Category: Business

  • Rumors of U.K. Dropping Generational Tobacco Ban

    Rumors of U.K. Dropping Generational Tobacco Ban

    Image: methaphum

    The U.K. government may be backtracking on its plans to implement a generational tobacco ban, reports Tobacco Insider. According to the website, Britain may settle instead for raising the legal smoking age from 18 to 21.

    Under the proposed legislation, children who turn 14 or younger in 2023 would never be able to legally purchase a cigarette. A public consultation on the plans closed Dec. 6.

    Tobacco companies have reportedly been engaging heavily with lawmakers. Earlier this month, Philip Morris International held roundtable events with members of parliament as part of its efforts to ensure that heated-tobacco products are exempt from any future smoking ban.

    BAT was reportedly also scheduled to hold a private event on the plans to phase out smoking.

    Many libertarian Members of Parliament are said to dislike the idea of government limiting people’s choices.

    In November, New Zealand and Malaysia scrapped plans for similar generational tobacco bans.

  • BAT Designer Urges Responsible NGP Creations

    BAT Designer Urges Responsible NGP Creations

    Photo: KFF

    Product designs should not center only on providing attractive appearance but also encompass meaning, value and responsibility, according to Ken Kim, head of design at the BAT Group.

    “The role of designers is changing, from simply designing products to assuming social and environmental responsibilities,” Kim said at the Design Korea conference, which took place Nov. 1-5, 2023, in Seoul. “This [new role] is not a choice for individual designers to make, but a common goal the industry and society must undertake together in order to move forward.”

    Kim is the first Korean to head BAT’s product design division. His portfolio includes tobacco heating products such as Vuse Epod 2, Glo Pro Slim and Glo Hyper X2. 

    During the conference, which was reported in The Korea Herald, Kim reviewed measures on how designs could address social issues such as carbon neutrality amid heightened regulations, emphasizing that designs could function as an important key to the tobacco industry’s sustainable future.

    He stressed the importance of designing products in ways that do not appeal to underage consumers. “We need a balanced design strategy that does not stimulate the curiosity of minors, through conducting analysis of design preferences by age groups,” he was quoted as saying. 

  • Dinner Lady Vape Suffers Massive Fire in UK Factory

    Dinner Lady Vape Suffers Massive Fire in UK Factory

    dinnerladyThe U.K. e-liquid and hardware brand Dinner Lady is attempting to leverage a network of overseas manufacturing facilities to maintain its product supply after a massive fire ripped through its factory last week .

    A company representative told The Grocer that “the majority of customers will not experience any change to their scheduled orders”.

    However, it also warned that some customers “may experience interruption.” The company will continue to take on new orders, a spokeswoman for Dinner Lady said.

    “Most importantly, we can report that no one was hurt in the fire and all our members are safe and well, thanks to the actions of our headquarters team and the local fire and emergency rescue teams,” the Dinner Lady spokeswoman added.

    The company said it wanted to “reassure our customers that our business operation is open and continuing as usual.”

    The factory was completely destroyed.

  • Innokin Creates Partnership With Bahrain Duty Free

    Innokin Creates Partnership With Bahrain Duty Free

    Credit: Innokin

    Innokin, a leading vape brand since 2011, has announced its strategic partnership with Bahrain Duty Free, a prestigious retailer in the Middle East.

    The collaboration will see the introduction of Innokin’s popular INNOBAR vaping products to Bahrain Duty Free’s premium stores, catering to the increasing demand for e-cigarettes in the region, according to a press release.

    The new partnership began with a pilot project launched in April 2023. Within two weeks, the entirety of the trial stock had sold out.

    “Building on this remarkable success, the collaboration has now expanded to provide customers with greater access to Innokin’s award-winning vaping solutions,” the release states. “Innokin’s INNOBAR devices, in particular, have garnered significant interest for their exceptional performance and flavors which are tailored to suit the preferences of the Bahrain market.”

    Currently INNOBAR 3500, 6000 and V7000 models are available at Bahrain Duty Free locations. A key element of the partnership has been the knowledge-sharing and training provided by Innokin’s experts to the management of Bahrain Duty Free.

    “We are thrilled about our partnership with Bahrain Duty Free. This collaboration signifies not only our dedication to the growing Middle East market but also our commitment to fostering responsible practices in the industry,” said George Xia, co-founder of Innokin. “With our decade-plus experience and the shared values of both organizations, we are confident that this partnership will set new standards of excellence for vaping.”

  • Juul Labs Working to Raise $1 Billion in Funding

    Juul Labs Working to Raise $1 Billion in Funding

    Credit: Jet City Image

    Juul Labs is seeking to raise about $1 billion, reports Bloomberg News

    The e-cigarette manufacturer, which had about $800 million in revenue in 2022, is reportedly working with Jefferies Financial Group for the fundraising.

    In July, the company said it was exploring options including financing alternatives, to protect its business and help refinance an existing loan, as it dealt with lawsuits related to the marketing of its e-cigarettes.

    In November 2022, Juul secured a cash infusion to keep the company in business while it appeals the U.S. Food and Drug Administration’s marketing denial order related to its vapor products.

    A pioneer in the vaping business, Juul Labs has gone from dominating the U.S. e-cigarette market to fighting for its survival in a relatively short time.

    Following its initial success, the company quickly came under regulatory scrutiny over its marketing practices. Critics blame Juul Labs for contributing to an “epidemic” of underage vaping.

  • China Vape Exports Top $3.36 Billion for First Half of 2023

    China Vape Exports Top $3.36 Billion for First Half of 2023

    Credit: Nikolay N. Antonov

    A Shenzhen Special Zone Newspaper’s official X (formerly Twitter) account reported that Shenzhen, China exported Yuan 26.2 billion ($3.36 billion) of e-cigarettes in the first half of 2023, up 35.8 percent year over year.

    “We check the data of the General Administration of Customs of China that the export of e-cigarettes in the first half of 2023 is Yuan 37.78 billion, that is to say, the export of e-cigarettes in Shenzhen in the first half of this year accounted for 69.3 percent of the country,” the account states.

    Total exports were Yuan 1.05 trillion, an increase of 14.4 percent; Total imports were Yuan 628.49 billion.

    On the whole, Shenzhen’s imports and exports maintained a steady growth trend in the first half of the year.

  • Doctors Decry Tobacco’s Pharma Investments

    Doctors Decry Tobacco’s Pharma Investments

    Photo: Hero Images

    Pulmonologists are concerned about the tobacco industry’s investments in the pharmaceutical business, according to a Nieuwsuur report relayed by the NL Times.

    Confronted with declining sales in their traditional line of business, cigarette manufacturers have been exploring adjacent activities, including in the medical sector. For example, Philip Morris International in 2021 acquired the Vectura Group, a British manufacturer of inhaled treatments, and Fertin Pharma, a Danish developer and manufacturer of pharmaceutical and well-being products based on oral and intra-oral delivery systems.

    British American Tobacco and Japan Tobacco, too, have medical interests.

    Nieuwsuur journalists looked at 87 pharmaceutical products and medicines the tobacco industry is investing in. They found that half of the products are intended to treat diseases linked to smoking, including lung diseases, heart disease and diabetes.

    Frits Franssen, pulmonologist and professor of COPD at the University Medical Center in Maastricht in the Netherlands, worries about tobacco companies’ growing presence in the pharmaceutical business. He called their investments into medicines that treat smoke-related illnesses “uncomfortable,” pointing out that they’re earning twice from the smoker—once from the packet of cigarettes, then from treating the diseases caused by smoking.

    Tobacco companies insist that their diversification efforts fit with their strategy to reduce the health toll of tobacco use. By investing in noncombustible products, for example, they are offering smokers a less harmful way to consume nicotine.

  • Bidi Makes First Shipment to 900 Kwik Trip, Mapco Stores

    Bidi Makes First Shipment to 900 Kwik Trip, Mapco Stores

    Credit: Aaron

    Kaival Brands Innovations Group, the distributor of products manufactured by Bidi Vapor, today announced the initial shipment of Bidi Sticks to over 900 Kwik Trip and Mapco locations

    According to a press release, the company expects to ramp up shipments to over 1,200 locations planned by the end of 2023, with Kwik Trip representing over 900 of those locations.

    On Thursday, the company made its first shipment of Bidi Sticks to over 1,000 Circle K locations, with a ramp-up to 5,000 locations by the end of the year within the South Atlantic and Midwest regions of the United States.

    “Ultimately, our goal is to ramp up to over 1,200 locations this year within those two retailers, both of whom adhere to our strict requirements for adult-only sales and youth-access prevention,” stated Eric Mosser, president and COO of Kaival Brands.

    “We are encouraged by the renewed momentum we are experiencing (subject as always to FDA enforcement discretion) with retailers like Circle K, Kwik Trip, and Mapco who champion compliance and youth-access prevention and recognize our ongoing efforts since last year to educate retailers and distributors of the business value of marketing Bidi Stick versus non-compliant competition.”

    In March, Kaival Brands Innovations Group entered into a sales broker agreement with a prominent U.S. broker to expand access to Bidi Vapor products from its current foundation of convenience store distribution into new retail channels, including discount, grocery and mass merchandisers.

  • Philter Gets $1 Million Investment For Vape Future

    Philter Gets $1 Million Investment For Vape Future

    Image: Tobacco Reporter archive

    Philter Labs secured an AUD1 million ($675,376) investment from Atayf Investments and a warrant for an equivalent investment by the end of 2023, according to PR Newswire. Btomorrow Ventures, the venture capital arm of BAT, originally led the financing round. The allocated funds will further propel R&D initiatives within the company. They will also back the introduction of a heat-not-burn device designed specifically for organic substrates with the ability to eliminate secondhand smoke.

    Atayf Investments is the Family Office investment group associated with Charlie (Khalil) Shahin AO, managing director of Peregrine Corp. Peregrine operates the On the Run brand of service stations and convenience stores in South Australia; this privately owned Australian company has a broad reach. It also manages Smokemart and GiftBox tobacconists vape and other retail stores throughout Australia.

    Charlie (Khalil) Shahin AO, CEO of Peregrine, said, “We are excited about our investment in Philter. Their unique technology and products address consumer trends in vaping and smoking. I’m especially impressed with the caliber of the management team and their vision to address the secondhand smoke issues.”

    Philter holds nine granted utility patents and has filed over a dozen additional patents for advanced technologies that miniaturize the filtration footprint. These patents enable Philter technology to be ubiquitous within any vaping device and any form factor for combustibles.

    Philter CEO Christos Nicolaidis added, “We are thrilled about this strategic investment from Atayf Investments Pty Ltd. This relationship expands the global reach of our current products in areas where Peregrine has a strong retail footprint. We are excited about advancing our proprietary technologies that will be very disruptive to the smoking and vaping markets that are growing at 14–27 percent CAGR, based on independent industry research.”

  • Innokin Holds Anniversary Celebration for 2 Devices

    Innokin Holds Anniversary Celebration for 2 Devices

    Innokin is holding an anniversary celebration in honor of the company’s Endura and Platform series products.

    Endura and Platform products have been on the market for eight years and six years, respectively.

    During the event, Innokin is making all purchases of Endura and Platform series products eligible for a prize draw. Innokin is also offering special discounts to distributors and wholesalers on direct orders throughout the anniversary campaign.

    The company’s flagship entry-level Endura series launched in 2015 with the Endura T18. Since then, the reliable build quality and consistent performance of the T18 have become its defining features, according to Innokin.

    The Platform series, which was designed in collaboration with vaping experts Phil Busardo and Dimitris Agrafiotis, launched in 2017.

    Since being introduced to the market, both Endura and Platform series products have sold millions of units in more than 100 markets, according to Innokin.

    The anniversary celebration ends on April 16, 2023.