Pakistan's Rising Fake Cigarette Scandal: Urgent Need for Stronger Measures

Regulations by 2FIRSTS.ai
Jan.23.2024
Pakistan's Rising Fake Cigarette Scandal: Urgent Need for Stronger Measures
The fake cigarette scandal in Pakistan is causing uproar as it results in a staggering loss of 5.7 billion rupees annually.

According to a report by media outlet Samaa on January 22nd, the counterfeit cigarette scandal is causing a major uproar in Pakistan, with an astonishing loss of 5.7 billion Pakistani Rupees (approximately 34 million USD) to the national treasury annually. Currently, private tobacco giants are exerting pressure on the government to implement a stronger tracking and enforcement system to curb the spread of the black market.

 

Representatives of the Pakistan Tobacco Company (PTC) vividly described the challenges facing the industry at a recent media briefing. They emphasized the government's sluggish response to the illegal tobacco trade and urged it to take concrete measures to prevent further deterioration of the issue.

 

A spokesperson for the Pakistan Tobacco Company (PTC) has expressed grave concerns over the issue of counterfeit tobacco, stating that an estimated 850 million packs of counterfeit cigarettes flow into major cities such as Karachi, Lahore, and Islamabad each year, resulting in a loss of more than 5.7 billion Pakistani rupees to the national treasury. The spokesperson has called on the Federal Board of Revenue to prioritize robust tracking and enforcement systems for monitoring this problem.

 

The media briefing further exposed the despicable actions of counterfeiters, revealing their practice of printing fake cigarette labels on counterfeit well-known tobacco brands. This discovery highlights the urgency to implement existing laws and regulations. A spokesperson for the PTC expressed deep concern over the sharp decline in legal tobacco production, stating, "In just five months, our production has plummeted by 40%, while the market share of illegal tobacco has surged. It is apparent that the police and FBR are powerless to enforce the relevant laws, allowing this illegal trade to rampage.

 

What is more concerning is that counterfeiters have managed to evade tracking and enforcement systems, despite their existence. The significant issue of counterfeit cigarette labels on illegal tobacco seriously calls into question the effectiveness of the system and highlights the urgent need for an immediate upgrade and stricter enforcement of the existing system.

 

We welcome news tips, article submissions, interview requests, or comments on this piece.

Please contact us at info@2firsts.com, or reach out to Alan Zhao, CEO of 2Firsts, on LinkedIn


Notice

1.  This article is intended solely for professional research purposes related to industry, technology, and policy. Any references to brands or products are made purely for objective description and do not constitute any form of endorsement, recommendation, or promotion by 2Firsts.

2.  The use of nicotine-containing products — including, but not limited to, cigarettes, e-cigarettes, nicotine pouchand heated tobacco products — carries significant health risks. Users are responsible for complying with all applicable laws and regulations in their respective jurisdictions.

3.  This article is not intended to serve as the basis for any investment decisions or financial advice. 2Firsts assumes no direct or indirect liability for any inaccuracies or errors in the content.

4.  Access to this article is strictly prohibited for individuals below the legal age in their jurisdiction.

 

Copyright

 

This article is either an original work created by 2Firsts or a reproduction from third-party sources with proper attribution. All copyrights and usage rights belong to 2Firsts or the original content provider. Unauthorized reproduction, distribution, or any other form of unauthorized use by any individual or organization is strictly prohibited. Violators will be held legally accountable.

For copyright-related inquiries, please contact: info@2firsts.com

 

AI Assistance Disclaimer

 

This article may have been enhanced using AI tools to improve translation and editorial efficiency. However, due to technical limitations, inaccuracies may occur. Readers are encouraged to refer to the cited sources for the most accurate information.

We welcome any corrections or feedback. Please contact us at: info@2firsts.com

Iowa Sets November 16 Vape Directory Launch: Unlisted Products Face Sales Ban, Manufacturers $1,000 Daily Fines per Product
Iowa Sets November 16 Vape Directory Launch: Unlisted Products Face Sales Ban, Manufacturers $1,000 Daily Fines per Product
Iowa plans to publish its first vapor products directory on November 16, 2026, after which products not listed will be prohibited from sale or offer for sale in the state. The Department of Revenue expects to begin penalty enforcement on December 17, following an initial 21-business-day period focused on compliance education. Under House File 2677, retailers, distributors and wholesalers selling unlisted products face civil penalties of $300 per product per day, while manufacturers face $1,000 per product per day. Eligibility extends to FDA-authorized products and certain products meeting historical marketing and pending PMTA requirements. The directory program resumed after a federal appeals court vacated a preliminary injunction in July 2026.
Regulations
Nov.05
Product | BAT Revises Japan's VELO Convenience Store Lineup, Adding ¥380 Mango Pouches as Selected SKUs Exit
Product | BAT Revises Japan's VELO Convenience Store Lineup, Adding ¥380 Mango Pouches as Selected SKUs Exit
British American Tobacco's Japanese subsidiary, BAT Japan, launched VELO Mango Ice Medium on November 2, 2026, with distribution expanding to selected 7-Eleven, FamilyMart, NewDays and Seicomart stores from November 3. The new oral tobacco product contains 15 pouches per can and retails for ¥380, featuring a mango and cooling flavor profile at Medium intensity. At the same time, BAT Japan raised prices on multiple existing VELO products from ¥360 to ¥380 per can and withdrew selected SKUs from convenience store distribution without discontinuing them entirely. The changes affect product assortment, pricing and retail channel allocation.
product
Nov.04
IKE Tech Launches IKE 2.0 Compliance Platform for Nicotine Products
IKE Tech Launches IKE 2.0 Compliance Platform for Nicotine Products
IKE Tech launched IKE 2.0 on September 28, initially targeting nicotine products with a platform that combines user identity verification, product authentication, configurable policy controls and data analytics. Products can be authenticated through direct device integration or NFC smart tags. IKE Tech was formed with participation from Ispire's Aspire North America, Berify and Chemular, with Ispire currently holding a 40% interest. Its age-verification component PMTA was accepted by the FDA in 2025 and remains under review. The company did not disclose customer names, commercial deployment volumes, pricing or revenue tied to IKE 2.0.
News
Sep.29 by 2Firsts Perspectives
PMI Pushes Smoke-Free Business in Latin America as Argentina Lifts Heated Tobacco Ban, Mexico City Share Tops 7%
PMI Pushes Smoke-Free Business in Latin America as Argentina Lifts Heated Tobacco Ban, Mexico City Share Tops 7%
Philip Morris International (PMI) showcased IQOS heated tobacco systems and nicotine pouch products at Technovation 2026 in Buenos Aires on October 7–8, presenting research on consumer attitudes, regulatory developments and illicit cigarette trade across Latin America. PMI Chief Global Growth Officer Stefano Volpetti said smoke-free products accounted for more than 7% of the Mexico City market. Argentina repealed its heated tobacco ban in May 2026 and introduced registration requirements for tobacco and nicotine products, while local media reported nicotine pouch sales in Mendoza. A PMI-commissioned survey found that only 8% of respondents across four Latin American countries were familiar with nicotine pouches. A separate KPMG study estimated illicit cigarette consumption at 77 billion sticks across 11 markets in Latin America and Canada in 2025.
PMI
Oct.13
Inside Nicotine-Pouch M&A Through Imperial's Yoik Deal: Latham, KPMG, PwC, Goldman Sachs and Morgan Stanley Form the Adviser Lineup
Inside Nicotine-Pouch M&A Through Imperial's Yoik Deal: Latham, KPMG, PwC, Goldman Sachs and Morgan Stanley Form the Adviser Lineup
Imperial Brands' acquisition of Swedish Helwit owner Yoik Group AB has highlighted the professional-services firms supporting cross-border oral nicotine M&A. Latham & Watkins and KPMG advised Imperial, while PwC and TM & Partners advised Yoik. KPMG also appeared on Imperial's acquisition of Black Buffalo earlier in 2026, while PwC played an extensive role in KT&G's acquisition of Swedish nicotine-pouch company Another Snus Factory. Imperial's public disclosures put the global modern oral nicotine delivery market at approximately £8.8 billion in retail sales and 23.5 billion pouches in 2024
Sep.20
Sweden Finds ZYN Ingredient Labels Noncompliant Over Generic Flavoring Disclosure, Swedish Match Faces SEK 2 Million Monthly Penalty
Sweden Finds ZYN Ingredient Labels Noncompliant Over Generic Flavoring Disclosure, Swedish Match Faces SEK 2 Million Monthly Penalty
Sweden's Public Health Agency has found ingredient labels on ZYN nicotine pouches sold by Philip Morris International subsidiary Swedish Match to be noncompliant, according to Dagens industri. The products' packaging listed 10 to 13 ingredients, compared with 11 to 42 in regulatory submissions, with multiple flavoring ingredients grouped under the generic term "aromer." The agency ordered corrective action, warning of a conditional penalty of SEK 2 million per month for noncompliance. The order applies only to products manufactured after the decision becomes legally effective and does not require recalls. Swedish Match disputes the agency's interpretation and plans to appeal.
PMI
Oct.22