BAT CEO Urges Anvisa to Advance E-Cigarette Regulation in Brazil

According to Brazilian media Poder360, on April 16th, the CEO of British American Tobacco Brazil, Victor Loria, expressed his hope that Brazil's National Health Surveillance Agency (Anvisa) would advance regulations for e-cigarettes in Brazil. This issue will be discussed at a regulatory agency meeting on Thursday (April 17, 2024). In 2009, Anvisa banned the production and sale of e-cigarettes in Brazil, and maintained this decision in 2022.

Loria said that many things have changed during the past 15 years of the ban. In his view, if e-cigarettes are still prohibited, then Anvisa and Brazil will fall behind. According to studies he mentioned, e-cigarettes pose less health risks compared to traditional cigarettes, which is also a reason to consider regulating e-cigarettes.

Furthermore, Lorca stated that e-cigarettes are being regulated in multiple countries, which is another reason for reevaluating e-cigarettes. For example, in Chile, a bill was passed in October 2023. Currently, the products are undergoing regulatory procedures by the administrative department.

Loria emphasized the benefits of potential tax increases and decrease in traditional cigarette consumption that regulation, if approved, could bring. However, the World Health Organization's (WHO) director, Ruediger Krech, stated that he opposes the use of e-cigarettes.

By the time the public consultation by Anvisa on this issue ended in February 2024, the prevailing sentiment was against the ban.

Loria is currently responsible for overseeing the operation of BAT in countries such as Brazil, Argentina, Chile, Cuba, Paraguay, and Peru. In 2023, BAT reported a revenue of £27.3 million, with 14% coming from e-cigarettes. By 2035, they expect e-cigarette sales to account for 50% of total sales.

Loria told the media that the 15-year-old ban that has been in place since 2009 has not been effective. The situation in Brazil is very complex and even sad. We have 3 million inhaler users who are often hiding in the hands of organized crime and non-regular organizations.

He stated that the estimated turnover of e-cigarettes is 7.5 billion reais (including consumption), with nearly 5 billion reais in tax evasion in the illegal gray market. The state government projects are lacking funds to invest.

And we all know that advancing these projects is very important. It is expected that Anvisa will move towards regulating all of these things for the benefit of society.

He believes, "For us, it's primarily a substitute, precisely because it imitates cigarettes and brings consumers into a lower-risk category. But if there are any adults in the future who want to consume nicotine, they will have other options."