Introducing Russia's Honest Label System, CRPT

Nov.11.2022
Introducing Russia's Honest Label System, CRPT
Russia's CRPT is a government-operated product label and tracking system to combat illegal markets and regulate taxes.

The "Honest Label" CRPT is a system for electronic tagging and tracking of goods information launched by the government of the Russian Federation, officially in operation since 2019. The system uploads product data to the Federal Tax Service and Quality Supervision Department to assist in taxation and product quality regulation.


Tobacco products were among the first goods included in this system. Prior to the introduction of labels, the illegal tobacco market in Russia was rapidly expanding. However, since the implementation of labels, it has been steadily decreasing year by year. By 2022, the illegal market share had decreased by a quarter, falling from 15.6% in 2019 to 11.5% in 2021.


Honest Labels on Products/Image Source: YANDEX


According to the data from the Russian Ministry of Industry and Trade, the effectiveness of market control and product supervision enforcement has significantly improved due to "honest labeling." In the first quarter of 2022, the number of illegal tobacco products seized was 11.1 million packs, a 72.5% increase compared to a year ago. At the same time, the number of legally registered tobacco sales outlets increased by 29%.


Currently, the system has implemented the issuance of electronic tags for tobacco products, certain pharmaceutical products, shoes, clothing, cameras, tires, and perfumes. In the future, electronic tags will be extended to all production fields, from bicycles and household chemicals to pipelines and industrial cables, among other industries.


Starting on December 1st, 2022, all electronic cigarette products will be required to have "honest labeling" and products without proper labeling will be prohibited from being sold on the market.


Currently, the illegal distribution of electronic cigarettes is rampant in the Russian market, and the government regulatory agencies have been lacking effective means to regulate the market. The Ministry of Finance has repeatedly stated that it plans to increase the tax budget for electronic cigarette products by 2023, and tighter regulation is the trend.


The mandatory implementation of "honest labeling" will impact the illegal circulation market. Incomplete statistics indicate that less than half of the electronic cigarette products on the market have been labeled. The budget proposal for regulating electronic cigarettes in the Russian Duma Parliament shows that the legalization of the electronic cigarette market will increase government tax revenue by over 100 billion rubles. Building on their success in regulating the traditional tobacco market, the Russian federal government will continue to push for the mandatory inclusion of electronic cigarette products in "honest labeling.


2FIRSTS will continue to bring you related news on 'honest labeling'.


1) This article is solely intended for internal industry communication and discussion and does not serve as an endorsement or recommendation for any brand or product. 2) Smoking is harmful to one's health. Minors are prohibited from reading this article.


This article is an original creation of Shenzhen 2FIRSTS Technology Co., Ltd, and its copyright and permission to use belongs to the company. Any unauthorized reproduction, reprinting, or other infringement of the company's copyright by any individual or entity is strictly prohibited. The company reserves the right to take legal action against violators.



Disclaimer

This article is provided solely for professional research, industry discussion, and informational purposes. Any references to brands, companies, products, technologies, or policies are made for factual reporting and analytical purposes only, and do not constitute endorsement, recommendation, promotion, or advertising by 2Firsts.

Nicotine-containing products, including but not limited to cigarettes, e-cigarettes, heated tobacco products, and nicotine pouches, carry significant health risks. Readers are responsible for complying with all applicable laws and regulations in their respective jurisdictions, including age restrictions and access limitations.

The information contained in this article should not be regarded as investment, legal, medical, regulatory, or commercial advice. While 2Firsts strives to ensure the accuracy and reliability of its content, it does not assume liability for any direct or indirect loss arising from errors, omissions, inaccuracies, or reliance on the information contained herein.

This article is not intended for individuals below the legal age for accessing tobacco or nicotine-related information in their jurisdiction.

 

Copyright Notice

This article is either original content produced by 2Firsts or content reproduced, translated, summarized, or adapted from third-party sources with attribution where applicable. The intellectual property rights of the original content remain with 2Firsts or the respective original rights holders.

No individual or organization may copy, reproduce, distribute, republish, modify, translate, or otherwise use this content without prior authorization. Any unauthorized use may result in legal action.

For copyright-related inquiries, corrections, or removal requests, please contact: info@2firsts.com.

 

AI-Assisted Translation and Editing Notice

Portions of this article may have been translated, edited, or reviewed with the assistance of artificial intelligence tools to improve efficiency and readability. Due to the limitations of AI-assisted translation and editing, discrepancies, omissions, or inaccuracies may exist when compared with the original source.

Where applicable, readers are advised to refer to the original source for the most complete and accurate information. If you identify any errors or believe that any content infringes upon your rights, please contact us at info@2firsts.com, and we will review and address the matter promptly.

2Firsts Exclusive Analysis | RLX Q1 Revenue Rises 96.2%, International Business Points to a More Integrated Global Strategy
2Firsts Exclusive Analysis | RLX Q1 Revenue Rises 96.2%, International Business Points to a More Integrated Global Strategy
RLX Technology’s Q1 net revenues rose 96.2% year over year, with international business accounting for 72.3% of total revenue. Beyond the headline growth, the results point to deeper globalization: European operations, Nexus supply-chain integration and a broader product portfolio are becoming key signals to watch.
Special Report
May.20
FDA Warns Retailers Over Unauthorized Nicotine Pouches Resembling Candy and Everyday Products
FDA Warns Retailers Over Unauthorized Nicotine Pouches Resembling Candy and Everyday Products
The FDA issued warning letters to eight retailers selling unauthorized nicotine pouches and dissolvable tobacco products resembling candy, breath strips and cough drops. The action highlights rising scrutiny of packaging, youth appeal and accidental ingestion risks, as the agency clarifies enforcement priorities for unauthorized ENDS and nicotine pouch products while maintaining PMTA as the legal market pathway.
Special Report
May.21
Bringing Tax and Insurance Into Nicotine Regulation: Insights From a Tobacco Harm-Reduction Report
Bringing Tax and Insurance Into Nicotine Regulation: Insights From a Tobacco Harm-Reduction Report
A smoke-free nicotine policy report argues that tobacco harm reduction should move beyond product bans and health warnings into tax policy, insurance pricing and risk-based regulation. While some projections remain open to debate, the report highlights a wider challenge: nicotine products, technologies and consumer behavior have changed sharply over the past decade, and regulatory systems may need new tools to better align tobacco control with harm-reduction goals.
Jun.08
UK Vaping Products Duty to Raise £565 Million by 2030/31
UK Vaping Products Duty to Raise £565 Million by 2030/31
The UK will introduce Vaping Products Duty on all vaping liquids from October 1, 2026, with government revenue forecast to rise from £135 million in 2026/27 to £565 million by 2030/31.
Jun.18
Germany Expands Take-Back Rules for Disposable Vapes From July 1
Germany Expands Take-Back Rules for Disposable Vapes From July 1
Germany has expanded take-back obligations for disposable vapes from July 1, 2026, requiring consumers to be able to return used devices at stores that sell such products, including kiosks, petrol stations and vape shops, as e-cigarette regulation extends from sales to waste management and lithium-battery safety.
Market
Jul.06 by 2Firsts Perspectives
2Firsts Hosts U.S. Compliance Briefing on Building PMTA Support Capabilities Across the Nicotine Supply Chain
2Firsts Hosts U.S. Compliance Briefing on Building PMTA Support Capabilities Across the Nicotine Supply Chain
2Firsts held a U.S. compliance briefing in Shenzhen to help vaping, heated tobacco and nicotine pouch supply chain companies strengthen PMTA support capabilities. The event focused on supplier documentation, quality systems, traceability, TPMF/TPMP pathways, age verification and customer audit readiness as U.S. compliance expectations increasingly extend deeper into the nicotine supply chain.
Events
Jun.12