Switzerland - Tobacco Reporter

Switzerland to Tighten Tobacco Rules

Switzerland will strengthen its restriction on tobacco advertising and nicotine product notification requirements effective Oct. 1, reports Swissinfo.

The new rules include a nationwide ban on sales to people under the age of 18 and stricter advertising restrictions, for example on posters, on public transport, in cinemas, in publicly accessible buildings such as train stations and airports and on sports grounds.

Existing smoking bans will now also apply to heated products and electronic cigarettes.

Sponsorship of events with an international character or for an underage audience is no longer permitted.

Cigarette manufacturers will also be required to print pictorial warnings on tobacco packaging

August 30, 2024

Smoking Rates Still High in Switzerland

Nearly a quarter of Switzerland’s population (24 percent) smoked in 2022, down 3 percentage points from the rate in 2017, reports Le News, citing new data from the Federal Statistical Office. The decline in smoking is a relatively new phenomenon in Switzerland. In 1992, 30 percent of the population aged 15 and over reported smoking.

The reduction has been most pronounced among educated people. In 2022, Swiss without post-compulsory education smoked more frequently and more heavily than those who had completed a university or higher vocational education. This distinction too is new. Thirty years ago, there were hardly any differences in smoking by level of education.

New types of tobacco products or e-cigarettes are particularly popular among younger people, consumed by 17 percent of 15- to 24-year-olds in 2022.

Despite the recent declines, Swiss smoking rates remain high compared with many other nations. Rates in the U.K. (14 percent), Norway (14 percent), Canada (12 percent) and Australia (13 percent) are far lower.

Meanwhile, public smoking remains widely tolerated in Switzerland. Many smokers will light up on train platforms, where it is largely banned, at bus stops or while seated at outside restaurant tables.

July 7, 2024

PMI to produce BAT cigarettes in Switzerland

Philip Morris International and BAT have entered into a contract manufacturing agreement for cigarette production in Neuchatel, Switzerland, reports Le Temps.

“[L]imited volumes of BAT cigarettes will take place in the PMI factory located in Neuchatel,” BAT wrote in a press note cited by the newspaper. “This is an agreement specific to the Swiss domestic market.”

Only part of the cigarette volumes intended for the Swiss market will be produced in Neuchatel; the rest, as well as previously exported volumes, will be manufactured in other BAT factories.

Six positions will be added at the Boncourt site, according to BAT, bringing the total number of positions at the site to about 20.

BAT Switzerland announced this summer that it would maintain its warehouse and shipping department in Boncourt. The company’s head office remains in the canton of Jura.

December 4, 2023

Switzerland to Ban Youth Advertising

Switzerland will ban advertising of tobacco and vapor products to young people, the government announced on May 24, report Reuters and Swiss Info.

In February 2022, Swiss voters backed a proposal to limit tobacco promotions seen by minors. Following the referendum, the government had to adjust Switzerland’s tobacco product law to incorporate the proposal.

The new law will come into force from mid-2026 and will also strengthen restrictions on packaging and advertising on tobacco and e-cigarettes due to take effect from next year.

In the future, no advertising for tobacco products or e-cigarettes will be allowed in print media, shops or events that can be visited by minors. In addition, sponsorship of events that people under 18 attend will be banned. Online advertising will still be permitted provided that age control systems are in place.

The tobacco industry will also be made to collectively disclose its advertising expenditure, but companies will not be required to individually reveal this information. The government believes advertising plays an important role in the decision to start smoking.

Smoking remains relatively widespread in Switzerland with 9,500 people dying prematurely every year as a result of tobacco consumption, according to the government. In 2022, 6.9 percent of Swiss 11-year-olds to 15-year-olds had smoked cigarettes in the past 30 days while 5.7 percent of youths aged 15 to 24 had used electronic cigarettes at least once a month, the government said.

Switzerland is home to several tobacco multinationals, including Philip Morris International and Japan Tobacco International.

May 25, 2023

BAT to Close Swiss Plant

BAT will close a cigarette manufacturing plant in Switzerland in 2023, reports Reuters.

The closure will cause the layoff of 226 workers. Employees will be given an “advantageous social package,” according to SwissInfo.

“BAT Switzerland confirms that a final decision has been made to transfer cigarette production from Boncourt to larger factories within Europe and to close the Boncourt site,” BAT said in a statement.

Boncourt Mayor Lionel Maitre said the closure is “a shock, a disappointment, a feeling of desperation and a mess.” The factory closure will cause Boncourt to lose its biggest taxpayer.

“Let’s be clear—this is a hard blow, but we will overcome it, and the situation is not hopeless,” said Jura government President David Eray. “This decision brings us face-to-face with the painful consequences that we feared.”

In 2014, BAT closed a research and development facility in Boncourt, laying off about 15 people.

December 16, 2022

BAT to Close Boncourt Factory

BAT will close its Boncourt cigarette factory in Switzerland and move production elsewhere in Europe, reports SWI.

The factory employs more than 200 people, around half of them cross-border workers from France.

The closure will not affect BAT’s Lausanne office, which employs more than 100 other staff.

Boncourt mayor Lionel Maître described the decision as “a shock, a disappointment, a feeling of desperation and a mess.”

The Boncourt factory was founded by the Burrus family in 1814 and was taken over by Rothmans International in 1996 before merging with BAT three years later. In 1887, the site started producing Parisienne, which is the second best-selling cigarette brand in Switzerland.

In 2014, BAT closed a research and development facility in Boncourt with the loss of around 15 jobs.

October 31, 2022

Switzerland Proposes E-Cigarette Taxes

The Swiss government has proposed new taxes for electronic cigarettes, reports SWI.

Under the plan, reusable cigarettes would be subject to a levy of CHF0.20 ($0.20) per milliliter of liquid, and disposable e-cigarettes would attract a tax of CHF1 per milliliter of liquid regardless of the nicotine content.

The higher tax rate for single use e-cigarettes is intended to deter underage consumption.

The proposal is forecast to bring in around CHF13.8 million in extra tax revenues per year.

Earlier this year, voters supported a ballot to limit advertising for all tobacco products that may be seen by young people.

October 27, 2022

Taat Preparing to Launch in Switzerland

Taat Global Alternatives is preparing to introduce its tobacco-free cigarettes in Switzerland

In a press note, the company announced that it is working with a tobacco distributor with a presence in Zurich and Zug to coordinate a near-term launch of Taat Original, Smooth and Menthol in Switzerland with a primary objective of capitalizing on recent changes to Switzerland’s market landscape causing tobacco brands to be prohibited from advertising in public places.

Although tobacco advertising has long been banned in most Western markets, Switzerland was among the last to allow tobacco product advertisements in public spaces (e.g., on billboards, in movie theaters and at events such as music festivals). On Feb. 13, 2022, voters in Switzerland overwhelmingly approved legislation forbidding tobacco companies from advertising in public spaces.

Taat Global Alternatives has been exploring several launch opportunities throughout Europe, particularly after finalizing the advanced formulation of its Beyond Tobacco product using reconstituted material.

Taat says its advanced Beyond Tobacco formulation yielded excellent feedback from tobacco wholesalers in markets to include Germany, Poland, France and Switzerland. Pending final regulatory approval of the Taat product by Swiss authorities, the company expects Switzerland to be the first new international market to be added for Taat in 2022 following the pending finalization of a distribution agreement and initial purchase order. Switzerland currently has a higher adult smoking rate than the European average at 27 percent, more than double the national rate of 12.5 percent in the United States.

Because Taat’s offerings contains no tobacco, the company expects to enjoy a comparatively high degree of freedom to market the products in Switzerland.

In the United States, Taat has advertised its brand as a better alternative to tobacco cigarettes through methods such as in-store displays at the point of sale as well as sports sponsorships (e.g., a stock car racing team, the entourage of world champion boxer Floyd Mayweather). The company intends to strategically place German-language advertisements as part of its launch plan in Switzerland, with French-language variations for markets in western Switzerland such as Geneva, the country’s second-ranking city by population.

“As the tobacco industry continues to evolve, it is a major part of our playbook to jump on opportunities to do things that tobacco companies cannot do as a way for Taat to gain a competitive advantage. Switzerland was already a target market for a future Taat launch due to its relatively high adult smoking rate of 27 percent and its optimal location in the center of Europe, sharing a border with five other nations.

“However, with Switzerland set to put an end to tobacco advertising based on a vote for new legislation last quarter, we recognized this impending change for the timely opportunity that I believe it to be. We are working closely with a Swiss tobacco distributor who is now in the final stages of obtaining government approval for Taat to be sold in Switzerland, and I am excited for the next steps as we continue to build out our tobacco industry footprint.”

May 9, 2022

Swiss Support Tighter Limits on Tobacco Ads

A majority of Swiss voters want to limit tobacco advertising seen by minors, reports SWI.

During a ballot on Feb. 13, 56.6 percent of voters and most of the country’s 26 cantons backed a proposal to ban all tobacco and e-cigarette advertising that may reach young people in Switzerland. About 5.3 million people took part in the vote.

Gregoire Vittoz, director of Addiction Switzerland, described the outcome as a “big step forward.”

“The people have understood that health is more important than economic interests,” said Stefanie de Borba of the League Against Cancer.

Home to some of the world’s largest tobacco companies, including Philip Morris International and Japan Tobacco International, Switzerland currently has some of the weakest laws against tobacco advertising in Europe.

While cigarette ads in general on television and radio are prohibited at the federal level, each region has different rules for tobacco promotions in cinemas and public places, such as festivals or public transport. Only a few cantons ban cigarette ads in the written press or on the internet.

Around one in four people in Switzerland smokes—a share that has remained stable over the past decade. The figure is slightly higher among 15-year-olds to 24-year-olds. Research shows that most adult smokers began when they were minors.

Critics of the people’s initiative, which included the Swiss government, argued unsuccessfully that the proposal represented an intrusion on economic freedoms and would be hard to implement in the digital age. They submitted a counterproposal that would have still allowed tobacco advertising at points of sale.

Federal authorities must now adjust Switzerland’s Tobacco Product Law to incorporate the proposal. A law must be drafted and put forward for consultation and discussion in Parliament. Once adopted, the law must be subjected to a facultative referendum. Health Minister Alain Berset said the new rules are unlikely to take force in 2022.

February 14, 2022

Iluma Prime Debuts in Switzerland Duty Free

Philip Morris International has launched the new IQOS Iluma Prime in Switzerland duty free, according to DFNI Frontier.

The announcement follows the market launch of IQOS Iluma in Japan in 2021.

The IQOS Iluma Prime is PMI’s first tobacco-heating system to introduce induction-heating technology, which utilizes no blade and requires no cleaning.

“Our objective is a world without cigarettes, a world where cigarettes are replaced by smoke-free alternatives that are a better choice than continued smoking,” said PMI CEO Jacek Olczak. “We have launched several generations of our IQOS heated-tobacco system, expanding our portfolio to offer constantly improved, science-backed solutions that take advantage of advancements in technology and address pain points heard from consumers.

“This commitment to continuous innovation plays a significant role in our ambition to deliver a smoke-free future. The launch of IQOS Iluma, our most innovative device yet, gives adult smokers another better choice and represents an important leap forward in our efforts to accelerate the end of smoking.”

“IQOS Iluma is our most innovative offering to date and the new flagship in our portfolio of science-backed, smoke-free products. Its breakthrough induction-heating technology heats tobacco from within, without burning, so there’s no smoke, no ash and, like previous IQOS devices, it emits, on average, 95 percent lower levels of harmful chemicals compared with cigarettes,” said Michele Cattoni, vice president of heated-tobacco platforms at PMI.

“However, unlike our previous tobacco-heating systems, IQOS Iluma has no blade. That means no tobacco residue or cleaning—ever. With this, and other product features, we aim to address consumer pain points that may have hindered some adult smokers from beginning or maintaining their journey away from cigarettes in the past.”

January 6, 2022

Tag: Switzerland