Potential Impact of GEG Bill on Malaysia's E-Cigarette Industry

According to a report by Focusmalaysia on October 5, the proposed 2023 Public Health Tobacco Control Act (GEG Act) is expected to be presented in the lower house of parliament next week. This legislation could potentially have a detrimental impact on Malaysia's e-cigarette industry, which is primarily led by Malaysians.

The Secretary-General of the Malaysia Vape Chamber of Commerce (MVCC), Ridhwan Rosli, stated, "If this bill is implemented, it will undermine the Malay e-cigarette industry that currently contributes to our country's economy."

Ride-One previously issued a statement stating that a recent MVCC study has revealed that the e-cigarette industry in Malaysia is predominantly controlled by Malays. The study also reveals that by the end of 2022, there will be thousands of local Malay entrepreneurs and labor force in Malaysia.

Furthermore, he pointed out that in the current situation, the implementation of the GEG bill could hinder the hard work put in by local entrepreneurs in the e-cigarette industry.

He noted that the measures taken by the GEG Bill are too hasty, as it will be difficult to implement the ban on existing products in the market and may only lead to new issues.

He also warned that if the GEG Bill is implemented, it will gradually stifle the domestic e-cigarette industry. Moreover, from a broader perspective, it will not only impact the e-cigarette industry but also affect the country's economic situation in terms of taxation and manpower. Additionally, it will also have an impact on related industries.

He emphasized that now is not the right time to implement such "drastic measures" because the economy is still unstable. He also added that the desire to reduce smoking rates is about to reach a dead end, as cigarettes can still be easily purchased even at low prices.

He urged, "Entrepreneurs should be given the opportunity and space to thrive, and the e-cigarette industry should be encouraged and recognized as one that contributes to the national economy."

According to Ruiz Man, what the industry currently needs are suitable regulations, rather than the GEG bill, and it is necessary to establish appropriate regulations at every stage from production to packaging and sales.

According to the GEG Act, children born in or after 2007 will still be prohibited from smoking, purchasing, or possessing any type of tobacco products, including e-cigarette products, even after they turn 18 years old.