Russia to Introduce State Control over Tobacco Industry

Mar.10.2023
Russia to Introduce State Control over Tobacco Industry
Russia introduces alcohol-like regulations for tobacco industry, including production permits and criminal liability for violations.

On March 8th, according to Russian media outlet RG.RU, the tobacco industry in Russia will introduce national control measures similar to those for alcohol, including production permits, a unified information system and criminal liability for violations. The proposed legislation from the Ministry of Finance will be discussed at a government meeting on March 9th.


According to the Ministry of Finance, the purpose of this bill is to introduce a comprehensive national regulatory system to manage the tobacco industry. This type of regulatory model has already been applied in the alcohol market. Currently, there are problems with management in the Russian cigarette market, with one out of every seven packs of cigarettes sold being illegal. Therefore, the government plans to tighten regulations in this industry.


A new bill is requiring licenses for the production and import of tobacco, nicotine-containing products, and their raw materials. Additionally, producers are obligated to register their main equipment for manufacturing these products. If unused, the equipment must be sealed. Equipment used in illegal production will be confiscated. All product and material records will be tracked through the "Honest Label" tagging system, ensuring comprehensive government regulation, according to the Ministry of Finance's explanation.


The bill also includes other measures to prevent illegal production and trade: prohibiting the sale of tobacco products and nicotine-containing products in non-consumer packaging, and requiring the presence of accompanying documents and labeling in their transactions. "The implementation of this bill will help reduce the circulation of illegal tobacco and nicotine-containing products," the department believes. Meanwhile, experts believe that in addition to production, retail also needs license control, as the share of illegal tobacco products has increased 12 times in the past eight years.


According to data from the Ministry of Industry and Trade, the illegal tobacco trade in just the first nine months of last year resulted in a loss of 61.6 billion rubles (approximately 5.6 billion yuan) to the budget. One of the reasons for the increase in illegal tobacco trade is the incomplete legal reforms.


Sergey Ryabukhin, the First Deputy Chairman of the Budget and Financial Markets Committee of the Russian Federation Council, believes that long-prepared regulatory measures have become urgent. He thinks that national regulation of the tobacco industry would help monitor the quality of tobacco products.


However, industry experts have criticized the bill. For example, Pavel Shapkin, chairman of the National Consumer Rights Protection Union and head of the National Center for Alcohol Policy Development, believes that a license system should be implemented for the retail sale of tobacco. He believes that licensing does not eliminate the possibility of illegal products being sold at the retail level. Dimitriy Vlakhmiriov, chairman of the Tobacco and Nicotine Product Joint Enterprise Association, pointed out that the bill only applies to nicotine-containing products.


Riyabukhin believes that the proposed bill should be passed as soon as possible, with further improvements to be made based on practical experience. The next step should be to coordinate tax rates across the entire Eurasian Economic Union (EAEU) to combat illicit tobacco products.


References:


The Russian Ministry of Finance has introduced a bill to regulate the tobacco industry under state supervision.



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.

New York’s 75% Wholesale Tax on Nicotine Pouches Takes Effect Sept. 1, With Aug. 31 Inventory Subject to Floor Tax
New York’s 75% Wholesale Tax on Nicotine Pouches Takes Effect Sept. 1, With Aug. 31 Inventory Subject to Floor Tax
New York State will extend its tobacco products tax to “alternative nicotine products,” including tobacco-free nicotine pouches, from September 1, 2026, at a rate of 75% of the wholesale price. Distributors, wholesalers and retailers must also inventory products held as of 11:59 p.m. on August 31 and pay a floor tax. Vapor products are excluded from the new category and remain subject to New York's separate 20% supplemental sales tax on the retail price.
Aug.26
Product | JT Launches Ploom AURA Glacier White in Japan, Expanding the Device Ecosystem Through Color and Accessories
Product | JT Launches Ploom AURA Glacier White in Japan, Expanding the Device Ecosystem Through Color and Accessories
Japan Tobacco Inc. (JT) has introduced the Ploom AURA Glacier White heated tobacco device in Japan, adding a new color option to the existing Ploom AURA lineup. The device maintains the existing SMART HEATFLOW technology and HEAT SELECT SYSTEM with four heating modes, while expanding the ecosystem through new accessories including front panels, back covers, a car holder and wireless charging covers. The product entered pre-sale in Japan on June 30, 2026, followed by broader retail availability from July 7.
Aug.03
Product | Philip Morris Korea Launches TEREA Limona Pearl, Expanding Fresh Blend Capsule Lineup to Five
Product | Philip Morris Korea Launches TEREA Limona Pearl, Expanding Fresh Blend Capsule Lineup to Five
Philip Morris Korea launched TEREA Limona Pearl in South Korea on August 31, 2026, expanding the TEREA Fresh Blend capsule tobacco stick lineup from four variants to five. Designed for the IQOS ILUMA series, the new stick combines a capsule with what the company calls a Fresh Filter. Philip Morris Korea describes the product as offering an aromatic, refreshing flavor profile with a cooling sensation, with an additional fresh note released when the capsule is crushed. The recommended retail price is KRW 4,800 per pack, with sales through IQOS stores and convenience stores nationwide. No reliable evidence has been found that the same Limona Pearl SKU was previously officially launched in another major IQOS market.
Sep.01
Canadian Court Allows Juul and Altria Vape Class Action to Move Forward Over Youth Marketing Claims
Canadian Court Allows Juul and Altria Vape Class Action to Move Forward Over Youth Marketing Claims
A Quebec Superior Court has allowed a class action lawsuit against Juul Labs and Altria Group related to vaping products to proceed, involving allegations concerning marketing practices, youth exposure and corporate responsibility. The ruling only allows the case to move forward and does not represent a finding that Juul or Altria are legally liable. The case highlights continued legal risks facing vape companies regarding product marketing, youth protection and corporate accountability.
Jul.28
JTI Research Finds 31% of UK Respondents Offered Illicit Tobacco, While 63% of Ennis Packs Lack Duty Marks
JTI Research Finds 31% of UK Respondents Offered Illicit Tobacco, While 63% of Ennis Packs Lack Duty Marks
Multiple JTI-backed studies in the UK and Ireland indicate that illicit tobacco remains visible across consumer interactions and local markets. In the UK, JTI research found that 31% of respondents said they had been offered illicit tobacco products. In Ireland’s Ennis area, a JTI-commissioned empty pack survey found that 63% of sampled cigarette packs did not carry Irish duty-paid markings. The findings come from industry research rather than official government estimates of illicit tobacco market size, but highlight continued concerns among regulators, legitimate retailers and tobacco companies over illicit trade.
Aug.19
Spain Plans to Extend Smoking Ban to Terraces and Beaches, Bringing Vapes Under New Restrictions
Spain Plans to Extend Smoking Ban to Terraces and Beaches, Bringing Vapes Under New Restrictions
Spain is advancing a new tobacco-control reform that would expand smoking restrictions to additional public spaces, including restaurant terraces and beaches, while bringing vaping and other nicotine products into the same regulatory framework. The proposed measures aim to reduce secondhand smoke exposure, protect young people and expand smoke-free environments. The proposal remains under legislative development, and final implementation details have not yet been confirmed.
Jul.23