The UK-based New Nicotine Alliance (NNA) has called upon the World Health Organization to show leadership in highlighting ‘the considerable public health potential of reduced risk products’.
Speaking today, designated by the WHO as World No Tobacco Day, Sarah Jakes (pictured), chair of the NNA, said that electronic cigarettes comprised a proven safer alternative to combustible cigarettes, and an alternative that many people found to be an acceptable substitute.
“They have contributed to record falls in smoking prevalence in the UK,” she said.
“There have also been big declines in smoking prevalence in France and the USA due to uptake of innovative products, while Sweden and Norway boast by far the lowest smoking rates in Europe thanks to the widespread use of snus, a tobacco product which carries a fraction of the risk of smoking lit tobacco.
“The WHO Framework Convention on Tobacco Control was founded with a commitment to encourage tobacco harm reduction. Its Ottawa Charter and Jakarta Declaration also pledge to put people at the heart of decision-making and to support and enable consumers to keep themselves, their families and friends healthy. Yet these goals appear to have been abandoned in favour of blindly attacking industry, ignoring the global success of alternative nicotine products and refusing to engage with consumers.”
Jakes went on to say that, on World No Tobacco Day, it was time for leadership from the WHO in educating governments that e-cigarettes were not tobacco products as some states wrongly categorised them. It was time to emphasize that it was the act of lighting and smoking tobacco, not the consumption of tobacco in all its forms, that led to heart and cardiovascular disease.
“In 1976, Michael Russell famously said ‘people smoke for nicotine but they die from the tar’, leading to an acceptance of the nicotine replacement therapy market we have today,” she said. “Yet increasingly the public are being misled into believing nicotine is a problem, when it can be a solution.
“World No Tobacco Day should be a great opportunity to raise awareness of far safer alternative nicotine products to maximise benefits to public health worldwide. The WHO should be empowering people to take control of their health by way of clear messages on differing risks and the relative safety of nicotine, but this year they have sadly missed the target.”
Finally, the NNA said it would like to see a greater commitment by the WHO and NGOs ‘to correcting ideological opposition to successful consumer-driven solutions to lit tobacco, and a better recognition of long-term recreational use of nicotine as a powerful incentive for smoking cessation’.
Tag: United Kingdom
A missed opportunity
Imperial – a better offer
Imperial Brands yesterday published a report giving – for the first time – an overview of the progress it is making in respect of next generation products (NGPs) and outlining its views on a number of key related issues.
The report, From Tobacco to Something Better, is expected to be updated in the future to keep it relevant to what is a quickly-evolving sector.
The 17-page report looks at Imperial’s NGPs timeline, the public health opportunity presented by NGPs, the risk spectrum, products, including snus and heated-tobacco devices, vapor research and development, and regulation.
In an introduction, Imperial’s chief executive, Alison Cooper (pictured), said Nerudia, Imperial’s innovation arm, was “focused on creating a compelling pipeline of innovative products and its entrepreneurial spirit is proving to be a winning addition to our own vibrant culture”.
“In assembling the right components for success, we have deliberately favoured the vapor (EVP) opportunity as it’s by far the largest NGP category,” she said.
“With the technology and scientific insights available to us today, we have never been better placed to be able to transition smokers from cigarettes to something better.
Meanwhile, Matthew Phillips, Imperial’s chief development officer, is quoted in the report as saying that tobacco will be Imperial’s core business for many years to come, generating the funds to invest in NGP.
“But over time that balance will shift and you will see NGP making a material and sustainable contribution to our financial delivery, as we accelerate the transition of smokers to something better,” he said.BAT widens horizons
British American Tobacco has made its first outside investment as it steps up the search for cutting-edge technology that could help it to reduce its reliance on cigarettes and other traditional smoking products, according to story by Bradley Gerrard for the Electronic Telegraph.
The company has backed China Materialia Venture Capital, a Chinese investment fund that is said to seek out early-stage technology firms in a bid to help them develop products that could subsequently be sold to larger companies.
Dr. David O’Reilly, who heads BAT’s research and development division, was quoted as saying that the company had for the first time invested in what he described as a “corporate scouting venture fund” whose aim was to help its investors “secure the latest technology”.Plain unpopular
One year on from the introduction of standardized packaging for tobacco in the UK, new research commissioned by Japan Tobacco International and conducted by the independent polling company Kantar TNS, has revealed that the majority of the UK public are not supportive of the policy.
In a note posted on its website JTI said the largest public opinion poll of its kind since standardized tobacco packaging was introduced, research had found that UK citizens were concerned their government had imported a failed policy from Australia without fully evaluating the potential negative consequences.
The poll had found that:
* ‘Almost two-thirds of the UK population believe that plain packaging will not achieve its primary objective of reducing smoking rates (65 percent) and is a poor use of government resources (65 percent).
* ‘Three out of every five UK adults (58 percent) believe plain packaging will lead to an increase in the number of illegal cigarettes sold in the UK.
* ‘If the UK Government had yet to decide on plain packaging and was considering whether to introduce it today, 69 percent of UK adults believe they should either reject the policy (35 percent) or wait for more evidence of its effectiveness from Australia (34 percent).
* ‘72% of respondents believe the Government would either a) fix a policy review/ignore evidence that went against a preferred policy (29 percent), or b) be reluctant to change their preferred policy if the evidence was weighted against it (43 percent).’
Respondents reportedly were critical also of how the Bill became law:
* ’68 percent think the Government changed the decision-making requirements it had previously set out in order to push it through.
* ‘72% think it was important for the Government to research the links between illegal tobacco and terrorist organizations.’
JTI said that, one year on, the latest data showed no impact on tobacco sales or smoking rates in the UK, and that counterfeit standardized packs had been discovered on high streets as early as one month after the implementation of standardized packaging.
‘An analysis conducted by JTI on UK counterfeit samples shows that tar, nicotine and carbon monoxide levels far exceed those allowed in the country,’ the note said. ‘But this is only the tip of the iceberg: in some cases, counterfeits have been found to contain heavy metals such as arsenic, cadmium and lead, along with other toxic contaminants: asbestos, mold, dust, dead flies, rat droppings – and even human excrement.’
“Plain packaging is failing in the UK, as it has in Australia and France, and as we always warned that it would,” states Jonathan Duce, head of external communications at JTI’s global headquarters in Geneva.
“Rather than wait for results to emerge from Australia – as originally committed to by Health Secretary Jeremy Hunt – the government pushed through a policy without waiting for hard evidence or research into the consequences. Plain packaging should never have been introduced in the UK, and other governments considering the measure should think twice before importing this failed experiment.”A plain failure of policy
Campaigners have called for an independent ‘root and branch’ review of the impact of all tobacco regulations introduced in the UK since 2010, including that requiring standardized tobacco packaging and a tobacco-products display ban at retail outlets.
The call came after evidence emerged that smoking levels had gone up since the introduction this time last year of standardized packaging and other measures.
‘According to independent research, recent statistics suggest that smoking rates in England were higher than for the same time last year before plain packaging was fully implemented on 20th May 2017,’ a Forest press note said.
‘The figures, published this week by the Tobacco Manufacturers Association, follows evidence that plain packaging has also failed to reduce smoking rates in Australia and France.’
‘In 2012 Australia became the first country in the world to impose standardized packaging on tobacco products. Five years after its implementation, data published by the Australian government showed that the measure had made no significant difference to the daily smoking rate.
‘Instead low-priced cigarettes doubled their market share between 2011 and 2016 (from 29 percent to 60 percent) at the expense of medium- and high-priced cigarettes (from 19 percent to 10 percent) as people switched to cheaper brands.
‘France introduced plain packaging of tobacco products in January 2017. One year later data published by the public authority OFDT showed that the number of cigarettes shipped to retailers remained largely unchanged, with a decrease of just 0.7 percent in 2017.
‘The failure of plain packaging to reduce smoking prevalence in France was acknowledged by health minister Agnès Buzyn during a parliamentary debate. According to the minister, plain packaging “does not lead smokers to quit smoking”. She added that she didn’t know if the introduction of plain packaging in France “has been effective in preventing youth from starting smoking”.
As well as standardized packaging, May 2017 saw the introduction of other tobacco control measures. The European Commission’s revised Tobacco Products Directive forced all EU member states to adopt larger health warnings and prohibit the sale of smaller packs of cigarettes and rolling tobacco. A ban on menthol cigarettes will follow in 2020.
“The experience of Australia, France and Britain suggests that plain packaging doesn’t lead to a decline in smoking rates,” said Simon Clark (pictured), director of Forest, the consumer group.
“Governments blunder on from one tobacco control measure to another, regardless of their impact.
“It’s time for an independent root and branch review of all the tobacco control measures introduced since 2010, including plain packaging and the behind-the-counter display ban.”
The failure of standardized packaging was said to be an indictment of the haste with which the policy was pushed through parliament before the 2015 general election.
“Plain packaging has nothing to do with health,” Clark said. “The decision to introduce it in the UK was based not on evidence that it would reduce smoking rates but on party politics.
“It wasn’t right then and it isn’t right now.”Plain packaging failing
The UK-based Tobacco Manufacturers’ Association (TMA) yesterday published data showing how standardized tobacco packaging is failing in the UK.
The TMA said that while reducing smoking levels had been a key objective behind the introduction of standardized packaging in May 2017, the evidence indicated that there had been an upturn in smoking levels in recent months.
‘The Smoking Toolkit Study has found that on a three-month rolling average, from December 2017 to March 2018, smoking rates in England were higher than for the same time last year before plain packaging was fully introduced,’ the TMA said in a press note.
‘The TMA estimates that if the same effect was seen across the UK, there would be approximately 350,000 more adult smokers in March 2018 than a year before plain packaging was fully introduced.
‘This reflects international evidence that plain packaging doesn’t deter smoking. France introduced plain packaging in January 2016. The French Health Minister, Agnes Buzyn, recently admitted that: “Plain packaging did not contribute to the decrease of official tobacco sales”.’
At the same time, the TMA said, standardized tobacco packs had delivered a huge benefit to criminals because counterfeiting a single pack design was easier, cheaper and more profitable than was counterfeiting different designs.
‘Counterfeit plain packaged tobacco products have already been found across the country,’ the TMA said.
‘The Government was warned this would happen by the tobacco industry, law enforcement and intellectual property experts.’
Meanwhile, the TMA said that new polling it had conducted during the past two months had found that smokers were being pushed towards the illegal market by plain packaging. Over a quarter of UK smokers said that the measure had made them more likely to buy untaxed tobacco, the equivalent of 1.9 million people across the UK.
“The recent evidence shows that plain packaging appears to be failing in the UK like everywhere it has been introduced,” said Giles Roca, director general of the TMA.
“It appears not to be delivering the health outcomes it was claimed it would bring while at the same time is proving to be a boon to the black market by encouraging smokers to buy from illicit sources.
“The Government should recognise that plain packaging is failing and undertake a full and immediate review of this policy.”Business heating up
Imperial Brand’s total tobacco volume during the six months to the end of March, at 123.6 billion stick-equivalents, was down by 2.1 percent on that of the six months to the end of March 2017, 126.3. Stick-equivalent volume is said to include cigarette, fine-cut tobacco, cigar and snus volumes.
During the same period, the company’s Growth Brand volume was increased by 6.3 percent, from 73.0 billion to 77.6 billion.
In the US, Stick-equivalent volume was down by 3.7 percent to 10.8 billion.
Imperial’s tobacco net revenue during the six months to the end of March, at £3,531 million, was down by 5.0 percent on that of the six months to the end of March 2017, £3,716 million.
Tobacco adjusted operating profit was down by 8.0 percent to £1,533 million, while logistics adjusted operating profit increased by 20.7 percent to £99 million, and total adjusted operating profit fell by 6.7 percent to £1,624 million.
Adjusted earnings per share were down by 6.2 percent to 114.3p.
Commenting on Imperial’s interim results, which were issued today, chief executive, Alison Cooper, said Imperial was continuing to make good progress in both tobacco and next generation products (NGP).
“Investment in our key tobacco brand equities has strengthened our position in our priority markets, with further share gains driven by Growth Brands,” Cooper was quoted as saying.
“Within a tough but improving environment, we exited the first half with much stronger price/mix and expect to convert our improved share into top-line growth in the second half.
“In NGP our product and market launches are on track. My blu is generating positive trade and consumer feedback and we continue to invest in developing our pipeline of proprietary innovations, including heated tobacco, to enhance the consumer experience and realise our growth ambitions.
“As we sharpen our focus on the brands, products and markets that are central to our strategy, we are progressing opportunities for divestments, initially targeting proceeds of up to £2 billion within the next 12-24 months. This will further simplify the business, enhance performance and release capital to pay down debt, deliver returns to our shareholders and, where appropriate, invest in our growth agenda.”Vapers to have their say
Representatives of the UK’s vaping industry and consumers are due to give evidence later today to the House of Commons’ Select Committee on Science and Technology.
The Committee, made up of a cross-party group of MPs, is scheduled to start its meeting at 17.05.
It has been examining the impact of electronic cigarettes on human health, and, as part of that examination, their effectiveness as a stop-smoking tool.
It has examined also the regulatory landscape.
John Dunne (pictured), director of the UK Vaping Industry Association (UKVIA), will be giving evidence in front of the Committee alongside Fraser Cropper, chairperson of the Independent British Vape Trade Association and Sarah Jakes, chairperson of the New Nicotine Alliance.
“This is a great opportunity to present the industry’s perspective on how regulation impacts the sector on a day to day basis, both the good and the bad,” Dunne was quoted as saying as part of a press note issued by the UKVIA yesterday.
“E-cigarettes are valuable tools which will reduce the number of people smoking conventional cigarettes. Yet, despite the consensus from leading health bodies that vaping is likely to be at least 95 percent less harmful, there is still a huge amount of misinformation out there.
“We are hoping that our evidence … will inform MPs on how they can direct regulation to help us in our mission to inform the 7.6 million smokers in the UK – and the 40 percent of smokers who haven’t even tried it – of the potential health benefits of switching to vaping.”
The UKVIA said the UK had become an early adopter of vaping technologies, with the nation’s smokers keen to adopt an alternative to smoking.
‘By 2012 there were already 700,000 vapers in the UK and in 2017 this figure reached nearly three million people, over half of whom have given up smoking entirely.’Promoting innovation
A UK minister has said he would consider the use of cigarette packs to promote electronic cigarettes as a smoking-cessation aid, according to a story by Julia Robinson for The Pharmaceutical Journal
The proposal was put to Steve Brine, the Parliamentary Under Secretary of State for Public Health and Primary Care, by MP Stephen Metcalfe at a House of Commons Science and Technology Committee hearing on e-cigarettes.
Brine was giving evidence along with representatives from the Department of Health and Social Care (DHSC), Public Health England (PHE), the National Institute for Health and Care Excellence and the Medicines and Healthcare products Regulatory Agency.
Tim Baxter, who, at the DHSC, is the director of healthy behaviours, reportedly told the committee that under current legislation it was illegal to put promotional material into cigarette packs, but he agreed with Brine that it was something the government should look into further.
“It’s an interesting point, let me think about it,” Brine told MPs. “In a time of tight resource it’s a very direct message.”
Brine told the committee it was important to continue building a robust evidence base around e-cigarettes so that it would become “a no-brainer” for local authorities to make the decision to promote them as a smoking cessation aid.
Robinson’s story is at: https://www.pharmaceutical-journal.com/news-and-analysis/news/steve-brine-open-minded-on-using-cigarette-packets-to-promote-vaping/20204755.article.BAT embracing change
British American Tobacco’s chairman, Richard Burrows, was due today to tell the company’s Annual General Meeting that the industry was entering a dynamic period of change.
The AGM was due to start at 11.30 in London.
“An unprecedented confluence of technology, consumer demand, societal change and public health awareness has created a unique opportunity; the opportunity to make a substantial leap forward in our long-held ambition to provide consumers with less risky tobacco and nicotine choices,” he was quoted as saying in a note posted on the company’s website ahead of the meeting.
“The Group’s wide range of potentially less harmful products which provide the enjoyment of smoking without burning tobacco, means that your company is ideally positioned to further shape the future of the business during a period of profound change which can deliver benefits for: consumers, who will have a range of potentially safer choices; society, which could benefit from real progress in tobacco harm reduction; and shareholders, who will own a sustainable and profitable business.
“Our portfolio of potentially reduced-risk products includes next generation products, comprising vapor and tobacco heating products, as well as oral tobacco and nicotine products such as snus and moist snuff. These smokeless products offer genuine choices to consumers searching for alternatives to traditional cigarettes and form the centre piece of our strategy to transform tobacco – with the consumer at its core.
“Our commitment to this transformation is not new, but the progress we have made to date gives us confidence to set clear ambitions for the future. By the end of 2018 our objective is to more than double our revenue from next generation products to substantially more than £1 billion.
“Our tobacco heating product, glo, is already demonstrating this opportunity in Japan and has now grown to a 4.3 percent share of the total market, despite capacity constraints limiting the supply of heating devices. We remain confident that these constraints will be removed during Q2.
“Notwithstanding the good progress we are making with our potentially reduced-risk products, combustible products will remain at the core of our business for many years to come – delivering growth today and providing the funds required for investing in the future. I am therefore pleased that 2017 saw the Group deliver another good underlying performance illustrating its ongoing strength – delivering against our financial commitments while investing for the changing environment. The Group’s market share, revenue and profit all grew in 2017 and total Group cigarette and tobacco heating product volume grew 3.2 percent to 686 billion while the industry was estimated to have declined by around 3.5 percent.
“The Group’s approach of placing the consumer at the centre of its strategy, along with a multicategory portfolio of products designed to address their varying preferences, ensures that our business is in an even stronger position to deliver long-term, sustainable growth. We are the only company growing share in all key product categories – in vapor, tobacco heating, oral tobacco and combustible cigarettes.”
Turning to 2018, Burrows was quoted as saying that foreign currency exchange rates were a headwind for the business this year. “If rates were to stay at current levels, the Group would face a translational foreign exchange headwind of seven percent on organic operating profit and eight percent on earnings per share,” he was expected to tell the AGM. “As previously announced, mainly due to volume shipment phasing and pricing in certain markets, including the GCC and Russia, profit growth is expected to be skewed to the second half.
“Given the success of the next generation product portfolio, the Group has decided to further increase investment plans behind next generation products during 2018, with a significant number of roll-outs and launches planned towards the end of Q3. And although trading conditions remain challenging, the Group remains on track for another good year of earnings growth, excluding the impact of currency translation…”
