Russian State Duma Delays Tobacco Industry Regulation Decision

Apr.07.2023
Russian State Duma Delays Tobacco Industry Regulation Decision
Russia delays tobacco regulation debate, aiming to reduce illegal production and improve accountability in the industry.

On April 3rd, Russian media reported that the Russian State Duma will postpone discussions on regulating tobacco production and distribution, as well as fines for illegal activities in this field, until April 11th. According to a source from the State Duma, the decision was made by the committee on April 3rd.


The Russian government has proposed four bills to the State Duma aimed at reducing the illegal production and sale of tobacco and nicotine-containing products, while strengthening accountability in the industry. The government has reported a growing trend of illegal tobacco production and sales in Russia. Experts estimate that this trend will result in a loss of 34 billion rubles (approximately 380 million yuan) in tobacco tax revenues by 2024, 50 billion rubles (approximately 417 million yuan) by 2026, and 74 billion rubles (approximately 617 million yuan) by 2028.


On February 20th, 2FIRSTS reported that a proposed bill aims to transfer regulation of tobacco, nicotine-containing products and their production and sale to Russia's Federal Alcohol Regulation Service (RAR), using the same regulatory model employed in the alcohol industry.


References:


The State Duma postponed the consideration of bills on the circulation of tobacco.


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