Russian Government Introduces Tobacco Industry Regulations

Jul.26.2022
Russian Government Introduces Tobacco Industry Regulations
Russia's Finance Ministry submitted a tobacco regulation bill for production and sales, modeled after the alcohol market control system.

The department explained that industry management will be established in comparison to the current national system of alcohol market regulation and control.


According to TASS, the Ministry of Finance has submitted a bill to the Cabinet regarding the regulation of tobacco product and raw material production and revenue.


The Russian Ministry of Finance has submitted a bill to the federal government regarding the regulation of tobacco products and their production materials, including information on production and revenue. The document outlines how the state will regulate the production and revenue of tobacco and nicotine-containing products and their materials, with a focus on establishing specialized controls within separate departmental legal frameworks. The agency states that the existing national regulatory system for controlling the alcohol market will serve as a regulatory model.


The Ministry of Finance believes that the industry lacks a single framework for production and revenue monitoring, leading to an increase in illegal products in the market. The ministry explains that to ensure citizen safety and protect the economy, a draft law has been proposed. The plan is to introduce licensing activities in the production and importation of tobacco and nicotine-containing products. Manufacturers must also register their main production equipment. If equipment stops working, it will be protected. Unregistered equipment will be confiscated. Retail sales will not be licensed to eliminate excessive burdens on small businesses. At the same time, non-consumption-packaged products will be banned from retail sales. Documentation and labeling must be provided at the time of sale.


At the same time, the government revised the Russian Federal Administrative Code and Criminal Code to combat the illegal production and trafficking of tobacco products.


The Ministry of Industry and Trade of the Russian Federation has explained that food, alcohol, and tobacco cannot yet be included in the list of parallel imported goods. The Ministry of Agriculture of Russia is opposed to their inclusion on the list, as it is concerned that it could lead to an increase in counterfeit products.


The cigarette production in the Russian Federation has increased by 12%. The tag operator of the Advanced Technology Development Center reported that the growth was carried out against the backdrop of an increase in the number of legal markets.


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