, where officials are expected to push for stricter tax measures.

  • Regulation Battles Coming as Spain’s Pouch Market Expands

    Regulation Battles Coming as Spain’s Pouch Market Expands

    Spain’s nicotine pouch market is experiencing rapid growth, with sales reaching 5 million cans in 2025 and projected to rise 60% to 8 million in 2026, according to industry estimates. The category, currently comprising 20 to 30 brands, remains in an early development phase but has expanded significantly since 2024, with increasing adoption among domestic consumers, according to La Razon. Average pricing stands at around €5 per can, with products typically containing 5 to 20 mg of nicotine per pouch.

    However, the sector faces regulatory uncertainty as Spain’s Health Ministry considers limiting nicotine content to 0.99 mg per pouch, a move industry representatives warn would effectively eliminate the category. The Asociación de Bolsas de Nicotina argues that such a cap would remove viable alternatives for adult consumers and potentially drive demand toward illicit markets or combustible tobacco. The group is advocating for proportionate regulation, controlled retail channels, and a tiered tax framework as the market continues to develop.

  • Article: Ripple Effect of Restrictive Tobacco Regulations in S. Africa

    Article: Ripple Effect of Restrictive Tobacco Regulations in S. Africa

    South Africa’s 2020 tobacco ban, intended to reduce smoking-related health risks during the COVID-19 pandemic, drove legal sales underground and opened the door for illicit products that today account for as much as 75% of the market, according to law graduate Mukundi Budeli, writing for the Rational Standard and republished by the Free Market Foundation. Budeli said the shift cost the government tens of billions in lost tax revenue, fueled organized crime, and exposed consumers to unregulated and potentially more harmful products.

    He also said the policy hastened the departure of British American Tobacco, which announced the closure of its Heidelberg plant by the end of 2026, which will directly affect 230 employees and is expected to ripple across the broader tobacco value chain, impacting up to 35,000 jobs. Budeli argues that the crisis illustrates the unintended consequences of overly restrictive regulation and calls for a re-evaluation of South Africa’s approach to tobacco policy. He suggests that future governance should strike a balance between public health objectives, economic stability, and individual freedoms to prevent similar market distortions.

    The Free Market Foundation emphasizes that the situation serves as a warning to policymakers about the dangers of regulatory overreach and the need for pragmatic, accountable, and market-aware legislation in the tobacco sector.

  • Plans to Toughen Vape Trade Licensing in Belarus

    Plans to Toughen Vape Trade Licensing in Belarus

    Belarus is preparing draft legislation to tighten licensing requirements for electronic cigarette and e-liquid trade, with the proposal expected to reach parliament in the first half of 2026. Officials considered both a full ban and stricter regulation, ultimately opting to maintain retail availability while limiting which entities can manufacture, import, and conduct wholesale distribution. President Aleksandr Lukashenko cited rising youth vaping rates as a key concern but warned that an outright ban could fuel illicit cross-border trade, particularly with Russia. Authorities said the new framework would introduce tougher retail licensing standards and stronger enforcement, following inspections that found roughly 70% of retail outlets selling non-compliant products. The proposal, developed by state food industry group Belgospishcheprom, would apply to both vaping devices and nicotine liquids as part of broader public health oversight.

  • CAPHRA Tells Aussie Senate to Look at New Zealand

    CAPHRA Tells Aussie Senate to Look at New Zealand

    In response to recent announcements across Australia about increasing enforcement in its battle against illicit tobacco and nicotine products, the Coalition of Asia Pacific Tobacco Harm Reduction Advocates (CAPHRA) submitted evidence to Australia’s Senate directly comparing New Zealand and the Philippines—both with regulated vaping markets and declining smoking rates—to India and Thailand, where total bans have created underground markets with zero safeguards and rampant youth access.​ 

    CAPHRA said Australia and New Zealand are taking sharply different approaches to tobacco control, with contrasting outcomes reflected in recent data. New Zealand, which allows regulated access to vaping products alongside smoking-cessation support, has reduced adult daily smoking to 6.8%, among the lowest rates globally, while youth smoking has fallen to 3.2%, down from 19.2% a decade ago. Australia, by contrast, has maintained strict prohibitions on nicotine vaping products and focused heavily on enforcement against illicit tobacco, spending about A$157 million ($105 million) on policing and regulatory measures, including appointing a national illicit tobacco coordinator. Despite these efforts, authorities estimate Australia lost A$6.7 billion ($4.5 billion) in tobacco excise revenue in 2023–24, and the illicit tobacco market is valued at roughly A$4 billion ($2.7 billion).

  • Aussie Tobacco Retailers Warned to File for Licenses  

    Aussie Tobacco Retailers Warned to File for Licenses  

    Less than two weeks ahead of mandatory enforcement under Victoria, Australia’s new tobacco licensing scheme, the state’s Premier and Minister for Casino, Gaming and Liquor Regulation is urging all tobacco retailers and wholesalers to apply for a license before the February 1 deadline. The program, part of a broader crackdown on illicit tobacco and organized crime, allows businesses that apply before the deadline to continue trading while applications are assessed, while anyone applying on or after February 1 would have to wait for approval.

    Tobacco Licensing Victoria, supported by Victoria Police, will enforce compliance with penalties of up to A$170,948 ($114535) and five years’ jail for individuals selling without a license, with businesses facing fines exceeding A$854,000 ($572,000). The initiative, backed by A$46 million ($30.8 million) in the 2025/26 budget, also grants inspectors powers to suspend or cancel licenses, seize illegal products, and pursue court action, with strict eligibility criteria ensuring licenses are granted only to “fit and proper” applicants.

  • Cambodia Issues Strict Nicotine Ban in Tourism Sector

    Cambodia Issues Strict Nicotine Ban in Tourism Sector

    Cambodia’s Ministry of Tourism issued a stringent directive to all tourism service establishments, warning that, beginning today (November 20), businesses distributing, selling, storing, advertising, producing, or importing electronic smoking devices, vaping substances, and shisha will face penalties including written warnings, suspension, or revocation of tourism business licences.

    The warning applies to civil servants, contracted officials, and owners or managers of tourism-related businesses nationwide, prohibiting the import, distribution, sale, advertising, use, possession, production, or storage of these devices.

  • Spain Implements New Tobacco Price Increases

    Spain Implements New Tobacco Price Increases

    Spain’s Official State Gazette (Boletín Oficial del Estado, BOE) confirmed new price increases for certain cigarettes, cigars, cigarillos, and pipe tobacco, effective November 15. The changes, applicable across mainland Spain and the Balearic Islands, are mandatory for all authorized retailers.

    A pack of Mark 1 Red 100’s cigarettes now costs €4.60. Adrian Magnus cigars are priced between €5.95 and €8.10 per unit, while Montego cigars range from €4.50 to €5.75. Pipe tobacco, including Hampton Pipe Gold, is now €1.70 per 20g pack, with premium blends such as Samuel Gawith and Sebero between €5.25 and €26.50.

    These changes follow other price updates announced previously for well-known brands like B.N., Ducados, and Farias. The updates reflect production, distribution, and tax cost adjustments, and form part of Spain’s ongoing health policy to discourage smoking through pricing.

  • BAT Zambia Defends ‘Utter Hypocrisy’ Criticism

    BAT Zambia Defends ‘Utter Hypocrisy’ Criticism

    British American Tobacco (BAT) was criticized for lobbying against elements of Zambia’s proposed Tobacco Control Bill, which includes restrictions similar to those already in place in the UK, home to BAT’s global headquarters. According to The Guardian, a letter from BAT Zambia to government ministers requested delays or amendments to proposed bans on advertising and sponsorship, reductions in the size of graphic health warnings, and the removal of restrictions on flavored tobacco products. The company also suggested lighter penalties for industry violations.

    Health advocates, including campaigner Master Chimbala, called the company’s stance “utter hypocrisy,” noting that similar measures have long been enforced in the UK. The draft bill would expand Zambia’s regulations to include e-cigarettes and require graphic warnings covering 75% of packaging.

    In response, BAT Zambia said it supports “progressive regulation” and participates in the legislative process in line with local law, emphasizing the need to balance public health goals with concerns about illicit trade and market realities.

    “The company participates in the country’s legislative process in line with the relevant frameworks which provide for stakeholder participation in policymaking,” a BAT Zambia spokesperson said. “We advocate for progressive regulation to achieve intended public health goals, while acknowledging the spectrum of rights and obligations on industry, consumers, and related stakeholders.”

  • Ex-WHO Director Calls for Global THR Shift

    Ex-WHO Director Calls for Global THR Shift

    Former World Health Organization (WHO) director Professor Tikki Pang urged global health authorities to embrace tobacco harm reduction, saying rigid opposition to alternative nicotine products is undermining progress against smoking-related deaths. Speaking at the Asia Forum on Nicotine, Pang said that while the WHO Framework Convention on Tobacco Control saved millions of lives, its impact has stalled, especially in lower-income countries. He blamed slow policy implementation and rejection of less harmful products like e-cigarettes and nicotine pouches despite “overwhelming evidence” of the safety, efficacy, and cost-effectiveness of these (alternative) products.

    “Global health authorities have adopted a very strong anti-tobacco harm reduction stance,” Pang said. “[They] actually state that these products are as harmful as combustible cigarettes and call on their member states to ban them and actually give awards to countries which have done so.”

    Pang called for independent, evidence-based platforms to unite governments, scientists, and industry to promote transparency, proportional regulation, and harm reduction success stories.

    Pang also quoted renowned physician Alex Wodak, saying, “And I quote Alex – WHO’s position on this issue is now as irrelevant as the position of governments in Eastern Europe and the Soviet Union in the 1980s on the future of central command economies. WHO’s position will collapse at some point, but I don’t know when.”