- Prohibition on ENDS (Electronic Nicotine Delivery Systems)/Electronic Cigarettes would put India at a huge Structural Disadvantage versus other countries
- Ban on Electronic Cigarettes would disregard the rapid growth of these products and the huge IPR and technological advancement being made globally
- Ban in India would stop all research and development by the domestic industry with no Intellectual Property being owned by the country
- Euromonitor projects the market value of ENDS in excess of US$ 60 billion by 2030
- In view of growing global acceptance of Electronic Cigarettes, a ban in India will pose a serious threat of these products being smuggled into the country
New Delhi, 4th August, 2017: The Tobacco Institute of India is concerned that a Ban on ENDS (Electronic Nicotine Delivery Systems)/Electronic Cigarettes would be in denial of the huge growth of these products internationally and the significant technological advancement being made globally. Prohibition of Electronic Cigarettes in the country would put India at an enormous structural disadvantage versus countries that have espoused a balanced regulatory policy approach on the category.
160 FCTC signatory countries across the world including USA, UK and EU countries have not imposed prohibition on ENDS. In fact, Canada and New Zealand which had earlier prohibited ENDS have reversed their decision and allowed these products to be made available in their respective countries.
In face of global growth trends and the increasing consumer acceptance of such products in India, a ban on legal business in ENDS in the country will pose a serious threat of illicit trade and large scale smuggling of these products into the country with no assurance of source and quality standard.
The world market for ENDS/Electronic Cigarettes has been growing rapidly. According to the WHO, the global market for ENDS in 2015 was estimated at US$10 billion. In fact, Euromonitor International projects the market value of these products to be in excess of US$ 60 billion by 2030.
A ban on electronic cigarettes in India would impact the development of ENDS technology in the country especially in view of the huge investments that are being made globally in the development and patenting of technology resulting in Intellectual Property (IPR) being monopolized by overseas entities.
It is obvious that a ban in India would stop all research and innovation in this area by the domestic industry with no IP being owned by the country, putting India at an enormous disadvantage vis-à-vis countries which would have not prohibited ENDS. Therefore, all latent and emerging consumer demand for the product in the country would be met through the illicit route.
The prohibition of ENDS/Electronic Cigarettes in India would benefit illegal trade operators and promote foreign products owned by overseas entities in the absence of any domestic competition to challenge the illegal trade in these products.
Any measure prohibiting ENDS in the country would prevent innovation and technology development, denying India its own IP and giving opportunity to anti-social elements to smuggle foreign made products into the country.