Impact of New Tobacco Regulations on Dutch Retailers: Analysis

Dec.23.2024

The number of registered tobacco shops in the Netherlands has increased by over 200, following new regulations.

According to NL Times on December 23, the number of registered tobacco shops in the Netherlands has nearly reached 1,675 by the end of 2024, representing an increase of over 200 from the 1,466 at the end of 2023.

Since 2013, only a small number of tobacco shops have been registered with the Chamber of Commerce in the Netherlands (KvK), and in some years the number of tobacco shops has even decreased. This year's growth is believed to be related to the new regulations that came into effect on July 1. According to these regulations, supermarkets and snack bars are prohibited from selling cigarettes, e-cigarettes, and any other tobacco products.

Before the new policy took effect, chain supermarkets like Albert Heijn and Lidl had already stopped selling tobacco products. Smokers now can only purchase related products at tobacco shops, convenience stores, gas stations, and wholesalers.

According to data from KvK, the most significant increase in the number of tobacco and convenience stores was observed in the provinces of Flevoland and South Holland. In Flevoland, the number of tobacco stores increased from 19 to 29, a growth of over 50%. Meanwhile, South Holland saw a net increase of 109 stores, with a growth rate of 26%.

The tobacco industry association NSO Retail states that, due to the implementation of a sales ban, tobacco shops have seen a significant increase in revenue. Meanwhile, the trade organization Drive also points out that gas stations have benefited from this.

References:

[1] Over 200 tobacco shops opened since ban on tobacco sales for supermarkets

Also Read:

[1] Dutch Lawmakers Proposes Lowering Excise Duties as Revenues Fall Short of Expectations

[2] The Continued Prevalence of Flavored E-Cigarettes in the Netherlands

[3] Netherlands Implements Neutral Packaging for Tobacco and E-cigarettes

[4] Proposal to Standardize the Function and Appearance of E-Cigarettes

[5] Dutch Government Bans Flavored E-cigarettes from January, 2024

[6] Dutch Retail Chain Albert Heijn Stops Selling Tobacco Products in Stores

[7] Supermarkets in the Netherlands Open Tobacco Stores to Avoid Ban

[8] Dutch E-cigarette Consumers Stock Up on Flavored Products

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