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E-cigarettes - Kodak moment

2013-10-01 12:20:43

As regulators wrestle with e-smokes, the tobacco industry is changing fast

THE vapoteurs who gathered on a windy island in the Seine on September 19th

brandished e-cigarettes in one hand and flyers inciting the populace to defend

them in the other. On October 8th the European Parliament is to vote on a

proposal to regulate the devices as if they were medical products. Brice

Lepoutre, president of the Independent Association of Electronic-Cigarette

Users, is outraged. We are at the dawn of a revolution in the fight against

tobacco, he says. He will join like-minded Europeans in Strasbourg at a

demonstration against the proposal before the vote.

Smoking is falling in most rich countries, but vaping is rising. In Europe 7m

people are thought to be using e-cigarettes, which vaporise a solution

containing nicotine without the toxins from burning tobacco. Sales of e-cigs in

America may treble this year, according to figures from Bonnie Herzog of Wells

Fargo, a bank. She thinks their consumption could overtake that of ordinary

cigarettes in a decade. If regulators let them.

Health authorities worldwide are struggling to deal with this new way of

getting a nicotine kick. E-cigarettes are sold as leisure products and as such

are covered by safety and quality standards wherever these exist and are

implemented. But leaving them, like shoes or beds, to such catch-all rules

makes some regulators uneasy.

A growing pile of studies say they are far safer than normal cigarettes and at

least as good at getting people to quit smoking as nicotine patches and gum.

But they too are based on that addictive substance. Churned out by hundreds of

suppliers using materials from China and elsewhere, the quality and labelling

of e-cigarettes on sale are uneven.

One worry is that young people will be lured into a dependence on nicotine they

would otherwise have avoided though so far the numbers who had never smoked but

have become regular users of e-cigarettes seem minuscule. Another concern is

that smokers who might have quit their expensive and inconvenient habit will

carry on, switching to e-cigs in places where smoking is banned though some

studies suggest e-cigs do encourage them to smoke less tobacco. A third fear is

that these strangely trendy products will reglamorise smoking after years of

campaigns, tax increases and restrictions have relegated it to the doghouse.

One approach is simply to tighten manufacturing and product standards, or bring

in a specific set of rules rather like those governing cosmetics. But there are

other considerations. Electric smokes compete with cigarettes yet do not in

most places face the same restrictions, to say nothing of excise taxes. They

compete with smoking-cessation products yet do not usually have to secure prior

approval for products or make them to pharmaceutical standards. If they are

required to do either, their price will rise, variety will fall and the uptake

by consumers, who are overwhelmingly smokers, will be cut.

Health authorities used to smiting nicotine are broadly unkeen on e-cigarettes.

The World Health Organisation does not encourage them. America s Food and Drug

Administration is expected to propose restrictions in October. In 2009 it

claimed that e-cigarettes were unapproved medical products, but a court said

they should be regulated as tobacco products instead.

The staid tobacco industry is beginning to wonder if it is reaching a Kodak

moment , its version of the point at which the world s leading maker of camera

film realised that consumers had gone digital, and it was too late to chase

them.

To avoid that fate the tobacco firms are beginning to appropriate what Goldman

Sachs, an investment bank, has called one of the world s eight most disruptive

technologies. Most have taken stakes in e-cigarette companies or developed

their own products. They are working on other sorts of less-toxic offerings

too. Philip Morris International expects to market a device to heat rather than

burn tobacco by 2017. Next-generation products at British American Tobacco

include a nicotine-inhaler, for which it hopes to get regulatory approval in

Britain. Whichever way consumers and regulators jump, the tobacco giants

intend, unlike Kodak, to have a product to peddle.

Back in Strasbourg, the bars are buzzing as deals are struck on amendments to

be proposed by October 2nd. Fans of e-cigarettes hope to carve out an exemption

from medical regulation for those that do not claim therapeutic properties.

Most agree (including e-cigarette makers) that they should not be sold to

children, and that quality controls could be strengthened.

But these are details. The goal, according to Clive Bates, a former director of

Action on Smoking and Health, a British campaigning group, and a tireless

advocate of e-cigarettes, is not to lose the chance of millions of smokers

switching in whole or in part to a relatively benign alternative. The market

is producing, at no cost to the taxpayer, an emerging triumph of public health,

he says.