From the Associate Editor
There’s really never a dull moment for the tobacco industry and 2020 has certainly started off with a bang.
First, there was the US flavor ban on all flavors except tobacco and menthol in e-cigarette cartridges that came into effect in early February, after being on tenterhooks since last year. Finally knowing what was actually banned and what was acceptable was a relief, allowing manufacturers, retailers, and consumers to know exactly how things stand moving forward.
Around the same time that the flavor ban came into effect, executives from leading e-cigarette and vaping manufacturers found themselves in front of a US House committee, fielding questions and attacks from representatives who seemed more intent on hurling accusations rather than actually listening to any explanations. Not exactly something new for industry executives, but still disappointing, nonetheless.
Most recently, the current US administration revealed a proposed budget for 2021 that would shift the oversight of tobacco products from the Food and Drug Administration (FDA) and create a new agency under the US Department of Health and Human Services. According to the budget plan, the new agency would operate with a singular mission on tobacco and its impact on public health. The administration expects that by doing so the agency would have greater capacity to respond strategically to new tobacco products while allowing FDA to focus on its traditional mission of ensuring the safety of the country’s food and medical products. Of course, the budget plan must first be passed by Congress, but if the plan for this new agency were to actually come through, it would definitely mean a huge landscape shift for the industry.
The outbreak of Covid-19, which has affected most of Asia and has reached other parts of the world, leading to the cancellation of some conferences and events. The organizers of IECIE, the major e-cigarette expo held annually in Shenzhen in April has been postponed, however, no new dates have been announced. Likewise, the 2020 annual Tax Free Asia Pacific Expo which has a sizable tobacco component, originally scheduled for May in Singapore is canceled entirely.
Last, at least for now, is the looming deadline this May 12 for e-cigarette manufacturers to submit pre-market tobacco product applications (PMTAs) to FDA in order to be allowed on the US market. This covers any new device or flavor product as well as products that were recently banned. FDA will consider the products’ existing risks and benefits to the population as a whole. PMTAs are but the beginning of a lengthy review process, which is expected to last up to 12 months, but what FDA decides will set precedence for these products not only in the US but in other countries as well.
All of this is happening against a backdrop of all the “normal” challenges the industry has been facing, such as anti-smoking efforts from lawmakers and various agencies, plain packaging laws, bans, raised taxes, shifting consumer preferences, etc. It seems the “exciting times” in the industry will continue.