PMI Oral Products Chief Says Lack of Rules May Push Nicotine Pouch Market Into Illicit Trade

Jul.06
PMI Oral Products Chief Says Lack of Rules May Push Nicotine Pouch Market Into Illicit Trade
Nick Ricketts, President of Oral Products at Philip Morris International (PMI), told Logos Press that nicotine pouches should be brought under clear regulatory frameworks covering nicotine limits, flavor rules, age verification, sales controls and marketing standards, arguing that the absence of clear rules or blanket bans may push consumer demand into illegal or semi-legal channels.

Key Points

  • PMI’s oral products chief said nicotine pouches should be regulated under clear rules.
  • He argued that bans may not remove demand and could push sales into illicit channels.
  • PMI supports rules on nicotine content, flavors, age restrictions and marketing.
  • The company said its nicotine pouches were present in 58 markets in Q1 2026.
  • Regulation is becoming a key factor in the development of the nicotine pouch market.

2Firsts

July 6

2026According to Logos Press, Nick Ricketts, President of Oral Products at Philip Morris International (PMI), said in an interview that nicotine pouches should be covered by clear regulatory systems, warning that the absence of rules or blanket bans may push demand into illegal or semi-legal channels.

PMI Executive Says Lack of Rules Weakens Market Control

Ricketts said that nicotine pouches, as a new product category, naturally raise questions for regulators. However, he said the key is to establish clear rules rather than leave products outside the legal framework or prohibit them outright.

He said PMI’s nicotine pouches are currently available in about 60 countries. According to Ricketts, experience shows that the most effective regulatory systems are based on product standards, age verification and responsible marketing requirements. He said such approaches have already been implemented in more than 20 countries.

In his view, a regulatory system should first include restrictions on nicotine content, followed by rules on flavors. He said flavors should help adult smokers switch from cigarettes, but should not attract people who have never used nicotine and should certainly not appeal to minors.

Ricketts also said strict age restrictions, sales controls and clear marketing rules are necessary. Once such mechanisms are written into law, regulators have enforcement tools, businesses understand the requirements and consumers receive products that meet established quality and safety standards.

Germany and Belgium Cited as Ban-Risk Examples

Asked about countries choosing bans, Ricketts said a ban does not always eliminate demand. If consumers continue seeking the product, he said, they may turn to illegal or semi-legal channels, leaving governments with less ability to control product quality and enforce age restrictions.

He cited Germany as an example. There, he said, nicotine pouches have fallen into a legal gray area: they are classified as food products, but food products are not allowed to contain nicotine. As a result, legal sales are restricted while demand remains, which may support the growth of an illicit market.

Ricketts also referred to Belgium, which has banned nicotine pouches. He argued that a ban and regulation are not the same thing, and that even after a ban is introduced, products may remain available on the market. In that situation, he said, governments end up addressing illegal trade rather than the product category itself.

By contrast, he said, a standards-based system creates clear parameters, understandable sales rules and consequences for violations, making regulation more manageable.

Sweden Used to Support the Case for Alternatives and Regulation

Ricketts described Sweden as a key example in the nicotine policy debate. He said Sweden was the first country in the world where the rate of traditional cigarette smoking fell below 5%. According to him, the smoking rate is 4.5% among native Swedes and 5.3% among the adult population including immigrants, while smoking rates in most European countries are around 24%.

He said the result cannot be explained by a single factor, but that access to alternative nicotine products for adult smokers played an important role. Adult consumers in Sweden have had access to alternative nicotine products for almost 100 years, first snus, then nicotine pouches and other smoke-free categories.

Ricketts said the Swedish case is notable because alternative products, regulatory oversight and clear market rules existed together. He also said Sweden applies differentiated taxation across product categories, with excise taxes on snus and nicotine pouches lower than those on cigarettes.

From an industry perspective, Sweden is frequently cited by multinational tobacco companies to support arguments for risk-proportionate regulation and differentiated taxation. However, public-health goals, product-use culture, youth-protection pressure and legal systems differ across markets, meaning the applicability of the Swedish model depends on local conditions.

PMI Says Nicotine Pouches Are Part of a Multi-Category Smoke-Free Strategy

Ricketts said nicotine pouches are part of PMI’s smoke-free strategy. After the acquisition of Swedish Match, PMI’s portfolio included a leading product in the nicotine pouch category. He said the purpose of the acquisition was to expand PMI’s smoke-free portfolio alongside heated tobacco devices and e-cigarettes.

According to Ricketts, PMI’s nicotine pouches were present in 58 markets in the first quarter of 2026, and shipment volume in the modern oral products category reached 0.5 billion pouches. Outside Northern Europe, he said the brand continues to strengthen its position in markets including Pakistan, Poland and the United Kingdom. Variants containing 1.5 mg of nicotine are available in more than 80% of the markets where the brand is present, he added.

Ricketts said PMI does not view nicotine pouches as a standalone product, but as part of a multi-category approach for adult consumers.

On youth protection, he said PMI has a strict system to prevent access by minors, uses mandatory age verification in its own sales channels and complies with marketing restrictions. However, he added that some sales take place through independent retail chains, making sales-staff training and government oversight important.

Industry Impact and Next Steps

From an industry perspective, the interview sends three signals.

First, nicotine pouch regulation is moving from the question of whether products should be allowed to how product standards should be designed. PMI’s emphasis on nicotine content, flavors, age verification and marketing rules shows that the industry is seeking legal market space through standardized regulation.

Second, illicit trade is becoming a central argument against blanket bans. By citing Germany and Belgium, PMI is trying to show that bans or gray-market conditions may weaken government control and shift demand into illegal channels.

Third, multi-category smoke-free strategy remains the main framework through which multinational tobacco companies position nicotine pouches. PMI links nicotine pouches with heated tobacco and e-cigarettes as part of its broader set of alternatives for adult smokers.

Key issues to watch include how European countries adjust nicotine pouch rules on nicotine limits, flavors, packaging, age verification, taxation and cross-border sales. For brands and suppliers, growth in the nicotine pouch market will increasingly depend on adapting to country-by-country regulation, not only on speed to market or channel expansion.

Overall, the PMI interview is not a new regulatory decision. It is a policy argument from a multinational tobacco company on how nicotine pouches should be regulated. Its central message is that clear rules, product standards and enforcement mechanisms are more effective than blanket bans in controlling market risks.

Follow 2Firsts for the latest updates on global tobacco harm reduction, nicotine products and regulatory developments.

Cover Image: PMI’s President of Oral Products Nick Ricketts|source: Logos Press


Disclaimer

This article is provided solely for professional research, industry discussion, and informational purposes. Any references to brands, companies, products, technologies, or policies are made for factual reporting and analytical purposes only, and do not constitute endorsement, recommendation, promotion, or advertising by 2Firsts.

Nicotine-containing products, including but not limited to cigarettes, e-cigarettes, heated tobacco products, and nicotine pouches, carry significant health risks. Readers are responsible for complying with all applicable laws and regulations in their respective jurisdictions, including age restrictions and access limitations.

The information contained in this article should not be regarded as investment, legal, medical, regulatory, or commercial advice. While 2Firsts strives to ensure the accuracy and reliability of its content, it does not assume liability for any direct or indirect loss arising from errors, omissions, inaccuracies, or reliance on the information contained herein.

This article is not intended for individuals below the legal age for accessing tobacco or nicotine-related information in their jurisdiction.

 

Copyright Notice

This article is either original content produced by 2Firsts or content reproduced, translated, summarized, or adapted from third-party sources with attribution where applicable. The intellectual property rights of the original content remain with 2Firsts or the respective original rights holders.

No individual or organization may copy, reproduce, distribute, republish, modify, translate, or otherwise use this content without prior authorization. Any unauthorized use may result in legal action.

For copyright-related inquiries, corrections, or removal requests, please contact: info@2firsts.com.

 

AI-Assisted Translation and Editing Notice

Portions of this article may have been translated, edited, or reviewed with the assistance of artificial intelligence tools to improve efficiency and readability. Due to the limitations of AI-assisted translation and editing, discrepancies, omissions, or inaccuracies may exist when compared with the original source.

Where applicable, readers are advised to refer to the original source for the most complete and accurate information. If you identify any errors or believe that any content infringes upon your rights, please contact us at info@2firsts.com, and we will review and address the matter promptly.

South Korea Rejects 16 Trillion Won Tax-Evasion Claim Over Chinese Synthetic Nicotine
South Korea Rejects 16 Trillion Won Tax-Evasion Claim Over Chinese Synthetic Nicotine
The South Korean government rejected allegations that Chinese synthetic-nicotine e-liquids were linked to about 16 trillion won in tobacco tax evasion, saying China does not ban synthetic nicotine exports and the estimate is difficult to verify, while acknowledging that pre-law synthetic-nicotine inventory is effectively difficult to tax.
Market
Jun.25
Illicit Vape and Nicotine Pouch Seizures Concentrated in UK Hotspots, New Data Shows
Illicit Vape and Nicotine Pouch Seizures Concentrated in UK Hotspots, New Data Shows
Freedom of Information (FOI) data from the UK shows that more than 3,000 seizures of illegal nicotine products were recorded in the 2024/25 financial year, with Hull, Liverpool and Bolton emerging as the most active enforcement hotspots — highlighting that the problem of illicit vapes, nicotine pouches and smokeless tobacco products persists across many parts of the country.
Jun.16
Illegal Vape Retailers in UK Could Face 12-Month Shutdowns
Illegal Vape Retailers in UK Could Face 12-Month Shutdowns
The UK government plans to expand police and trading standards powers by extending closure orders for shops selling illegal vapes and cigarettes from a maximum of six months to 12 months, in a crackdown on organised crime on high streets.
Jun.12
Reuters: Shopify May Ban All Vape Sales This Week Amid Illegal Market Crackdown
Reuters: Shopify May Ban All Vape Sales This Week Amid Illegal Market Crackdown
Reuters reported that Shopify may ban all vape products from its platform as soon as this week, signaling that U.S. enforcement against the illegal vape market is expanding from retailers and importers to e-commerce platforms and payment networks.
MarketBAT
Jun.23 by 2Firsts Perspectives
AP Questions FDA Rationale as Glas Fruit-Flavored Vapes Won Authorization Without Added Cessation Benefit
AP Questions FDA Rationale as Glas Fruit-Flavored Vapes Won Authorization Without Added Cessation Benefit
The U.S. Food and Drug Administration (FDA) recently authorized two fruit-flavored vaping products from Glas, but a newly released agency memo shows the products did not demonstrate greater smoking-cessation benefits than tobacco-flavored e-cigarettes. The Associated Press said the findings are likely to raise further questions about the FDA’s regulatory rationale and standards for flavored vaping products.
Jun.12
South Korea Brings Synthetic-Nicotine E-Cigarettes Under Tobacco Rules From June 24, Targeting Online Sales and Evasion
South Korea Brings Synthetic-Nicotine E-Cigarettes Under Tobacco Rules From June 24, Targeting Online Sales and Evasion
South Korea began full enforcement of tobacco-style rules for synthetic-nicotine e-cigarettes on June 24, 2026, with fines of up to 100,000 won for use in non-smoking areas and enforcement focus on online sales, raw nicotine liquids and products falsely marketed as nicotine-free.
MarketNews
Jun.25 by 2Firsts Perspectives