TPD – Tobacco Products Directive – 20th May 2016
New Regulation Hinders the E-Cigarette Industry
The Department of Health is set to introduce a new regulation that will place new controls on the e-cigarette industry. This will have a huge impact on the industry that includes an increase in the prices of e-cigarettes and a reduction of choices for consumers.
Small and medium-sized businesses who want to venture into the e-cigarette industry will now find it to be an uninviting one because there are talks that major tobacco companies will be more involved in the making of the e-cigarettes.
That is not the only problem for the e-cigarette industry. Because of the higher e-cigarette prices, consumers might go back to smoking. This will not just be bad news to the industry but to public health professionals as well.
A black market can also develop as a result of the new regulation. Once the regulation is implemented, consumers will have less choice in the legal market. They will look for other choices not knowing that they are buying products that are potentially harmful.
What the New Rules Bring:
The new rules on e-cigarette will establish minimum standards for the quality and safety of e-cigarettes and the refill containers. Companies are required to give all the data they have on their products to regulators. It is part of the Department of Health’s drive to tighten the rules regarding tobacco.
While the government believes that the stronger tobacco control can result in savings because the NHS will be treating less people for diseases related to smoking, this will be a big blow to the e-cigarette industry. According to industry estimates, companies will lose around £140 million. Most of the hardware is produced in China, and there is an increasing number of e-liquid manufacturers moving their operations to China as well.
Vapers for Britain, an advocacy group, said that the Department of Health didn’t quantify any benefits of implementing stricter regulations of e-cigarettes. The Department of Health said that the best thing that smokers can do for themselves is to quit smoking. The health department added that switching to e-cigarettes doesn’t solve the problem because smokers are just opting for a less harmful alternative to smoking tobacco.
Too much regulation can suppress growth and innovation in the e-cigarette industry. The new rules will also reduce the choices for smokers. And when there are fewer choices, consumers might go to the black market that will sell them hazardous and ineffective products. Limiting the nicotine content might make electronic cigarettes less effective as a substitute for cigarettes. And the health warnings might discourage consumers to use them.